Economic Opportunities

Programme 2: Integrated Economic Development Services

1.

a) In which municipalities?

b) How much is being spent on the programmes

c) How many jobs are being created

• Metro
• Worcester
• Oudtshoorn
• Paarl
• Stellenbosch
• Saldanha
• Ceres

The Department commenced with the Cape Accelerate programme in 2015/16 with the objective to accelerate the development of SMEs in the Khulisa sectors of agri-processing and oil and gas.

23 businesses (out of 54) were selected in the agri-processing sector to be developed with expanding existing or developing new markets.

The full budget R6 018 000.00

The number of jobs created will be established by the end of the 2016/17 financial year as part of the outcomes assessment.

Programme 3 and 6: Economic Sector Support

1.

a) In which municipalities?

b) How much is being spent on the programmes

c) How many jobs are being created

• Project Khulisa Agri-processing is a Province-wide Initiative, however, there are number of initiatives implemented in various Municipalities.

Project Khulisa was initiated to analyse the Western Cape’s economic sectors.  Through this process, three focus sectors were selected for the Western Cape Government (WCG)to prioritise. One of these sectors is Agri-processing. The Key Focus Areas were identified during the planning phase of Project Khulisa, namely:

• Strategic Intent 1 : Increase exports of Wine and Brandy to China and Angola – Double the value of SA Wine exports to China and Angola by 2025;
• Strategic Intent 2: Capture a larger share of the global Halal market  - To grow the Western Cape’s share of the global Halal market from <1% to 2% by 2025; and
• Strategic Intent 3: Improve local production capacity for domestic and key strategic markets – Increase the value added by the Western Cape Agri-processing Sector by R7billion by 2020.

Total Budget Allocated by the Department of Economic Development and Tourism in 2016/2017 FY to support Project Khulisa Agri-processing  initiatives amounted to

R17, 298 million.

Among the Khulisa initiatives targeting non-metropolitan municipalities are:

1. The development of the Greater Brandvlei Region which includes Langeberg Municipality, Breede Valley Municipality and Cape Winelands District Municipality, 
2. Facilitating the establishment of an inland port terminal for the fruit industry in Witzenberg Municipality.
3. Stellenbosch Municipality as a possibility for a Halal industrial park pending the outcomes of a pre-feasibility study that has been commissioned to inter alia assess suitability of sites.
    

Agri-processing Cluster – this programme aims to support the agri-processing sector’s capacity, growth and competitiveness. This is done by implementing various programmes which assist companies to  improve their production processes and systems, taking companies to strategic trade shows, workshops on all aspects of the entire value chain, business finance, costing and product pricing, etc.
Total Budget Allocated by programme 3 in 2016/2017 FY to support this programme is R2.10 million.
 

Other Agri-processing Initiatives – The Department of Economic Development and Tourism also provides strategic support to Aquaculture, Forestry, Natural Products and other subsectors. Due to continued constraints on budgets, our approach has been to develop innovative partnerships with strategic stakeholders.

Project Khulisa indicated that the Agri-processing sector has a potential to grow from the GVA of R12 billion to R26 billion, and also to increase the jobs by 100 000 thousand during the Strategic Plan period – 2014 to 2019.

The GVA and jobs targets for Khulisa Agriprocessing are set for the Department's 5 year strategy and are not individual annual targets. These outcomes will be evidenced in impact studies, as they are medium-term impacts.