In a bid to contribute to the country’s job creation drive, the Small Enterprise Development Agency (Seda) has reprioritised its focus and has identified three sectors in which it will help small enterprises grow and make an impact. The announcement was made by Seda Board Chairperson, Mr Linda Mngomezulu. “Small enterprise development forms an integral part of government’s strategy to boost the country’s economic growth. Seda, as government’s strategic instrument for small enterprise development, has to re-align itself and look to assist small enterprises in the sectors that show potential for growth,” said Mngomezulu.
The new sectors are:
- Agriculture – focusing on agro processing and rural development;
- Services - information communication technology (ICT) and tourism; and
- Manufacturing – focusing on tooling, metals fabrication and chemicals manufacturing.
However, this does not imply that the small enterprises Seda assists going forward must come only from these sectors, as Mngomezulu explains: “What this means is that a greater degree of energy and effort will be expended in assisting small enterprises in these mentioned sectors. Having participated in these sectors, we are also confident that we possess the necessary skills capacity as an organisation to deliver in these sectors and will be able to leverage on the current and targeted partnerships in order to make an impact.”
Seda will also, through its Community Public Private Partnership (CPPP) and Co-operatives Programme, seek to assist more communities to create collectively owned enterprises in order to contribute to job creation, focusing on activities such as agro-processing. Seda CEO, Hlonela Lupuwana, says collectively owned enterprises have proven successful in some countries in creating employment for communities with access to local resources.
“Seda revived the Community Private Public Partnership (CPPP) programme over a year ago as a way of developing rural enterprises. The model advocates for the identification of locally available resources that can be used to create viable commercial enterprises,” explains Lupuwana.
Seda is also looking to increase the number of Technology Business Centres for business incubation run by its Seda Technology Programme (Stp) during the financial year starting 1 April 2011. This will increase the number of small enterprises supported in the incubation programme and in turn contribute to job creation. Eighty percent of small enterprises in Seda’s incubation programme survive past the first two years of trading therefore enhancing their chances of sustainability and capacity to create jobs.
“With this new focus and approach we are certain that our impact in the small business landscape will be much greater,” concluded Mngomezulu.
ISSUED BY The Small Enterprise Development Agency
MEDIA CONTACT Lindokuhle Nkomonde – Manager: Corporate Communications and Media Relations
TEL 012 441 1210
Date Wednesday, 25 February 2011