These programmes are also not different from the vision of the Western Cape Government.
My Ministry, Department and Government of the Western Cape find ourselves in the front line in the battle to create sustainable jobs and economic growth. And, everything we do will, naturally, contribute considerably to reducing poverty and creating a better life for all our people.
The challenge to implement the right policies that lead to job creation and economic growth is therefore enormous. Fortunately my predecessor has done a lot of work to ensure that we have iKapa Elihlumayo, the Province's development strategy to stimulate the economy.
This strategy is needed because at present, unemployment in our Province stands at around 24 percent. This translates into roughly 500 000 people, mainly in the townships and rural areas. Some 80 percent of the unemployed are the youth.
In general there are fewer jobs for lower-skilled workers and the decline in employment opportunities for this group is continuing. And we need to realise that there is a need to intensify empowerment and employment, so that the economy can grow through our micro-economic interventions. If we don't do this the economy will not realise its' full potential.
Perhaps most critical, is the need to address the very low success rate for African job seekers in the Western Cape. The actual Provincial rate is about 10 percent of the success rate for African job seekers nationally.
Against this background, the centre-piece of our work in the Western Cape this year will therefore be to develop and continuously update a comprehensive, detailed, intellectually sound, and widely agreed.
Micro-economic Strategy [MES] for the Province, which will inform all interventions made by the Provincial Government of the Western Cape in the economy.
We are also tasked with implementing major interventions flowing from the MES in conjunction with our social partners and other spheres of government in a manner that crowds in all available domestic and international resources required for success.
Our Micro-economic Strategy and the Provincial Growth and Development Strategy processes will yield Provincial Strategies and Interventions agreed by all social partners in the following sectors:
- Primary: Agriculture, aqua-culture and associated value chains;
- Manufacturing: Clothing, textiles, leather; Metals, engineering, boat-building, ship repair; Oil & Gas Service Hub; Furniture; Cultural Industries: crafts & Jewellery;
- Services: Tourism; Call centres and business process outsourcing, information and communication technology; film
Once the partners have agreed on the appropriate interventions in these sectors, we will "scope and dimension" these and play a key role in getting as many social partners to contribute towards the resources needed to translate these into action.
Beside these, there are several on-going major interventions, which we will continue to drive like:
- In the BPO & Call Centres area we are planning a major international investment promotion drive. We believe that there is a unique opportunity to secure up to 20,000 jobs in this sector over the next five years.
- We have entered into a partnership with DTI, the Rooibos tea industry and some of the best patent lawyers you can find in the land to ensure that we get back name Rooibos back from the company that has copyrighted it in the USA.
- The DTI has established an Oil & Gas Service Hub Strategy Task Team, which is working closely with our own Cape Oil and Gas Initiative. Together we are targeting a significant share of the African West Coast oil and gas service and supply business. We are confident that we are on a path towards significant investment in the rig-building and repair business soon.
- Rapid progress is being made with the R450-million Film Studio project, which is anticipated to come on line in 2006.
- We are driving a process, which will lead to the completion of a feasibility study for a passenger liner terminal in Cape Town.
- We are rolling out a Provincial Version of the Advanced Manufacturing Technology Strategy, which we hope to have completed in this year.
- In the SMME arena, we are rolling out a strategy called RED, which stands for Real Enterprise Development. This will entail a single entry point for those who seeking to establish enterprises or are seeking help with developing existing enterprises.
- At full operation, there will be an office in every municipality, We have also set ourselves the target of raising and maintaining a R50-million business development fund to deal with the serious problems related to access to finance and support for those who fall outside the financial eligibility criteria set by the banks.
