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25 August 2004

SMME Tyres Managing Director, Brayce Mthimkhulu,
Honourable Premier of KwaZulu-Natal, Sbu Ndebele,
Honourable Minister of Transport, Jeff Radebe,
Honourable MEC for Transport, Safety and Security, Bheki Cele
Honourable MEC for Public Works, Blessed Gwala
MPs, MECs, Councillors,
Deputy Mayor of Ethekwini, Logie Naidoo
MDs and Other Esteemed Members of the Business Community,
Ladies and Gentlemen,

I am highly honoured to attend the launch of the SMME Tyre KZN today in the presence of many guests and movers and shakers of Industry in the province and in the country.

Our mere presence here is testimony of Government’s unwavering commitment to the cause of Black Economic Empowerment and the entire project of economic growth and transformation in South Africa.

This morning I had the privilege of addressing a group of businessmen and women in Luanda, in the Republic of Angola, as part of a three-day official visit to that country. To these business leaders I said, as I now have occasion to say to you: the business sector cannot stand by as we rebuild both the country and the continent. That it only makes business sense to invest now in the future of the country and the continent of Africa, in particular as we intensify our campaign of Africa’s renewal.

We believe that it is through interventions like this launch today that we will effectively create sustainable businesses that play a significant role in meeting the growth and development challenges of the Second Economy. SMMEs and cooperatives form part of a bigger drive of Broad-Based Black Economic Empowerment as articulated by President Thabo Mbeki in various addresses to this nation.

During the May 2004 State of the Nation Address, President Mbeki dedicated this government to paying particular attention to the further growth of the small and medium business sector. The President further committed the Department of Trade and Industry to merge Ntsika and the National Manufacturing Advisory centres into a unified enterprise development agency that will provide non-financial support to small and medium enterprises. This agency will have a total budget of R120 million.

The government’s programme is therefore on track in that regard and the merger is expected to take place before the end of the year.

Ladies and Gentlemen, informed by achievements and lessons of the first decade of freedom and democracy, we have moved swiftly into a new and more rapid phase of economic transformation marked by practical deadlines, service delivery and more effective implementation.

We should therefore be greatly inspired by the calibre of business leaders such as our host tonight, Mr Brayce Mthimkhulu of SMME Tyres KZN, who decided to venture into the risky and unpredictable world of business, in particular the tyre industry where black ownership was up until today not heard of.

As head of a black-owned tyre company, Mr Mthimkhulu, with the various individuals and groupings from the community including entrepreneurs, women and charitable organisations, have joined the drive to transform the economic landscape of South Africa.

There are no doubt, many other business leaders, in the province and the country, who have taken up the challenge of growing the country’s economy for the benefit of a better life for all. We applaud such business processes and leaders, as they strengthen our efforts in turning the tide against unemployment, poverty and underdevelopment.

We have confidence that business in the empowerment hands will not only thrive and grow the economy, but will also transfer the necessary skills to the groups historically disadvantaged by apartheid.

We further reiterate that, to pull the country away from decades of poverty and underdevelopment, government will continue to work with the private sector by forging all possible links to develop and support entrepreneurs in the small and medium business sector.

I cannot overemphasise the importance of drawing as many partners as possible, into partnerships to rebuild and develop our country.

Our programmes and policies remain on the right track, and we will rely on the support of all sectors of our society, of both the First and Second Economies, to enable a speedy delivery of services as well as the roll-out of programmes like SMME Tyre KZN and many others tailored to enhance the country’s path of economic growth, development and transformation.

In closing, I would like to congratulate SMME Tyre KZN for their launch today and hope their partnership signals greater participation in the future of more black businesses in the tyre industry.

I once again thank you for the opportunity to address this important gathering and wish you high levels of productivity and growth in your business.

Sithi halala Bhungane, uthuthuke njalo ukhuphule umnotho wezwe lakithi.

I thank you.

Issued by: The Presidency
25 August 2004