Loading...
See More

Auto, mining, IT earmarked for jobs

Feb 15 2011 20:36 Sapa

Related Articles

Weaker rand no silver bullet: Analysts

SOEs urged to create more jobs

Patel: State won't regulate salaries

Busa warns on wages cap

Patel's engineers claim queried

Num slates Patel's plan

 
Cape Town - Economic Development Minister Ebrahim Patel on Tuesday outlined developments in car manufacturing, mining and the IT industry he said would create thousands of new jobs.

Patel told the National Assembly that car makers - including BMW, Mercedes-Benz, Volkswagen and Toyota - had announced a total of R10bn worth of investment in South Africa. Two of the contracts alone would create 2 000 jobs.

Another 2 000 jobs will be created in the IT sector, in part through state plans to incentivise the manufacture of devices that can convert old televisions to the digital platform.

Patel said a baby care project announced by Proctor & Gamble and new investments by Nestlé and Pioneer in the agro-processing sector would also contribute to job creation.

Elaborating on President Jacob Zuma's commitments on curbing unemployment, Patel said the government would set modest job creation goals for this year and build up towards its target of creating five million new jobs by 2020.

"This year we will take steps that will facilitate immediate job-creation and also lay the basis for long-term sustainable job creation," he told MPs in the debate on the president's speech.

"Our approach is to begin with more modest targets for the first five years and progressively build on these, to achieve the five million jobs by 2020."

Patel added that the country could only achieve this ambitious target "if we unlock the job-creating capacity in the private sector".

He said the government recognised that well-designed developmental programmes that fight poverty, inequality and unemployment would in themselves promote economic growth and employment.

The Zuma administration believed that many South Africans lived on the sidelines of the economy because of a lack of infrastructure like roads and electricity.

"We need to fix this. We will use infrastructure as a key trigger for growth and jobs," he said.

"Over the next four years to 2014, our infrastructure expenditure estimates provide for more than a quarter trillion rands a year."

Eskom and Transnet would play a vital role in improving infrastructure but would also stimulate the economy and "create jobs on scale".

The electricity supplier would enroll 8 000 artisans by 2015 and is expected to have 6 800 new qualified artisans.

He said the Industrial Development Corporation "can do more" to strengthen investment in industrialisation, and would over the next five years allocate R25bn to investments in the green economy and R5bn for agro-processing partnerships with the private sector.

Mining had a vital role to play, and created 17 000 new jobs in 2010, Patel said.

The government would work with the industry to expand mining output, and hoped to set up an integrated metals beneficiating plant.

If studies showed that it were feasible, the venture would involve R15bn worth of investment and had the potential to create 7 000 jobs in building and operating the plant, he said.
 
zuma  |  jacob  |  ebrahim patel  |  new growth path  |  job creation  |  idc
NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
10 comments
Add your comment
Comment 0 characters remaining
 

Company Snapshot

We're talking about:

Small Business

Retailers of any shape and size can now unlock the power of mobile transacting.
 
 

Goalkeeper saves five penalties with his FACE!

Nothing, and we mean nothing, will keep goalkeeper Scott Stirling from stopping the ball!

 
 

Men24.com

Hottie of the day: Jesselyn
This invention makes farts smell like chocolate!
11 things men don’t know about their clothes
Hilarious mortal kombat elevator prank!

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...
Loading...