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Role of seda to the development of the Second
Economy vis a vis The Objectives of Asgi-SA
Outline of the presentation • Introduction• Outreach Model 2007/08• Statistical Achievements • 3 Pillar Strategy of Government• Government interventions for Second
Economy• seda Support for Second Economy• seda’s Target Market• Conclusion
Introduction
• Two exciting and challenging years under the belt
• Brand is growing in recognition with visible infrastructure in
place
Outreach Model for 2007/8
8
2007/8
PROVINCIAL OFFICES
39 BRANCHES
OUTREACH UNITS = EICs / Mobile units
8
Add 4 new branches = 43
102 110
2006/7
ROLL-OUT STATUS till end March 2007
NUMBER OF EICs
24
9
24
9
11
12
4
1
8
PROVINCE
EASTERN CAPE
FREE STATE
GAUTENG
KWAZULU-NATAL
LIMPOPO
MPUMALANGA
NORTH WEST
NORTHEN CAPE
WESTERN CAPE
PROVINCIAL OFFICES
Bhisho
Bloemfontein
Durban
Polokwane
Nelspruit
Mafikeng
Kimberley
Cape Town
NUMBER OF BRANCHES
4
6
1
7
3
5
5
5
3
8 provincial offices
39 branches102 EICs
Roll-outEASTERN CAPE
Provincial Office:Bisho
Amathole East London
Chris HaniQueenstown
O R TamboMthatha
Nelson MandelaPort Elizabeth
Alfred NzoMount Ayliff
UkhahlambaBarkley East
CacaduJeffrey’s Bay
4.1
Existing Offices
To be established in 2007/ 2008
seda Outreach :
14 973 Clients assisted
24 EICs+
Roll-outFREE STATE
Provincial Office:Bloemfontein
Fezile DabiKroonstad
Thabo MofutsanyaneBetlehem
XhariepTrompsburg
MangaungBloemfontein
LejweleputswaWelkom
4
seda Outreach :
6 269 Clients assisted
4.1
9 EICs+
Roll-outKWAZULU-NATAL
Provincial Office:Durban
UthukelaLadysmith
UthunguluRichards Bay
AmajubaNewcastle
UmgungundlovuPietermaritzburg
UguPort Shepstone
SisonkeKokstad
EthekwiniDurban
seda Outreach :
5 951 Clients assisted
4.1
9 EICs+
Roll-outLIMPOPO
Provincial Office:Polokwane
VhembeThohoyandou
MopaniTzaneen
CapricornPolokwane
SekhukhuneGroblersdal
ModimolleWaterberg
Existing Offices
To be established in 2007/ 2008
seda Outreach :
6 599 Clients assisted
4.1
11 EICs+
Roll-outMPUMALANGA
Provincial Office:Nelspruit
BohlabelaBushbuckridge
NkangalaWitbank
Gert SibandeSecunda
EhlanzeniNelspruit
NkomaziMalelane
seda Outreach :
11 750 Clients assisted
4.1
12 EICs+
Roll-outNORTH WEST
Provincial Office:Mafikeng
BophirimaVryburg
SouthernKlerksdorp
BojanalaRustenburg
CentralMafikeng
MadibengBrits
seda Outreach :
24 953 Clients assisted
4.1
4 EICs+
Roll-outNORTHERN CAPE
Provincial Office:Kimberley
Pixley ka SemeDe Aar
NamakwaSpringbok
KgalagadiKuruman
Frances BaardKimberley
SiyandaUpington
seda Outreach :
3 117 Clients assisted
4.1
3 EICs+
Roll-outWESTERN CAPE
Provincial Office:Cape Town
EdenGeorge
BolandStellenbosch
City of Cape TownBelville
Central KarooBeaufort West
(satellite)
OverbergBredasdorp
West CoastMooreesburg
Existing Offices
To be established in 2007/ 2008
seda Outreach :
11 904 Clients assisted
4.1
8 EICs+
Roll-outGAUTENG
Provincial Office:?
TshwanePretoria
seda Outreach :
10 249 Clients assisted
4.1
24 EICs+
Statistical Achievements
SUCCESS STORIES
CONSOLIDATED: ALL PROVINCESSuccess stories
-
20
40
60
80
100
ACTUAL 86 14 22 76 25 18 14 31 80 41
EC FS GAU KZN LIM MPU NW NC WC Av erage
TOTAL = 366 SUCCESS STORIES
Government’s Interventions for
The Second Economy
Three Pillar Strategy of Government
• Growing the first economy• Addressing problems in the second
economy• Building the social security net
Government programmes for second economy
intervention• Integrated and Sustainable Rural Development
Strategy– ‘Designed to attain socially cohesive and stable rural
communities which have viable institutions and sustainable economies’
• Urban Renewal Programme– ‘Aims to inject life into urban areas experiencing serious
decay and ravaged by social ills that that discourage potential investors’
• Expanded Public Works Programme– ‘Aimed at addressing critical economic policy challenges of
poverty; employment; growth and infrastructure provision’
Government programmes for second economy
intervention• National Spatial Development Perspective– ‘NSDP seeks to provide national principle-led
guidance in all forms of planning for infrastructure investment and development spending’
• Agriculture and Land Reform Programme– ‘Contributes to poverty alleviation in rural and
urban areas by reducing food prices; creating employment; increasing real wages and improving farm income’
• Small Enterprise Development and Support– ‘Provide support and development to small
enterprise sector’
seda support for the Second Economy
Approximately 20% of seda’s
focus will be on Medium
enterprises whilst the Small,
Micro (Formal, Informal) and co-
operative enterprises will get
80% of the Agency’s focus
Target Market
Micro & Informal
Small
Medium
Micro & Informal
Small
Medium
Second economy interventions
• Fresh produce and street trading– Linking small scale farmers to retailers – Provide training and business support to
cooperative arrangements – Replicate current PTA/JHB fresh produce
activities to other areas– Link street traders with small scale farmers
in areas not covered by fresh produce markers
– Explore possibility of cooperative formation
Second economy interventions
• SMME’s and micro-credit– Establishing partnership agreements
with DFI’s– Work in collaboration with commercial
banks and other funding institutions– Through seda branches conduct
workshops on funding opportunities
Agriculture and agrarian reform:•Link with NAFU and other
agricultural departments on development programmes
•Link with bio-fuel development•Provide business skills to enhance
commercialisation e.g. Fort Hare Nguni cattle breeding
•Dialogue with Land Bank for access to finance
Second economy interventions Asgi-SA Priority
Sectors
Second economy interventions Asgi-SA
Priority SectorsTourism:
• Make use existing toolkit for addressing PPP for SME participation
•Partnership with tourism boards and other authorities
•Do training of SME’s in collaboration with relevant institutions
Biofuels:•Work closely with DME to
understand strategy development•Establish partnership with relevant
research institutions in identifying opportunities for SME’s
•Assist in development of small scale farmers in identified crops including NAFU
Second economy interventions Asgi-SA Priority
Sectors
Chemicals:•Expand current initiatives with
Thumisano Trust in Technology Partnership Stations (TPS) to include other areas
•Explore possibilities of linking up with Chemcity in Sasolburg
Second economy interventions Asgi-SA Priority
Sectors
Creative industries:•Identify and expand markets for craft
producers through shows and exhibitions
•Diversification of craft products through training and development
•Assist in securing procurement of products to eliminate exploitation
•Provide access to international markets
Second economy interventions Asgi-SA Priority
Sectors
Clothing and textiles:• Assist small scale manufactures by linking
them with retail buyers • Support existing industry by focusing on
niche markets• Replicate and expand Clotex model into
other targeted areas• Identifying opportunities for retrenched
workers• Linkage with design development initiative
e.g. Fashion week or Vukani Fashion Awards
Second economy interventions Asgi-SA Priority
Sectors
Downstream minerals beneficiation:• Jewellery Cooperatives
– Identify and register cooperatives• Foster partnership with mining companies
– Forge closer relations with small-scale miners
• Dimension stone– Encourage investment in rural
communities• Mining Tourism
– Implement outcomes of the studies• Capacity Building
– Identify and capacitate project members
Second economy interventions Asgi-SA Priority
Sectors
Better structured collaboration with partners Growing leveraging off provincial government resources Income generation through agency function Cost reduction from sharing our infrastructure Improving capacity of staff that have been through the
operations cycle Learning from mistakes that have been made Growing awareness of seda Opportunity to be innovative without rigid assumptions
OPPORTUNITIES
CONCLUSION
Whether seda delivers or not is not just up to seda Seda requires a lot of support Not the least of which is financial Full impact will be seen in the medium to longer term
THANK YOU