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SA needs to roll up its sleeves

Jul 25 2012 14:45

Johannesburg - Productivity within the South African economy must rise, the SA Chamber of Commerce and Industry (Sacci) said on Wednesday.

Sacci supported Trade and Industry Minister Rod Davies' position that it was crucial for job creation that productivity be raised across the economy, especially in the manufacturing sector, CEO Neren Rau said in a statement.

"South Africa's historical competitive edge (cheap electricity) is no longer available and a structural change is needed to reposition the productive economy towards higher levels of value addition," he said.

Programmes outlined by Davies to achieve higher productivity included higher levels of beneficiation, more focused incentive programmes - especially for small and medium enterprises - and the prioritisation of key sectors.

Sacci met Davies on Wednesday morning for a dialogue breakfast.

Discussion topics ranged from the proposed Tripartite Free Trade Agreement to South Africa's relationship with China, the green economy, BEE and trade promotion.

Trade policy issues, such as the need for more effective economic diplomacy and government initiatives to address the lack of regional infrastructure, were also discussed.

Rau said: "Currently the low levels of cohesion between government and business do not facilitate a 'Team South Africa' approach."

Wednesday's breakfast was a continuation of fostering a strong working relationship between government and business, he said.

Sacci's annual convention at the beginning of October was also very important in promoting this relationship.

sacci  |  sa economy



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