Localisation for Africa
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Publisher Localisation For Africa( Pty) Ltd
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Whilst there are a number of good articles in this issue, there are two articles in particular that I strongly recommend you read. First is comparing the priorities of private sector localisation with public sector localisation. There are some interesting similarities’ and important differences between these two approaches. The second article is titled“ Is South African business taking advantage of State Owned Companies’( SOC) localisation opportunities?”
The extract that I would like to draw your attention to is“ The danger to SA suppliers who do not take the initiative in the localisation / socioeconomic arena, are multiple. Firstly they may lose business to better prepared and more responsive competitors, secondly, the OEM may decide to do the work in-house in SA and cut them out of the value chain or finally they may have obligations foisted on them in a top down manner from the OEM.
The danger to South African industry is the OEMs may use the poor response of the local supply chain as a justification for reduced local content targets and a wholesale substitution of local content with imported.”
It is certainly interesting times around the world economically speaking and for us in South Africa it’ s a bit like a roller coaster! The gold price, the coal price, the petrol price, Nelson Mandela, Barack Obama and don’ t forget the poo- of all things! Gandhi must be turning!
But as this is a constructive journey lets not dwell on it, lets do something about it!
Till next time.
Sincerely,
Phillippa Dean MD
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