Small-business plan to revitalise township economies

24 June 2015 - 02:36 By Penwell Dlamini

The Gauteng government is considering the adoption of a procurement policy that would force all its departments to procure goods and services from township businesses. Yesterday finance MEC Barbara Creecy said that the procurement policy was before the provincial executive committee for its approval.The provincial government wants tenders of less than R500000 to be reserved for township businesses. The intention is said to be the revitalisation of township economies. The tenders would be for services such as catering and food supply, stationery, linen and sound production.Currently the provincial government is procuring 5% of goods and services from township businesses but this is to be increased to 12% in the next financial year.A total of 263 access sites will be connected to the Gauteng broadband network. This will include seven township economic zones, 24 Thusong centres, 100 pilot digital schools and all Gauteng government departments.MEC for economic development Lebogang Maile has met about 60000 entrepreneurs in the province who told him about barriers to growth for small businesses in the townships.Maile announced a partnership with retail giants Massmart that will result in the injection of R650-million into township commerce. Township businessmen will buy 60% of their stock from Massmart and the rest from the supplier of their choice. This will enable township retailers to leverage Massmart's bargaining power.The project will be piloted in Katlehong, Atteridgeville and Sharpeville, creating about 1000 jobs...

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