SA Construction Industry Shapes Strategy Against Foreign Competition, Focuses on Local Empowerment
South Africa’s construction sector is implementing strategies to counter foreign competition and prioritize local companies, aiming for sustainable growth.The South African construction sector is actively devising strategies to counteract the influence of foreign competitors, particularly Chinese firms, to safeguard and prioritize local companies. This initiative aims to balance international competition with domestic growth and sustainability.
Highlighted concerns revolve around investor confidence, the implications of privatisation, and addressing capacity challenges amidst substantial upcoming projects. Industry leaders underscore the importance of professional development and capacity enhancement in local government to ensure efficient infrastructure spending and project implementation.
Strategic Plan for Local Empowerment
Key figures in the South African construction industry, including Gregory Mofokeng of Construction Alliance South Africa (Casa) and Elsie Snyman of Industry Insight, have voiced their concerns over the growing presence of international competitors.
Key figures in the South African construction industry, including Gregory Mofokeng of Construction Alliance South Africa (Casa) and Elsie Snyman of Industry Insight, have voiced their concerns over the growing presence of international competitors.Their strategy focuses on ‘ringfencing’ construction projects for South African companies, aiming to create a buffer against the influx of foreign contractors. This approach is not only about protectionism but also about fostering a competitive and capable local industry ready to take on big projects from state-owned enterprises and private sector initiatives.
Addressing Capacity and Professionalism
One of the pivotal areas of focus is the enhancement of professionalism and capacity within the local construction sector, especially concerning projects managed by local governments. The industry is calling for a concerted effort to improve the qualifications and capabilities of municipal managers and chief financial officers.
This move is deemed crucial to ensuring that local governments are well-equipped to manage the increased budget allocations for infrastructure development effectively and efficiently, thereby mitigating the risk of project delays and cost overruns.
source: https://bnnbreaking.com/world/south-africa/sa-construction-industry-shapes-strategy-against-foreign-competition-focuses-on-local-empowerment
