Development Dialogue: Trade & Industrial Policy Strategies (TIPS) and Green Economy Coalition (GEC)

Agenda

9:30 -   9:45: Opening and Welcome 
9:45 - 12:00: Presentation and discussion of research findings

Regional integration in Southern Africa - A platform for electricity sustainability: Gaylor Montmasson-Clair and Bhavna Deonarain (TIPS) 

South African municipalities and renewable energy - New roles and opportunities: Louise Scholtz (WWF-SA)

Tea 

Energy empowerment - A community-based approach to the ownership and delivery of renewable energy: Tasneem Essop (representing EDI)

From user to prosumer - Energy interventions at the firm level: Julie Wells and Ndivhuho Raphulu (NCPC-SA)

12:00 - 13:00 Panel discussion with presenters, facilitated by Minnesh Bipath (SANEDI)

13:00: Lunch

Background

South Africa's electricity sector is in the midst of a multifaceted transformation. Renewable energy technologies are aggressively entering the market at both the utility- and small-scale levels. Private sector players and prosumers are equally reshuffling the cards of electricity generation. The national grid is oscillating between supply problems and overcapacity while South Africa's neighbours are targeting self-reliance. With the ongoing problems experienced by Eskom, the country's vertically-integrated national power utility, would the solutions to South Africa's electricity issues lie elsewhere? Would deeper regional integration represent a sustainable solution to South Africa's woes? Should municipalities rather play a larger role in South Africa's electricity sector? How should users, be it households and firms, position themselves? The Development Dialogue will share research undertaken on some of these issues and consider the linkages between these different levels of interventions as well as their impacts on the national electricity sector.

See Research

Regional integration in Southern Africa: A platform for electricity sustainability

New roles for South African municipalities in renewable energy - A review of business models

 

 

  • Date Thursday, 22 February 2018
  • Time 09.30-13.00
  • Venue TIPS Boardroom, 234 Lange St, Nieuw Muckleneuk, Pretoria
  • For enquiries or to register please contact natasha@tips.org.za

development dialogue page January 2017

Agenda

9:30 -   9:45: Opening and Welcome
9:45 - 12:00: Presentation and discussion of research findings

Spatial industrial policy, SEZs and cities in SA: Shirley Robinson and Roland Hunter (Cities Support Programme) 

Spatial Dimensions of SEZs and secondary cities: Christopher Wood and Asanda Fotoyi (TIPS)

Tea break

Urbanization, structural transformation and rural-urban linkages in South Africa: Rob Davies (representing IFPRI) 

Industrial Development and spatial planning - lessons from eThekweni Municipality: Neva Makgetla and Mbongeni Ndlovu (TIPS)

12:00 - 13:00 Panel Discussion with presenters: Urbanisation and industrialisation

Lunch: 13:00

Background

South Africa's high rate of poverty and unemployment are significantly worse in the rural areas of the country, in particular the former homelands. There has as a result been an ongoing migration out of rural areas into cities and towns. What happens to people when they arrive in urban areas? Are there jobs and economic opportunities; or does the poverty persist but in a new setting? How are cities managing the influx of people and how does the changing urban / rural dynamic impact on structural transformation in the economy?

The Development Dialogue will share research undertaken on some of these issues and consider support programmes for spatial industrial development as well as the linkages between the spatial dimension and industrial development in urban areas.

  • Date Thursday, 18 January 2018
  • Venue TIPS Boardroom, 234 Lange St, Nieuw Muckleneuk, Pretoria
  • For enquiries or to register please contact rozale@tips.org.za

AGENDA

Chairperson: Nitin Gunga (the dti)

9:00 - 9:15 Opening and Welcome: Eustace Mashimbye (CEO: Proudly South African)

9:15 - 11:30 Presentation and discussion of research findings

Retail and manufacturing: Andrew Mukandila (the dti)
Supplier development in the retail sector:  Dave Kaplan (UCT and TIPS Research Associate)

Tea break

Adverse Inclusion: Tracy Ledger (TIPS Research Associate)
The spread of supermarkets in the SADC region: Impact on competition and on suppliers: Reena das Nair (CCRED)

Chairperson: Saul Levin (TIPS)

11:30 - 12:30 Panel Discussion: Does South Africa need a retail sector charter or a code of good practice?

  • Mike Morris
  • Reena das Nair
  • Tracy Ledger

Lunch: 12:30

BACKGROUND

Large general grocery retailers and supermarkets have greatly increased their market coverage in South Africa both spatially and in customer numbers over the past 20 years. Estimates are that they now control some 90% of all formal food sales, and more than 60% of total retail food sales. South African-owned supermarket chains have also grown exponentially in the rest of SADC.

Supermarkets are increasingly the gatekeepers between suppliers and end-use customers. They are often the only, or the most important, way in which suppliers, particularly smaller suppliers, can access customers. As more and more consumers purchase most or all of their food from supermarkets, so the supermarkets' power in the chain relative to other participants increases. The procurement practices of supermarkets therefore have a bearing on both small and large businesses, and can contribute or negatively impact on industrialisation efforts.

The colloquium will share research undertaken on the impact of supermarkets, their linkages to the manufacturing sector and supplier development as well as exploring the pros and cons of a code of conduct for the retail sector.

  • Date Tuesday, 24 October 2017
  • Venue TIPS Boardroom, 234 Lange St, Nieuw Muckleneuk, Pretoria
  • For enquiries or to register please contact daphney@tips.org.za
Presentations

Agro-processing: Manufacturing Circle input to the dti regarding opportunities for transformation and growth through an APSS solution - Philippa Rodseth

Aro-processing: An opportunity for manufacturing growth - value chains - Neva Makgetla and Mbongeni Ndlovu

Manufacturing Circle Investment Tracker (MCIT) Q1 & Q2 findings: Xhanti Payi

Background

Since 1998 food processing has tended to move against the grain of the rest of manufacturing, which is dominated by metals and auto production. During the commodity boom, which lasted from around 2002 to 2011, its sales grew more slowly than other manufacturing industries. From 2007 to 2009, during the global financial crisis and the start of the 2008-2016 electricity shortage, most of manufacturing saw a 15% fall in output. In contrast, food processing maintained fairly steady growth in sales until the drought in 2015 and has again picked up in Q1 2017.

In South Africa, the desired outcomes of industrial policy are ultimately sustained, sustainable and increasingly inclusive growth. Can agro-processing contribute to these outcomes through accelerated investment and employment creation? What contribution can it make to government's objectives of support for smaller producers and black industrialists, maintaining food security, and enhancing productivity, competitiveness and industrial diversification? What obstacles does it face?

The Manufacturing Circle Investment Tracker (MCIT) is a quarterly survey of investment taking place by businesses in the manufacturing sector.  It is an indexed survey that highlights the growth or contraction in the level of investment by firms. The data on the findings from Q1 & Q2 2017 will be presented.

Presenters

Neva Makgetla is a senior economist at TIPS. Makgetla has published widely on the South African economy and worked for many years in government, most recently as Deputy Director General for Policy in the Economics Development Department, as well as in COSATU.

Mbongeni Ndlovu: Mbongeni is an economist at TIPS. Prior to working at TIPS he worked at Genesis Analytics and the South African Reserve Bank. He has Master of Science Degrees in African Studies and Development Economics from the University of Oxford. He also holds a BSC in Economics from the University of KwaZulu-Natal.

Philippa Rodseth is the Executive Director of the Manufacturing Circle. She has previously worked at Spoke Consulting and FNB. She has an MBA and a B.Arch from Wits.

Xhanti Payi is the MD at Nascence Advisory & Research, a strategy consulting and research outfit. He has worked as an analyst at Investec Wealth & Investment, an Economist at Stanlib Asset Managers and at Standard Bank Corporate and Investment Banking. Payi has academic training from UCT and the University of London.

Date:    Thursday 17 August 2017

 Time:    9h30 – 12h00

Venue:  TIPS Boardroom, 234 Lange St, Nieuw Muckleneuk, Pretoria 
                                                                                                                                       
RSVP by email: daphney@tips.org.za
 

  • Date Thursday, 17 August 2017
  • Venue TIPS Boardroom, 234 Lange St, Nieuw Muckleneuk, Pretoria
  • Main Speakers Neva Makgetla, Mbongeni Ndlovu, Philippa Rodseth, Xhanti Payi
  • For enquiries or to register please contact daphney@tips.org.za

Presentations on two recent books

Inclusive Business in Agriculture. What, how and for whom? Critical insights based on South African cases: presentation by Wytske Chamberlain (University of Pretoria)

An Empty Plate: Why we are losing the battle for our food system, why it matters, and how we can win it back: presentation by Tracy Ledger (TIPS Research Associate)

Discussant: Ms Ncumi Mcata-Mhlauli, Chief Director: Agro-processing, Department of Trade and Industry

Background

Inclusive business is hailed as a win-win scenario for the development of poor communities; yet there is little insight into how these inclusive businesses work and, more importantly, for whom. Wytske Chamberlain examines the structures of IBs, the actors involved and aims to answer the question, are they effectively inclusive of smallholder farmers?

An Empty Plate analyses the state of the South African agri-food system. Tracy Ledger demonstrates how this system is perpetuating poverty, threatening land reform, and entrenching inequality with negative outcomes for our social fabric.

Presenters

Wytske Chamberlain is a PhD Candidate in Rural Development, University of Pretoria, where she conducts research on inclusive businesses. She holds an Honours degree in Economic Geography from Utrecht University and a Masters degree in Human Geography from the University of the Witwatersrand. Wytske is also the Coordinator of the Regional Focal Point Africa - Land Matrix Initiative, which monitors large-scale land acquisitions.

Tracy Ledger is a TIPS Research Associate. She is a Development Economist. She has Honours and Masters degrees in Economics and Agricultural Economics from the University of the Witwatersrand and Stellenbosch respectively, and a PhD in Economic Anthropology from the University of the Witwatersrand. Tracy has worked in macroeconomic analysis, development policy analysis and design, and the management of development interventions. She has a particular interest in agri-food systems, small farmer inclusion and food security.

  • Date Monday, 26 June 2017
  • Time 13.30-16.00
  • Venue TIPS Boardroom, 234 Lange St, Nieuw Muckleneuk,Pretoria
  • Main Speakers Wytske Chamberlain (University of Pretoria), Tracy Ledger (TIPS Research Associate)
  • For enquiries or to register please contact daphney@tips.org.za

Presentations

Practical Ideas in Heterodox Industrial Policy Thinking: Sandy Lowitt (TIPS Research Fellow)
South Africa's Industrial Policy - by the Numbers: Neva Makgetla (TIPS Senior Economist)

Discussant: Garth Strachan (DDG: Industrial Development Division, Department of Trade and Industry)

Background

Industrial Policy in the 21st century has fundamentally changed in nature. (Largely) gone is the achingly abstract discussion of the motivations behind industrial policy and whether it is a good idea or not. In its place is a recognition that industrial policy is undertaken everywhere in the world, even if it is not openly called industrial policy. It is now widely accepted that industrial policy is a response to market failure just as education policy or health policy are responses to such failures. This normalisation of industrial policy has allowed economists to stop focusing on defending and justifying the pursuit of industrial policy (especially in lagging economies). Instead they can now focus on extant, fine-grained, real world problems facing incumbent policymakers operating in difficult situations. Through this lens, problems with industrial policy design and implementation are viewed - not as insurmountable - but merely the normal course of business which any sensible policy framework must address.

The presentation by Sandy Lowitt will cover her recent Paper on Industrial Policy and she will present three pragmatic industrial policy implementation ideas based on recent heterodox thinking, which is the subject of her recent Policy Brief.

The presentation by Dr Makgetla will look at the overall patterns of industrial development since 1994 and cover key sectors in the economy that have been targeted for industrial policy. Given the shifts in the context of manufacturing since the transition to democracy, a review of key trends in the sector over the past two decades should yield important insights for policy in the coming period. Key questions include the evolution of the structure of production and investment within manufacturing; the impact of the commodity boom and exchange-rate fluctuations on manufacturing profitability and production; and the shifts in ownership and control since 1994.

Presenters

Sandy Lowitt is a TIPS Research Associate. She holds a Master of Commerce from Wits University in Economics. She established the Economics Department in the Gauteng Provincial Government in 1995 and remained at with GPG until 2006. While specialising in economic research and industrial policy and strategy she also created and ran Blue IQ, which delivered projects such as the Gautrain, the Innovation hub and the automotive supplier park. Since leaving the government, Sandy has remained active in public policy research and strategy development.

Neva Makgetla is a senior economist at TIPS. Makgetla has published widely on the South African economy and worked for many years in government, most recently as Deputy Director General for Policy in the Economics Development Department, as well as in COSATU.

  • Date Wednesday, 31 May 2017
  • Time 13.30-16.00
  • Venue TIPS Boardroom, 234 Lange St, Nieuw Muckleneuk, Pretoria
  • Main Speakers Sandy Lowitt and Neva Makgetla (TIPS) Discussant: Garth Strachan (Department of Trade and Industry)
  • For enquiries or to register please contact rozale@tips.org.za

Presentation and Panel Discussion

Rod Crompton and Judith Fessehaie (CCRED)
Simon Roberts (CCRED)
Neva Makgetla and Asanda Fotoyi

Discussant: Edwin Ritchkin

Background 

The presentation by Rod Crompton will discuss the impact of public procurement policy on Transnet's procurement of 1064 railway locomotives as an instrument to develop local rail rolling stock manufacturing capacity in South Africa. The research forms part of a broader research programme under the Industrial Development Research Programme (IDRP) of the Department of Trade and Industry.

Neva Makgetla and Asanda Fotoyi will present findings on the factors that tend to exclude small business from government procurement.

Presenters 

Rod Crompton: Dr Rod Crompton is an independent consultant specialising in industrial policy, energy and economic regulation and a part-time research associate at TIPS. He has a PhD in industrial policy from the University of Natal. He was previously a full-time board member of the National Energy Regulator (Nersa) for 11 years and was senior manager at the Department of Minerals and Energy responsible for energy, hydrocarbons and energy planning for nine years. He has also worked at the Department of Trade and Industry and was managing director of the Minerals and Energy Policy Centre.

Simon Roberts: Professor Simon Roberts is the Director of the Centre of Competition, Regulation and Economic Development (CCRED). He is a professor at the University of Johannesburg, in the Economics and Econometrics Department. He held the position of Chief Economist and Manager of the Policy & Research Division at the Competition Commission from November 2006 to December 2012. Prior to joining the Competition Commission he was Associate Professor of Economics at the University of the Witwatersrand, where he established and directed the Corporate Strategy and Industrial Development research programme examining firm decision-making and economic outcomes.

Neva Makgetla and Asanda Fotoyi are economists at TIPS. Makgetla has published widely on the South African economy and worked for many years in government, most recently as Deputy Director General for Policy in the Economics Development Department, as well as in COSATU. Asanda Fotoyi worked at Statistics South Africa before joining TIPS in 2016.

  • Date Tuesday, 04 April 2017
  • Time 13h30-16h00
  • Venue TIPS Boardroom, 234 Lange St, Nieuw Muckleneuk, Pretoria
  • Main Speakers Rod Crompton, Judith Fessehaie, Simon Roberts (CCRED), Neva Makgetla, Asanda Fotoyi (TIPS)
  • For enquiries or to register please contact rozale@tips.org.za
Presentation and Panel Discussion
 
 Baba-Tamana Gqubule (TIPS) and Xhanti Payi (Nascence Advisory & Research): Presentation on Outcomes of the latest quarterly Manufacturing Circle Investment Tracker
 Christopher Wood (TIPS) and Kelello Mashiane (TIPS): Presentation on FDI Data
 Moleboheng Ntene (Reserve Bank): Presentation on Reserve Bank data

Discussant from the dti

Background

The quarterly Manufacturing Circle Investment Tracker (MCIT) is an initiative of the Manufacturing Circle. It serves to track firm-level investment trends in the South African manufacturing sector. The data on the findings from the third quarter 2016 manufacturing investment trends will be presented. 
 
The FDI Data for Policymakers database has been run by TIPS with support from the Department of Trade and Industry. It is a database that is monitoring and tracking Foreign Direct Investments. The development dialogue will present the initial findings of the project.

PRESENTERS
 

Baba-Tamana Gqubule: Baba has a Masters in Development Studies from the School of Oriental and African Studies (SOAS), University of London and a Bachelor of Economics Honours degree from Rhodes University. She has experience as a Policy Analyst at the Economic Development Department.
 
Xhanti Payi: Xhanti has worked as an analyst at Investec Wealth & Investment, an Economist at Stanlib Asset Managers and was a Country Risk Manager at Standard Bank (CIB). Payi studied at UCT and the University of London. Currently, Payi is the MD at Nascence Advisory & Research, a strategy consulting and research outfit.

Christopher Wood: Chris is a TIPS economist focusing on trade and industry policy. He previously worked as a researcher in economic diplomacy at the South African Institute of International Affairs.
 
Kelello Mashiane: Kelello is a researcher at TIPS. She holds a bachelor’s degree from UNISA, and worked as a research assistant at the Economic Development Department, where she worked on several data collection projects and provided research support to the Chief Economist.
 
Moleboheng Ntene: Moleboheng is a Senior Economist at the South African Reserve Bank in the Economic Research and Statistics Department (Balance of Payments division). She is primarily responsible for monitoring financial account flows and conducting other research related to the balance of payments. She has a Masters Degree in Economic Development and Policy Issues from the University of Johannesburg. 

Date: Wednesday 8 February 2017      

Time: 13h30 – 16h00

Venue: TIPS Boardroom, 234 Lange St, Nieuw Muckleneuk, Pretoria

RSVP by email: Daphney@tips.org.za to confirm attendance.

  • Date Wednesday, 08 February 2017
  • Venue TIPS
  • Main Speakers Baba-Tamana Gqubule (TIPS), Xhanti Payi (Nascence Advisory & Research), Christopher Wood (TIPS), Kelello Mashiane (TIPS), Moleboheng Ntene (SARS)
  • For enquiries or to register please contact daphney@tips.org.za

Presentation and Panel Discussion:

Faizel Ismail – TIPS and UCT: AGOA - A Game of Chicken

Malose Letsoalo – Department of Trade and IndustrY

Christopher Wood – TIPS: Making the Best of AGOA through Export Promotion Policies

Tinashe Kapuya - Agricultural Business Chamber: An Agriculture Industry Perspective

Background

The importance of exporting to the US for any developing country cannot be downplayed. Exports to the largest economy in the world along with various support measures has been of cruciall importance to countries such as Japan and South Korea during their industrialisation, more recently for China. The Africa Growth and Opportunities Act (AGOA) recognises the potential benefits of the US market and is a mechanism to encourage African economies to export into that market. While AGOA is a unilateral agreement by the US it gives benefits to the recipient countries and also is a means to encourage investment by US firms into Africa. The potential to support industrial development is therefore significant and is part of the motivation to extend AGOA by 10 years. Outside of the oil exporters, South Africa is the largest exporter through AGOA. South Africa exports value added products including automotive components and vehicles through AGOA. The recently adopted AGOA, however, specifically required a review of South Africa, mainly as a result of the requirement for poultry and pork imports from the US into the country. The poultry issue has been resolved and a number of compromises reached. The threat of the provisions of the Act that could exclude South Africa still remain. The benefits of South Africa being part of AGOA are applicable to both South Africa and the US,; it is therefore desirable on the side of both countries to find the compromises that would enable that.

 
The TIPS paper to be presented also forms part of a research project undertaken for NEDLAC.

PRESENTERS:

Faizel Ismail: Dr Faizel Ismail is an Adjunct Professor at the UCT School of Economics and a TIPS Research Associate. He has previously been an advisor to the dti on International Trade and Special Envoy on the African Growth and Opportunity Act and served as the Ambassador Permanent Representative of South Africa to the WTO (2010-2014).

Malose Letsoalo: Malose is the Director of Americas Bilateral Trade Relations in the International Trade and Economic Development Division (ITED) of the Department of Trade and Industry (the dti).

Christopher Wood: Chris is a TIPS economist focusing on trade and industry policy. He previously worked as a researcher in economic diplomacy at the South African Institute of International Affairs.

Tinashe Kapuya: Tinashe is the head of international trade and investment intelligence at the Agricultural Business Chamber (Agbiz). 

Date:    Tuesday 24 January2017
Time:    13h30 – 16h00
Venue:  TIPS Boardroom, 234 Lange St, Nieuw Muckleneuk, Pretoria 
                                                                                                                                       

RSVP by email: natasha@tips.org.za to confirm attendance.

  • Date Tuesday, 24 January 2017
  • Time 13h30-16h00
  • Venue TIPS Boardroom, 234 Lange St, Nieuw Muckleneuk, Pretoria
  • Main Speakers Faizel Ismail, Malose Letsoalo, Christopher Wood, Tinashe Kapuya
  • For enquiries or to register please contact natasha@tips.org.za

TIPS_and_PAGE_Partnership_for_Action_on_Green_Econom.jpg

TIPS Development Dialogue on behalf of Partnership for Action on Green Economy 

DESIGNING POLICY FRAMEWORKS FOR A CLIMATE-COMPATIBLE INDUSTRIAL DEVELOPMENT TRANSITION IN SOUTH AFRICA

The South African Government is progressively introducing the policy changes aimed at supporting the transition to a sustainable development pathway. These processes aim to manage a balancing act and a highly contested and fluid operating environment. This reinforces the need for robust and evidence-based planning and policymaking. Furthermore, the multi-layered and multi-faceted nature of the policymaking exercise, fraught with unknowns, uncertainties, incomplete information and external variables calls for an incremental, iterative and flexible approach. This session presents the state of play in South Africa, introducing a policy pyramid perspective, and proposes a practical way forward to design a climate-compatible industrial development pathway in South Africa.

PRESENTER: Gaylor Montmasson-Clair, TIPS

Gaylor Montmasson-Clair is a Senior Economist at TIPS, leading the institution’s work on Sustainable Growth. He holds a Master’s degree in International Affairs from the Institut d’Etudes Politiques (Sciences Po) of Grenoble, France as well as a Master’s degree in Energy and Environment Economics from the Grenoble Faculty of Economics, France.

DEVELOPING GREEN TRADE AND INDUSTRY IN SOUTH AFRICA

The transition to a green economy is seen as an important tool to respond to the multiple developmental challenges in South Africa. In this context, the nexus of green industry and trade, and the identification and assessment of sectors that offer particular opportunities for green industrial development and trade, are core to this transition. This session presents preliminary findings on the identification of challenges and opportunities for advancing green industries and related trade opportunities in South Africa. The presentation will be followed by a facilitated discussion to further identify and assess economic sectors that offer particular trade opportunities (import substitution and/or export potential) from the perspective of green industrial development.

PRESENTERS: Christopher Wood and Shakespear Mudombi, TIPS

Christopher Wood is an Economist at TIPS, focusing on trade and industry policy. He holds a Master’s degree in Development Studies from the University of the Witwatersrand.  

Shakespear Mudombi is an Economist at TIPS, focusing on sustainable growth issues. He holds a PhD in Environmental Management from the University of South Africa and a Master’s degree in Agricultural & Applied Economics from the University of Zimbabwe (with electives done at University of Pretoria).

 

  • Date Tuesday, 22 November 2016
  • Venue TIPS Boardroom, 234 Lange St, Nieuw Muckleneuk, Pretoria
  • Main Speakers Gaylor Montmasson-Clair, Christopher Wood, Shakespear Mudombi (TIPS)
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