With smarter localisation, clearer procurement rules and a more deliberate industrial strategy, public spending could again become a powerful engine for rebuilding factories, expand supply chains and restore confidence in South Africa as a manufacturing country, public and private professionals say.
Localisation is not about closing the economy, but about using the State’s buying power to build a stronger, more competitive manufacturing base that can serve domestic and export markets, says electromechanical equipment manufacturer ACTOM Group CEO Mervyn Naidoo.
South Africa does not lack industrial capability; it lacks a procurement system designed to nurture and expand it.
With clear rules, long‑term visibility and firm designation, public spending can again become a catalyst for investment, job creation and industrial renewal, he says.
“The problem is not a lack of opportunity, but a lack of coherence. Public procurement is too often fragmented and inconsistent, and contracts are awarded for short periods, with no guarantee of continuity or commitment to local industry.
