Question NW2622 to the Minister of Trade and Industry

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11 September 2018 - NW2622

Profile picture: Mulder, Dr PW

Mulder, Dr PW to ask the Minister of Trade and Industry

With reference to his reply to question 2397 on 28 August 2018, which 23 products have been designated for local production in terms of the 2017 Preferential Procurement Regulations; (2) By what date(a) does he expect his department’s guidelines for the local procurement of non-designated products to be finalized and (b) put into effect; (3) Whether he will make a statement on the matter?

Reply:

1. The table below provides a list of products that have been designated for local production with minimum local content thresholds. The table also provides commencement dates in which the National Treasury circulated instruction notes which regulate the environment within which government departments and public entities may advertise, evaluate, adjudicate and procure designated products.

 

Designated Products

LC Threshold

Date

1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

19.

20.

21.

22.

23.

Railing Stock

Power Pylons and Substation Structures

Bus Bodies

Canned/ Processed Vegetables

Textiles, Clothing, Leather & Footwear Sector

Certain Pharmaceutical Products

Set-top Boxes

Furniture Products

Electrical and Telecom Cables

Valve Products and Actuators

Working Vessels (Boats)

Residential Electricity Meters

Steel Conveyance Pipes

Transformers and Shunt Reactors (class 04)

Two Way Radio Terminals

Solar PV (components)

Rail Signaling System

Wheelie Bins

Solar Water Heaters

Fire Fighting Vehicles

Steel Products and Components for Construction

Rail Per way (Track) Infrastructure

Pumps & Medium Voltage Motors

65%

100%

80%

80%

100%

Per tender

30%

85-100%

90%

70%

60%

90%

80-100%

10-90%

60%

15-90%

65%

100%

70%

30%

100%

90%

70%

16-07-2012

16-07-2012

16-07-2012

16-07-2012

16-07-2012

07-12-2011

26-09-2012

15-11-2012

08-05-2013

06-02-2014

01-08-2014

01-08-2014

28-09-2015

28-09-2015

30-06-2016

30-06-2016

30-06-2016

18-08-2016

19-07-2012

21-11-2016

13-01-2017

13-11-2017

12-12-2017

2. Both the dti and National Treasury’s teams have worked together in finalising the draft guidelines the local procurement of non-designated products. The guidelines were approved by the Minister of Trade & Industry for onward transmission to the Minister of Finance in March 2018. The National Treasury, as the custodian of supply chain policy in government is vested with the powers to circulate the guidelines to the organs of state.

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