Government assists SA exporters

South African firms to aggressively market their products internationally, and the government provides assistance through the creation of export councils.

The main government department tasked with assisting exporters is the Department of Trade and Industry (DTI) which provides support, incentives and assistance primarily through its offshoot Trade and Investment South AFrica (TISA).

DEPARTMENT OF TRADE AND INDUSTRY (DTI)

The Department of Trade and Industry (DTI) promotes the formation of industry-based export councils. Officials from the Directorate: Export Sector Promotion are encouraging industry, especially those involved with cluster formation, to include an export strategy and ultimately an export council in their future plans.

A financial assistance scheme makes provision for financial contributions to industry associations in order to form export councils. The DTI currently has 53 Economic Representatives in 44 offices situated in over 40 strategically selected countries and they are active participants in the process of helping the exporters reach their targets.

Click here for the DTI site

TRADE AND INVESTMENT SOUTH AFRICA (TISA)

Locally, TISA works under the umbrella of the DTI, and provides a one-stop shop for investors and exporters at a national level. It also coordinates provincial initiatives to match investors' requirements with opportunities available in all nine provinces. In particular, TISA focuses on promoting sectors of the South African economy that show the greatest growth potential and marketability.

These sectors are the following: chemicals-fine and speciality chemicals, polymers, and pharmaceuticals; Minerals and metals-ferrous and non-ferrous metals; Agro-processing-meat, fruit and vegetables; Textiles-clothing and leather; Automotive-materials, technology and research; and information & Communication Technology-electronics and IT.

Internationally, TISA's sales and marketing teams operate from around 50 diplomatic offices and provide core market intelligence as well as identifying opportunities and targeting key investors. The TISA offices utilize the full range of communications to bring this message across, from negotiations to exhibitions.

TISA is a flexible, customer-led organization in terms of the services it delivers and the financial incentives it oversees, and carefully monitors its successes. An example of this would be the TISA-funded sector-specific Export Councils in partnership with the South African business sector, and the financial Export Marketing & Investment Assistance (EMIA) export incentive scheme. In 2000 the sectors, prioritised by TISA, realized R4 billion in trade growth, and R6,1 billion in fixed inward investment, in the country's manufacturing sector.

As TISA's sector specialists have a clear understanding of, and access to, the various industries, they are able to provide sound advice on all current export processes and procedures. To ensure enquiries are channeled to the relevant specialist organizations, the Customer Care Centre can be contacted on 0861 843 384, or view their Internet site for their contact details.

The DTI also promotes the formation of industry-based Export Councils, to stimulate the export process. The Export Councils (see below) are prime delivery vehicles that stimulate export growth and deepen the export base. This format is also aimed at assisting Small and Medium Enterprises (SME) and Black Economic Empowerment (BEE) companies to enter the export market successfully.

The Export Marketing & Investment Assistance (EMIA), a division of TISA, also provides funding to South African companies.

Export Councils

Many export-orientated firms, in various industrial sectors, have already organized themselves into 20 sector Export Councils to tackle the global market place as a collective force. The exporters have selected certain target markets and have set export targets that they will be seeking to achieve this year.

TISA says that the DTI promotes the formation of industry-based export councils by encouraging industry, especially those involved with cluster formation, to include an export strategy and ultimately an export council in their future plans. A financial assistance scheme makes provision for financial contributions to industry associations in order to form export councils.

The Export Council approach has also been tailored to allow Small Businesses to form a SMME Export Council that can act as an entry point for first-time exporters. This format allows small businesses in any sector to access the DTI support structures and become successful exporters. A similar approach is also taken with the Arts & Crafts Export Council that supports artists and crafters to enter export markets. This is especially helpful in rural communities where women, who form the major constituents of this Export Council, often head the households.

The Export Council structure has also been given a forum to address all obstacles and proposals that may affect their ability to export successfully. This takes the form of a National Export Advisory Council and the quarterly meeting is attended by the executives of the various Councils.

Click here and then select EXPORTS/HOW WE CAN HELP YOU/EXPORT COUNCILS for a full list of the Export Councils and contact details

Export Marketing and Investment Assistance Schemes (EMIA)

The DTI also provides assistance to exporters through the EMIA scheme which is administered by Trade and Investment South Africa. Special terms are available for Small, Medium and Micro Enterprises (SMME) sector.

The purpose of the assistance under the EMIA scheme is to partially compensate exporters for certain costs incurred for activities aimed at developing export markets for South African products, and to recruit new foreign direct investment into South Africa.

It assists exporters with primary export market research, with trade missions and with exhibitions. (Soon to be extended to inward and outward investment missions. The scheme consists of 4 parts: Primary Market Research, Outward Selling Trade Missions, Inward Buying Trade Missions, Exhibition Assistance.

The following EMIA schemes are available:

The following criteria can apply: