DA welcomes end to Olympic tracksuit embarrassment

31 August 2016

The recent public uproar around the issue of awarding the South African Olympic team’s tracksuits to a local company who then had it manufactured in China, shows that South Africans want their government to support local producers who will create jobs. 

The Democratic Alliance therefore welcomes the Portfolio Committee for Trade and Industry endorsing our request for the Auditor-General (A-G) to table his regulations for audit outcomes related to Supply Chain Management (SCM) for all government spheres and departments.

For the fist time, when the AG does his yearly audit outcomes, supply chain management in terms of local procurement will now become an actual audit outcome. This means government will have to disclose where the goods they have purchased will come from, in turn supporting local procurement and creating jobs. 

For the last two years, the DA has highlighted the continued unwillingness of departments and spheres of government when it comes to buying locally produced goods. Another recent example was the delay in utilising local solar geysers and PVs in the energy sector.

The DA also welcomes the support of the Department of Trade and Industry to have the following developed by the A-G:

- Regulations related to SCM purchases to support South African-made goods and services

- Develop audit outcomes for all government spheres, bodies and entities that will reflect in the annual audit outcomes

- Verification guidelines to determine the point of origin for supplied goods

Currently, local municipalities have embarked on a buying bonanza to equip councillors with all manner of goods, from laptops, bags, shirts and hats, all unchecked and all bought from overseas companies using tax payers’ money.

Now that the multiparty committee has expressed its desire to have these regulations developed, the DA will monitor the process with a keen eye and ensure that no further delays take place. 

If we are to support local businesses, we must ensure that government, as the single biggest purchaser in the country with at least 42% of South Africa’s national budget spent on the acquisition of goods and services, puts its money where its mouth is and backs South African-made goods.

Issued by Dean Macpherson, DA Shadow Deputy Minister of Trade and Industry, 31 August 2016