THE MANUFACTURING CIRCLE IS THE VOICE FOR SOUTH AFRICAN MANUFACTURING
Its purpose is to promote the interests of manufacturers to enable
job-rich growth in the South African economy.
Established in 2008 as a corporate association of manufacturers, the Manufacturing Circle conducts research and engages with key stakeholders to promote the benefits of manufacturing growth for the broader economy, influence policy, and highlight opportunities and key priorities for manufacturing growth. In pursuit of these objectives, the Manufacturing Circle also meets periodically with government ministers, heads of key state-owned entities, provincial and local government leaders; and other business sector leaders.
A strong and growing manufacturing sector is of vital importance to South Africa because it:
• employs more than 1.6 million people;
• provides the base load and scale for key national infrastructure
such as electricity, rail and municipal services;
• is among the top three multiplier sectors in terms of value addition,
job creation, export earnings and revenue generation;
• is a driver of tertiary education and the absorption of people into the workforce;
• accounts for more than 12% of GDP; and
• provides the only viable means of beneficiating our own natural resources.
Yet, this positive contribution by South African manufacturing is under threat and declining.
Since 2008, almost 400 000 South African manufacturing jobs have been lost and manufacturing has declined from contributing more than 15% of GDP to just under 13% of GDP in 2016. Key factors contributing to this decline include domestic electricity supply constraints, rapid increases in administered prices, labour instability and competition from unfairly incentivised imported products.
To achieve these objectives, we have prioritised
THREE GOALS TO GROW MANUFACTURING: