Agbiz lauds SONA and is ready to partner for inclusive growth
Published: 11/02/2022
Agbiz lauds the pragmatic approach of President Cyril Ramaphosa’s 2022 SONA and is ready to partner for inclusive growth and job creation. According to Agbiz chairperson, Francois Strydom, “The recognition that an enabling environment for business is critical for attracting investment and helping to solve the unemployment and low economic growth challenge in South Africa is significant. We have heard similar notions before, but the focus on energy security through embedded generation, investment in port infrastructure and the call for third-party operators on rail show that business’ concerns are being heard at the highest level. The agribusiness sector is ready and willing to partner with government to take these initiatives beyond rhetoric and translate it to action.”
Agbiz lauds the pragmatic approach of President Cyril Ramaphosa’s 2022 state of the nation address (SONA) and is ready to partner for inclusive growth and job creation. According to Agbiz chairperson, Francois Strydom, “The recognition that an enabling environment for business is critical for attracting investment and helping to solve the unemployment and low economic growth challenge in South Africa is significant. We have heard similar notions before, but the focus on energy security through embedded generation, investment in port infrastructure and the call for third-party operators on rail show that business’ concerns are being heard at the highest level. The agribusiness sector is ready and willing to partner with government to take these initiatives beyond rhetoric and translate it to action.”
These sentiments were echoed by Agbiz CEO Theo Boshoff, who highlighted that the momentum must now be matched with action. “Business institutions have been working tirelessly behind the scenes in partnership with critical stakeholders such as Transnet to alleviate the challenges constraining export-led, inclusive growth. The focus on not only port infrastructure but also rail linkages and rural roads is therefore welcomed. Discussions are already underway to find practical and pragmatic solutions that will address our short-term challenges and unlock the long-term collaboration and opportunities for growth.
We look forward to working through organised business to achieve the social compact referred to by the President and meaningful partnerships with those entities that enable economic growth. The infrastructure focus is particularly notable as a large share of South Africa’s agriculture products is transported by road, and we export roughly half of the produce of the country in value terms. As we strive to expand agricultural production and boost inclusiveness in the sector, we need the same focus on energy and logistics. This will be achievable through genuine partnerships and collaboration.
As far as the specific interventions are concerned, the focus on rural logistics infrastructure, water, cross-border trade, and immigration speaks to the importance of agricultural value chains within the South African economy. From a policy point of view, the commitment to reduce red tape is welcomed but must be followed up with concrete action. “The sentiment to reduce red tape is overwhelmingly positive. However, the policy is the purview of various departments and spheres of government. Therefore, the same message and drive must flow from the Presidency into every corner of government and municipalities.”
Agbiz looks forward to engaging with government and other social partners in ensuring the sustainability and growth of the sector, rural economy and the overall economy.
