The President has also indicated that the IDC has developed a programme to fund companies in distress. Had we been separately furnished with details, we would have been able to judge the merits of the plan. On the face of it, we believe that the industries that were identified for support are reactive and will not provide innovation and sustainable jobs, let alone decent work.
According to the President, the lead sectors already identified were automobiles, chemicals, metal fabrication, tourism, clothing and other sectors. In addition, attention will also be paid to services, light manufacturing and construction, amongst other things, in the quest to create decent jobs. It seems that the IDC has already developed a programme to fund companies in distress.
The notion that our factories should produce items from start to finish in one operation, in one factory needs to be reviewed. In this case, one factory could be outmoded and another could be counterproductive. We are now living at the end of the industrial economy as we have known it. Factories must now participate in a collaborative value chain in which they produce one, two or three parts or items on a massive scale to meet world demand. In this way, our factories will look for competitive advantages and then exploit those to the optimum level. As this country is rich in resources and minerals, we indeed need to encourage many of our factories to become genuine global players and, therefore, competitive producers of parts or items rather than the whole.
As an example, with our abundance of iron ore resources we could try to be the world leader in the production of chassis for motor vehicles, buses and trucks, and then supply these to other manufacturers in other countries on a competitive basis.
For me, this is how Cosatu can play an effective and positive role in the growth of the economy of this country, rather than toyi-toying for the Reserve Bank's Tito Mboweni to be dismissed. [Applause.]
Remember the statement: "I'm afraid, very afraid." This is actually the time to be very afraid. "They came for the Jews, and I didn't speak up." They came for others, I was quiet. This is going to haunt us as South Africans for many, many years.
Turning to the government's declaration to buy goods and services locally without our global competitiveness and pushing up costs beyond acceptable levels, Cope endorses that. [Interjections.] In this regard, manufacturers need a lead time, and therefore the planning commission should be charged with the responsibility to synthesise all government orders so that small businesses can come in at a competitive price and deliver on time.
Hon President, how are you going to deal with those provinces that, since the new government came into power, froze all payments to SMMEs? Most of those SMMEs are going under as a result of that. This does not go hand in hand with what you said in the state of the nation address, and I quote you: "We will reduce the regulatory burden on small businesses".
This is standing in the way of service delivery. If we talk service delivery, we must make sure that, as government, we are the first to ensure that we do not actually freeze service delivery and cause our communities to suffer, especially those we want to uplift.
As Cope, we welcome the creation of the new Ministry of Women, Youth, Children and People with Disabilities and hope that this department will not be used as a dumping place for those marginalised sectors of our country.
We agree that the Expanded Public Works Programme, EPWP, must be used to alleviate poverty, especially in these sectors. But as it stands, it seriously needs to be reviewed. The planning commission should pay attention to these issues.
The Gundulashe Pilot Project, which was launched in 2004, proved to be a disaster even before it saw the light of day. This is because the local council concerned neglected this road. Actually, this very road has gone back to the condition it was in before repairs. This does not look good in terms of the Expanded Public Works Programme, because it should actually filter down to council to do what they are supposed to be doing.
Another project is the tunnel farming project in Qwaqwa, which had huge capital funding, but is now a white elephant as we speak. These are some of the examples of why a review of the Expanded Public Works Programme is necessary.
No nation, in terms of the last state of the nation address, has been fed as many promises as South Africa has. This is probably the most ambitious statement ever made in this Chamber in view of the problem our country is facing of a 6,4% decrease in GDP.
In this case, when we deliver we need to start at home. How are we going to talk to the private sector, when government is actually not paying those small businesses? Who is going to champion them, if we are not champions ourselves? We are supposed to be leaders in that. I think the President needs to take that into consideration. I thank you. [Applause.]