Skills transfer policy needed for SMMEs awarded state tenders

A policy is needed to stipulate conditions to be followed by big business in the transfer of skills to SMMEs that receive big government tenders, said Imbumba Business Empowerment on Wednesday. Spokesman Thobelani ­Mkhize said the provincial administration should come up with a policy that directs big businesses to partner with small businesses based on specified quota of the amount of tender awarded. Mkhize said this in response to the findings of the Professor Paulos Zulu-led special committee to investigate threats to social cohesion in the province. The committee was appointed two years ago after pressure groups, Mazibuye African Forum and Imbumba Business Empowerment, claimed Indians controlled the province’s economy. Mazibuye had wanted Indians to be excluded from affirmative action and black economic empowerment, and Imbumba had demanded that previously small businesses be considered in the province’s economy.

Mkhize said they welcomed the committee’s report, which he said was in response to their demand for inclusion in the province’s economy. “There are companies that are prepared to team up with us. Social cohesion is a good thing. We started to engage the government on how they should assist SMMEs, but not once have they wanted to help us,” said Mkhize. The committee warned about the need to deal with the inequality and poverty in KZN if the government was to defuse the anti-Indian sentiment and threat of serious outbreaks of violence. As part of its recommendations, the social cohesion committee said there was a need to promote more equitable economic development. “This requires an appropriate skills base, the injection of financial capital into SMMEs, greater articulation between SMMEs and larger businesses and institutions,” the report said. It also said government should develop a more transparent and equitable tender system.

However, Mkhize said it would take only the will of the provincial government to implement the recommendations. “As long as officials and politicians are more interested in business and power, nothing will come right. Government should have a plan to support small business that battled with capital and did not have collateral for bank loans,” he said. Ashwin Trikamjee, president of South African Hindu Maha Sabha, said he welcomed the release of the report. “The recommendations must be implemented, otherwise the report will be just another report,” he said. But, SA Minority Rights Equality Movement’s Ashin Singh described the report as a joke and a waste of time. Singh also questioned the appointment of the people who served on the special committee on social cohesion. “We don’t recognise their appointment. There was no public participation and we were not invited to make a presentation to the committee,” Singh said. Mazibuye’s Zweli Sangweni and Injeje yamaNguni spokesman Phumlani Mfeka said they would study the report before releasing a comprehensive media statement.