The work of the Portfolio Committee – Past and present 1 July 2014 Trade and Industry The work of the Portfolio Committee – Past and present 1 July 2014

Work of the PCTI – M. Herling – 1 July 2014 Overview Mandate of the DTI Key issues Industrial Development Trade, Investment and exports Broadening participation Regulation Administration Other matters Key oversight considerations Work of the PCTI – M. Herling – 1 July 2014

Mandate of the DTI Industrial Development Industrial Policy Action Plan Technical infrastruct-ure Incentives Trade, investment & exports International trade Regional integration Foreign direct investment Exporter develop-ment Broadening participation Broad-based black empower-ment Other aspects to be confirmed Regulation Consumer protection Corporate regulation Incl. credit regulation, IP, liquor distribution, gambling & lotteries Work of the PCTI – M. Herling – 1 July 2014

Work of the PCTI – M. Herling – 1 July 2014 Key stakeholders Society at large (consumers) Business in the formal & informal sectors (manufacturers, exporters, importers, credit providers, retailers, service providers, etc.) Labour Intellectual property owners & service providers Entities National government departments as well as provincial and local government Other governments & foreign business Work of the PCTI – M. Herling – 1 July 2014

Industrial Development Outstanding issues Assess effectiveness of the: implementation of the Industrial Policy Action Plan incentives in meeting their set objectives. First National Industrial Participation Programme report tabled in December 2013 on the Strategic Defence Package Review of the use of a single board to ensure a more cohesive technical infrastructure framework Work of the PCTI – M. Herling – 1 July 2014

Industrial Development New issues Technical infrastructure institutions: Support to new initiatives outlined within government policy and legislation Adequate capital investments being made to ensure that state of the art technology is being used, especially in core areas of support Transition of industrial development zones into special economic zones Work of the PCTI – M. Herling – 1 July 2014

Trade, investment and exports Outstanding issues Status of the Export Credit Insurance Corporation’s request regarding additional funding to support the Interest Mark-up Scheme for exporters. Work of the PCTI – M. Herling – 1 July 2014

Trade, investment & exports New or ongoing issues Ongoing trade negotiations including: World Trade Organization Doha Development Agenda India-SACU (Southern African Customs Union) Preferential Trade Agreement SADC-EU (European Union) Economic Partnership Agreement. Schedules for the Southern African Development Community (SADC) Trade in Services Protocol Tri-partite Free Trade Agreement Regional integration efforts & implementation of agreements at SACU and SADC levels. Use of trade mechanisms to support industrial development Implementation of export incentives & the impact of the National Exporter Development Programme Work of the PCTI – M. Herling – 1 July 2014

Trade, investment & exports New or ongoing issues Economic diplomacy role of trade missions & SA embassies Work of the Committee on the Non-proliferation of Weapons of Mass Destruction Impact of the shift in the trade regime from liberalisation to a developmental approach Impact or implementation of existing trade & other agreements  Commitments to be made in the Trade Facilitation Agreement, which was agreed to at the 9th WTO Ministerial Conference Work of the PCTI – M. Herling – 1 July 2014

Broadening participation Outstanding issues Development & implementation of the: National Strategic Framework on Gender and Women Economic Empowerment Youth Enterprise Development Strategy Informal Sector Strategy  These strategies should be moving to the Ministry on Small Business Development upon proclamation Work of the PCTI – M. Herling – 1 July 2014

Broadening participation New or ongoing issues Broad-based black economic empowerment: new Codes of Good Practice progress on the NEF’s request for its recapitalisation Small, medium and micro enterprises (SMMEs) : Implementation of incubators to support the development of SMMEs Work of the Small Enterprise Development Agency   Co-operatives : Encouraging the development and mainstreaming of co-operatives within the formal economy  It should be noted that these areas should be moving to the Ministry of Small Business Development Work of the PCTI – M. Herling – 1 July 2014

Work of the PCTI – M. Herling – 1 July 2014 Regulation Outstanding issues Gambling: Implementation of the committee’s recommendations on the Gambling Review Commission’s (GRC) report Outcome of the facilitation between grooms, the National Horse-Racing Association and other horse-racing stakeholders.   Lotteries: Appointment of the chairperson and/or board members of the to-be established National Lotteries Commission Intellectual Property: Effectiveness of anti-piracy or prohibition of counterfeit goods initiatives Companies: Implementation of the Swedish Model for the Company and Intellectual Property Commission’s call centre Modernisation of its information technology systems Work of the PCTI – M. Herling – 1 July 2014

Work of the PCTI – M. Herling – 1 July 2014 Regulation New or ongoing issues Consumer protection: Memorandums of Understanding (MOUs) with other consumer protection institutions, especially provincial offices, in terms of referrals by the National Consumer Commission (NCC) NCC's enforcement capacity in terms of appropriate human and financial resources to effectively deal with complaints, investigations and litigation Regulations on product labelling for food containing genetically modified organisms Resolution of complaints regarding incorrect meat labelling. Work of the PCTI – M. Herling – 1 July 2014

Work of the PCTI – M. Herling – 1 July 2014 Regulation New or ongoing issues Credit regulation: Consumers’ access to credit, recourse for unfair or unscrupulous behaviour & the effectiveness of the debt review process Use of social grants as a form of income to determine the affordability of a credit agreement for a grant beneficiary Review of legislation related to emolument attachment orders & debt collection Companies: Establishment and operation of the Companies Tribunal Work of the PCTI – M. Herling – 1 July 2014

Work of the PCTI – M. Herling – 1 July 2014 Regulation New or ongoing issues Intellectual Property: Development of the National Policy on Intellectual Property   Lotteries: New lines of accountability for the distributing agencies of the National Lotteries Distribution Trust Fund Work of the PCTI – M. Herling – 1 July 2014

Work of the PCTI – M. Herling – 1 July 2014 Administration New or ongoing issues Accountability of entities to the Minister in terms of their governance structures and financial performance including quarterly reporting on these matters to the DTI Implementation of action plans to address audit findings DTI’s development of staff particularly in areas of economic diplomacy and trade negotiations to ensure the continuity of these efforts Work of the PCTI – M. Herling – 1 July 2014

Work of the PCTI – M. Herling – 1 July 2014 Other matters New or ongoing issues New regulations to be presented to Parliament for input: BBBEE Amendment Act Co-operatives Amendment Act National Credit Amendment Act Special Economic Zones Act  Establishment of new entities/councils: BBBEE Commission Co-operatives Development Agency Co-operative Tribunal Conversion of the National Lotteries Board into the National Lotteries Commission National Council for Indigenous Knowledge National Trust for Indigenous Knowledge Special Economic Zones Advisory Board    It should be noted that these areas should be moving to the Ministry of Small Business Development Work of the PCTI – M. Herling – 1 July 2014

Work of the PCTI – M. Herling – 1 July 2014 Other matters New or ongoing issues Increase awareness efforts regarding new legislation   Consideration of the allocated financial resources for the establishment of new entities and the expanded mandates of existing entities, as set out in new legislation Monitor new legislation within 2-3 years of their implementation Consideration of quarterly reports on financial and non-financial performance Work of the PCTI – M. Herling – 1 July 2014

Key oversight considerations Monitoring implementation of policies and/or legislation Public and stakeholder participation to review impact of policies and/or legislation Oversight over DTI’s co-ordination role Industrial Policy Action Plan Space Non-proliferation of Weapons of Mss Destruction Intellectual Property Public and stakeholder participation to review impact of international agreements Work of the PCTI – M. Herling – 1 July 2014