5. MAJOR PROGRAMMES The programmes of the Steel Master Plan are divided into three major categories:
Supply-side measures
Demand-side measures
Cross-cutting issues
The emphasis of the Master Plan is on implementation and impact. The Implementation Plan which accompanies this Master Plan identifies key short, medium and long-term deliverables and milestones. These will be considered by the Steel Oversight Council and may from time to time be modified by the Council, based on experience and impact. The programmes listed in these three categories are grouped under twelve headings. This will make it easier for the Steel Oversight Council to construct a dashboard to track the progress in implementing the Master Plan.
The twelve headings are as follows:
SUPPLY-SIDE MEASURES
DEMAND-SIDE MEASURES CROSS-CUTTING MEASURES
1. Input cost reduction in the value chain and availability 2. Establishing industry and product standards 3. R&D, innovation and the fourth industrial revolution for productivity and competitiveness 4. Resource mobilization for investment and stabilization 5. The primary steel industry and steel prices: carbon and stainless steel
7. Infrastructure programme and localisation
11. Industry cohesion and steel industry development fund
8. Import replacement
12. Transformation
9. Product value chains
10. Exports
6. Training and mentoring
Each programme will constitute a work stream. To implement them effectively, business will provide project managers to work with the three partners, business, labour and government. They will report to the Steel Oversight Council. Each work stream must also have a champion from business, labour or government, who will assist the project team to overcome blockages and bottlenecks. The dtic will investigate the feasibility of establishing a specialized Project Management Support Unit which is tasked specifically with the effective implementation of government’s role in the implementation of the Master Plan. Increasing demand remains the most important medium- to long-term objective, which requires the unlocking of effective and productive spending by the government and the private sector on infrastructure and the effective localization of production for these projects, as well as the operationalizing of a steel component of the AfCFTA. However, both supply and demand-side measures are necessary. Many of the supply-side measures will be temporary, to give the industry a breathing space. The industry must therefore increase competitiveness, including moving towards green industry processes, which will be a competitive advantage in markets such as the EU. The Competition Commission supports the Steel Master Plan, noting that there should be a balance of measures to support the competitiveness of the sector against price raising effects and exclusionary practices that may affect the competitiveness of the steel industry and related industries that use steel as an input.
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The South African Steel and Metal Fabrication Master Plan 1.0
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