Question NW724 to the Minister of Trade, Industry and Competition

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25 May 2020 - NW724

Profile picture: Macpherson, Mr DW

Macpherson, Mr DW to ask the Minister of Trade, Industry and Competition

(1) With reference to the call by his department for public comments on the Government’s Draft Framework for the Risk-Adjusted Strategy to bring different sectors of the economy back to work, what role does his department play in reviewing submissions received from members of the public in determining the schedule of services to be phased in on each level of the Government’s Draft Framework for the Risk-Adjusted Strategy; (2) whether his department plays any role in monitoring the submissions received from members of the public via the (a) [email protected] and (b) [email protected] electronic mail addresses; if not, in each case, why not; if so, what are the relevant details in each case; (3) what (a) changes have been made to the schedule of services to be phased in on each level of the Government’s Draft Framework for the Risk-Adjusted Strategy due to the submissions received from members of the public and (b) was the reason for each change; (4) what criteria will be used to measure the success or failure of each level proposed for each economic sector?

Reply:

The Department of Trade, Industry and Competition has supported the work of Government in reviewing submissions which were received during the public consultation process. In particular, the dtic reviewed a number of submissions received from individual businesses, business associations and trade union.

Officials from the DTIC were given access to review submissions received from individual businesses, business associations and trade unions, largely directed to the [email protected] email address. A team of officials from the Department, including from InvestSA and the Industrial Development Division were assigned to review such submissions.

A number of changes were made to the schedule of services which were phased in under Alert Level 4 and for the schedule recommended for Alert level 3. These changes were based on the feedback received both from individual businesses, business associations, trade unions and from the public. In some cases, the submissions required further consultations with businesses and trade unions. Some of the submissions were in favour of specific proposals and these were taken into account in the process.

To illustrate with a few examples:

  1. Changes were made in the wording of some sector descriptions and arrangements (for example in agriculture);
  2. Certain sectors or activities were more explicitly addressed in the framework covering those goods which could be manufactured at different levels of employment
  3. Value-chain linkages were more clearly addressed
  4. The minimum level of manufacturing enabled in level 4 was increased as a result of the submissions
  5. The sale of hardware, components and supplies were made more widely available to all consumers; and
  6. The opening up of eCommerce to sell goods other than those available in retail stores was also provided

In addition to these changes effected in Level 4, the submissions assisted Government in the drafting of the framework for level 3.

The incremental opening of certain sectors of the economy is intended to limit the spread of the virus, and to ensure that any spikes in infections can be identified and managed. In addition, it has enabled a greater level of preparedness in society and in the health system than was the case at the start of the pandemic in South Africa.

The dtic has been working closely with industry from manufacturing, construction and retail to get updates on infections and to identify solutions which can be rolled out to the industry.

The success of each level proposed, and the allocation of economic sectors in particular levels, is measured by the contribution to containing the spread of the virus and flattening of the curve of infections. Where necessary, changes are made to the extent of economic activity to the wider objectives of saving lives and protecting livelihoods.

The industry classification system was explained at a joint meeting of Parliamentary Committees on 1 May 2020, setting out criteria and the application of the three systems in the country moving from Level 5 to Level 4. The President announced recently that the country would move to Alert level 3, which will enable additional industrial sectors to return to full production.

Government has engaged with a number of organisations, from business associations, trade unions, political parties, premiers of provinces, individual businesses and religious institutions to receive feedback on the systems and to consider representations on proposed changes.

These have contributed to finalising the economic activity which will be enabled under Level 3.

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