Municipalities Urged to Create Conducive Environment for Manufacturing.


Gqeberha: The Deputy Minister of Trade, Industry and Competition, Zuko Godlimpi, has underscored the crucial role of local government in strengthening South Africa’s manufacturing and export capabilities. Addressing the 2nd Annual District Development Model (DDM) Conference at Nelson Mandela University in Gqeberha on Saturday, Godlimpi emphasized that municipalities are central to providing services, reducing bureaucratic obstacles, and creating opportunities for manufacturing enterprises, whether located in central business districts, industrial parks, or special economic zones.

According to South African Government News Agency, Godlimpi stated that manufacturing is not just an economic activity, but a key driver of growth, resilience, and job creation. “Manufacturing is not just an economic activity, it’s the engine that drives growth, supports resilience and creates stable, well-paying jobs,” he remarked. The Deputy Minister highlighted that municipalities need to foster environments where manufacturing e
nterprises can flourish, thereby driving local economies forward.

Godlimpi emphasized that manufacturing provides economic stability due to its resilience to external factors such as global commodity prices and weather conditions. He noted that unlike sectors that depend on finite resources or favorable weather, manufacturing can operate in diverse environments, provided there is solid municipal infrastructure.

Manufacturing also acts as a catalyst for growth in upstream and downstream industries. Godlimpi explained that the production of items, such as automobiles, activates numerous supporting sectors including plastics, textiles, and logistics, thus stimulating local economies.

The Department of Trade, Industry and Competition (the dtic) has been proactive with initiatives aimed at empowering businesses through export-focused programs. Since April 2023, programs such as the Global Exporter Passport Programme (GEPP) and Export Awareness Seminars have equipped over 285 businesses across various districts
with export-readiness skills. “Our objective is to make exporting accessible to enterprises nationwide, not just those in urban hubs. Programmes like GEPP ensure that businesses in rural areas are equally prepared to engage with global markets,” Godlimpi said.

The Deputy Minister also stressed the importance of reducing red tape at the municipal level, explaining that municipalities that prioritize efficiency and active support for manufacturers create environments far more attractive to investors than those merely offering financial incentives.

Godlimpi praised the DDM as a unique opportunity to unlock economic potential and build inclusive, resilient economies across the country’s districts. “By working in partnership with municipalities and stakeholders, we are creating a vibrant export sector that not only enhances South Africa’s competitiveness globally but also generates local employment,” he explained.

The DDM Conference showcased the synergy between national, provincial, and local government effort
s in economic development, underlining the collaborative approach needed to enhance South Africa’s manufacturing sector.