The Department of Trade and Industry (DTI) has recorded a significant increase in the number of businesses approved for funding from its several incentive schemes, said The Deputy Director-General of the Department of Trade and Industry (DTI), Tumelo Chipfupa.
Addressing the Trade and Industry Portfolio Committee Chipfupa said “There has been a focus on the female and youth owned businesses to enable them to actively participate in the economy and the key to the success was the partnerships with the DTI agencies and working together with other stakeholders”.
Chipfupa reported that there was an increase in the number of approvals in the Broadening Participation, Competitiveness Investment, Manufacturing Investment and Services Investment Incentives.
He said since the start of Black Business Supplier Development Programme (BBSDP) in September 2010, 1519 applications have been approved to the value of R547.8 million. The Co-operative Incentive Scheme (CIS) had approved 1009 applications to the value of R237.4 million since its inception in April 2005.
“The newly launched Incubator Support Programme (ISP) was launched during the 37th International Small Business Congress during September 2012 and has committed R168.8 million to support incubators, 14 of which have been approved so far,” he added.
With regard to the Manufacturing Competitiveness Enhancement Programme (MCEP) 197 projects were approved, with R983m committed to support manufacturers. Chipfupa said R4.2 billion was projected for investment and 33 372 jobs were to be sustained in this industry.
“Key achievements in the Export Marketing and Investment Assistance Scheme (EMIA) where the 1 018 assisted exporters approved for R70m, where 327 approved black-owned male enterprises approved for R27m and 89 approved female-owned enterprises approved for R5.9m The Sector Specific Assistance Scheme (SSAS) had 25 entities approved 424 enterprise R31 million paid out in actual claims, whereas the Capital Projects Feasibility Programme (CPFP) had registered a R39.5m value of approved feasibility studies with R25 million paid out in actual claims to engineering services companies”, mentioned Chipfupa.
Chipfupa reported that the Manufacturing Investment Programme (MIP) 539 approved MIP Projects to the tune of R1 768 million and the Film & TV Production Incentive had approved 70 Television productions with R386 million committed to support these productions. He added that the Business Processing Services incentive had approved 12 projects where a R41.0 million grant was approved and that the R1.2 billion projected investment was projected to create 3 936 jobs.
He highlighted that the Critical Infrastructure Programme (CIP) which attracts Foreign Direct Investment ensuring that there is potential for rural areas in providing mining projects had approved 6 projects which applied to the value of R9.8 billion and was to create 4941 jobs.