Companies urged to support SMEs
‘Real activities, financial support needed’
SMALL Business Development Minister Lindiwe Zulu has urged companies to help the government in supporting and developing small and medium enterprises (SMEs).
At a business forum on the sidelines of the ANC’s conference yesterday, Zulu said backing for SMEs should not just come from government and state-owned enterprises.
“In the three-and-a-half years since I have been in office, I have realised that there is a lot of talk about supporting small and medium enterprises.
“But somewhere along the line it falls short of understanding the real challenges that are faced by SMEs – that these small enterprises have to compete with big companies, who have deeper pockets and have been operating for a very long time,” Zulu said.
“If only we could use the same energy we had when fighting apartheid to turn things around for small and medium enterprises, and if only South Africans could realise that industrialisation, beneficiation and everything that comes through it is about creating jobs and making sure that jobs remain here.
“It might look like something small, but it would make a big difference.”
Zulu said small businesses should be ready to take advantage of support from the government, which was putting the necessary legislation in place and had declared that 30% of its goods and services procurement would be given to SMEs.
“Yes, there is a political will to ensure that we support SMEs, but a political will on its own, not supported by real activities, by real financial and non-financial support, by ensuring that we create a conducive environment for SMEs, will almost be meaningless,” Zulu said.
Zulu said there would be an announcement next year about support for SMEs and entrepreneurs from the EU. – African News Agency/ANA