Finance and Economic Opportunities:
With regard to the launch of a dedicated digital marketplace that connects businesses that need to purchase personal protective equipment (PPE) with the suppliers and manufacturers thereof:
1. What are the details of (a)(i) the suppliers and (ii) the manufactures that have been included in the marketplace and (b) their BBBEE status levels;
2. what are the details of the (a) suppliers and (b) manufacturers that have been success-fully connected to businesses that need to purchase PPE and (c) value of each purchase;
3. whether there is a stipulated minimum threshold for local production and content of PPE; if not, why not; if so, what are the relevant details?
The PPE marketplace was launched as a joint initiative by Wesgro, the Western Cape Government and the City of Cape Town to assist businesses in the Western Cape to find and procure the Personal Protective Equipment (PPE) necessary to ensure that their workplaces are safe and stop the spread of Covid-19. Like any online marketplace, all PPE suppliers are welcome to register their details for free in order to be listed and contacted by businesses looking for PPE supplies.
All the details of the suppliers are publicly visible on the PPE marketplace website: https://supportbusiness.co.za/marketplace/
Information on the supplier’s BBBEE level is available when viewing a specific product, for example: www.supportbusiness.co.za/marketplace/product/reusable-face-mask-3-4-ply
This is not a required field when registering on the website, so it may be that some suppliers do not have their BBBEEE listed.
- The function of this, PPE Marketplace was to connect buyers and sellers, to date we have had over 15 000 visitors to the page. We do have the functionality for businesses to make enquiries via the platform. However, as the contact details of companies are supplied, we find that some buyers are contacting the sellers directly for quotes.
- Refer to response in (a) above.
- The marketplace plays no role in the actual transaction, it only lists available vendor contact details, and therefore we are unable to provide exact information. At best, we are able to provide estimates which have been provided above. To date, we have had 142 queries via the page, with a total value of R6 million. But we do not have data in terms of what number of these queries converted into sales. We are looking at a business engagement with vendors listed to develop a better understanding of conversion rates.
There is no minimum threshold to register a product. When loading a product companies are requested to complete the following information:
- Company name
- Business address
- Business contact number
- Business email address
- BEE Level
- If they are registered with the South African Health Products Regulatory Authority (SAPHR) or not
- What other databases they are registered on, e.g. CSD
- Product name & description
- Is the product locally manufactured or supplied?
- Can they provide customisation?
- Minimum order quantity
- Order delivery location
As the PPE Marketplace is not a public procurement vehicle, buyers and vendors are not bound to local production and content requirements. However, to ensure that the PPE Marketplace promotes and provides an opportunity for small businesses, it includes a minimum order quantity. Each vendor that registers stipulates what their minimum order quantity is. The team that loads it onto the website double checks that large businesses do not put in low minimum order quantities - ensuring that small businesses are given a chance to be linked with a potential buyer. Further to this, vendors must confirm if they are a local manufacturer or supplier of a certain product. This allows the buyer to identify local manufacturers on the marketplace. The buyer may choose search only for locally manufactured products, by making use of the relevant checkbox on the PPE marketplace home page.