SEZs board will advise on strategy and policy

Trade and Industry Minister
Rob Davies has defined the
Special Economic Zones
programme as “one of the
most critical instruments
that can be used to advance
government’s strategic
objectives of industrialisation,
regional development and
job creation” – while also
assisting in improving the
attractiveness of SA as a
destination for foreign direct
investment (FDI).
Davies added that the
SEZ Bill would enable
government to move
towards a broader SEZs
programme – “designating
a variety of SEZs to address
the economic development
challenges of each region,
and spatial development
inequalities”.
The key provisions include
the establishment of an SEZs
board to advise the minister
of trade and industry on the
policy, strategy and other
related matters; establishment
of the SEZs fund to
provide for a more coherent
and predictable funding
framework that enables
long-term planning; and
strengthening of governance
arrangements – including
clarification of roles and
responsibilities of key
stakeholders.
“In addition,” Davies
said, “we will have a more
coherent approach to planning
and supporting special
economic zones operators,
especially in areas such as
investment promotion and
marketing; capacity building;
environmental protection;
infrastructure development
and logistics; improved
co-ordination among
government agencies; and the
reduction of red tape.”
Following the official
launch of the scheme, the dti
has embarked on a public
consultation process on the
SEZ policy and Bill.
“We will immediately
start engaging provinces on
identifying possible SEZs
and undertaking the required
feasibility studies for each
proposed SEZ.”
Although FTW approached
a number of high-level
business executives for
comment on the fledgling
SEZ Bill, the response was
Spartan in nature.
Raymond Parsons, deputy
CEO of Business Unity South
Africa, told FTW: “Busa
cannot comment in-depth at
this stage, pending further
detail, but welcomes the
opportunity to examine how
the mechanism of special
economic zones can be
effectively used to promote
industrial development and
job creation in South Africa.
“The upgrading of
industrial development zones
is welcomed but the overall
success of the latest initiative
will ultimately depend on
the extent to which its design
boosts competitiveness.”