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Tuesday 4 April 2017

ANC Today

ENHANCING ORGANIZATIONAL INTEGRITY THROUGH POLICY REFORM

06juneNathi Mthethwa
Every five years the African National Congress (ANC) conducts a strategic review of its policies across a range of broad thematic areas. As the governing party of South Africa, it is essential that our policies remain relevant and responsive to the needs of the nation and prevalent local as well as global circumstances and conditions.

As the ANC limbers up for its 5th National Policy Conference in June, as well as the 54th National Conference slated for December, the organization has released a set of discussion documents.

These nine discussion documents are always released publically and within good time in order to facilitate an effective participatory process involving not just from our branches, but the public at large – in line with the ANC’s longstanding commitment to participatory democracy.

Amongst them is the ANC’s Strategy and Tactics document, that broadly outlines, analyses and charts a future course for the movement within what we call the Balance of Forces, both domestically and globally. It is testimony to the vibrancy of the movement’s intellectual tradition that the Strategy and Tactics, first adopted at the Morogoro Conference in Tanzania in 1969, are regularly reviewed and updated by our movement in response to prevailing conditions.

Assessment of the balance of forces helps us to clarify opportunities and constraints in the process of discharging our responsibilities towards deepening social transformation.
The Strategy and Tactics document analyzes the global and domestic Balance of Forces, and how this facilitates or hinders the attainment of the ANC’s ultimate objectives.
Arising from this are the medium- and long-term tasks facing both the organisation and society at large.

All the other documents are rooted in the ANC’s Strategy and Tactics – for it is in essence presents the theoretical perspective of the organization.

The Strategy and Tactics opens with a historical overview of our society; underlining the point that the 1996 Constitution, whilst containing transitional clauses, was on the whole an expression of untrammelled majority rule, with profound socio-economic provisions.

In this sense, the ideals the Constitution articulates are not a compromise; but wholly consistent with the objective of creating a society underpinned by a profound humanism.

That said, it has become worrying common that a number of sectors within our society, especially in the political arena, have turned our courts into the terrain for contesting political squabbles and settling scores, when such could possibly have been better managed through more relevant channels. From quarrels with satirical puppets, to the lyrics of controversial songs, to the seemingly endless legal challenges to Constitutionally-valid administrative actions of the Executive.

This low-intensity ‘law-fare’ has steadily been ratcheted up over the years, and are sucking up the judiciary into the maelstrom of day-to-day societal management.

Repeated attempts of this kind, involving significant resources (even from non-governmental organization’s who traditionally have limited sources of funding and income) leads one to question whether there is an attempt by the privileged elements of society to undermine the ANC’s popular electoral mandate through the courts.

Another chapter outlines the ANC’s vision for a National Democratic Society founded on unity, non-racism, non-sexism, democracy and prosperity. A subsequent chapter of the Strategy and Tactics deals with the motive forces of the National Democratic Revolution (NDR), and further outlines that the fact they stand to benefit from the process of revolutionary change does not necessarily impel them to act in a corrective measure. Here the point is reinforced that Black workers – employed and unemployed, urban and rural – remain the main motive force of the process of change.

The chapter on Political Leadership and the Process of Change deals with our organisational challenges and what the movement has to do to remain relevant.

The analysis of the global Balance of Forces in the Strategy and Tactics is instructive for all who seek to understand modern political dynamics, as well as the influence that global capitalism continues to wield in society, despite the slow rise of progressive forces.

At the centre of humanity’s challenges is economic inequality. It is well known that more wealth is owned by the richest one-percent than the rest of humanity; and ‘eight men now own the same amount of wealth as the poorest half of the world’ (Oxfam: 2017).

In many developed countries, large swathes of the population have in the recent period actually experienced stagnant incomes and a declining quality of life.

No where is this more acutely manifested than in South Africa. As the Strategy and Tactics notes, we “represent the most acute manifestation of most of the social fault-lines that define humanity’s current challenges: race, class, gender and geographic location. Income inequality and inequitable distribution of assets are at their most intense. Poverty and unparalleled opulence live cheek by jowl. “

What is clearly demonstrated in the assertions made by the document is a deep seated relationship between political oppression and the apartheid capitalist system that, if decisive action is not taken to deal with economic subjugation and exclusion, the essence of apartheid will remain, with a few black men and women incorporated into the courtyard of privilege.

The old fault-lines will persist, and social stability will be threatened.

Unfortunately, but perhaps predictably, the crisis of capitalism also finds expression in the collapse of ethics, or greater public exposure of such deplorable practices.

From ‘cooking of the books’, wilful violation of financial regulations, vehicle defeat devices to circumvent environmental regulations, to massive and undeserved packages to many executives and, in some instances, actual looting of the fiscus – all these developments have undermined the legitimacy of many polities in the eyes of the majority of citizens.

The ANC’s policies are informed by the need for the revival of local and African economies; driven by a new corps of continental leaders with peoples’ interests at heart. This sets the stage for improving the quality of life of our people.

The ANC seeks to harness the Africa Rising narrative. By some estimates, by the turn of the century, seven of the fastest growing economies in the world were located in Africa.

Africa’s trade with the rest of the world has grown massively; foreign debt has declined; and labour productivity has improved. Critically, these advances have found expression in such social indicators as improved income, lower rates of unemployment, reduction in poverty, higher rates of enrolment in primary education, and lower rates of under-five mortality.

As articulated in Agenda 2063, the continent seeks to attain prosperity based on sustainable development, democracy and citizen activism, good and ethical governance, as well as multifaceted integration and peace.

The fate of South Africa is inextricably linked to the continent’s future, and the progress the continent has made in the past twenty years has been to South Africa’s advantage.
Despite the daunting challenges that our country continues to face, we have done well. The Strategy and Tactics captures the point very clearly.

At the core of the ANC’s tasks in the current period is the renewal of the organisation for it to exercise societal leadership in a changing environment, and the speeding up of programme of fundamental transformation.

It is the task of all the cadres to unpack the themes outlined in the discussion documents. The release of these documents presents us with an opportunity to take stock of our methods of struggle and their effectiveness or lack thereof. It also beckons that we look deeply into the new conditions as a result of our new position in the country, continentally and globally.

We call upon branches and broader members of society to read and engage with the documents.

By Nathi Mthethwa, Minister of Arts and Culture and a Member of the NEC, NWC and Chairperson of Political Education Sub-committee of the NEC.

SA News

SA should not be despondent: Minister Gigaba

Pretoria - While South Africa has its challenges, the country should not be desponded following announcements made by rating agencies, Finance Minister Malusi Gigaba said on Tuesday.

South Africa currently has R2.2 trillion in public debt, with approximately 10% of this debt being denominated and repaid in foreign currency.

On Monday, Standard & Poor’s lowered its credit rating for this portion of the country’s public debt to below investment grade.

“Our rand denominated debt, which constitutes 90% of the debt portfolio, remains investment grade rated. Moody’s, which continues to rate government debt two notches above sub-investment grade, has indicated their intention to review the rating,” the Minister said.

Addressing media at the National Treasury offices in Pretoria, Minister Gigaba -- who earlier in the day held a meeting with former Finance Minister Pravin Gordhan -- said while the decision is a setback for South Africa, he is confident in the South African economy.

“We acknowledge that yesterday’s announcement was a setback. Despite our current challenges, now is not the time for despondency. We have many strengths we can leverage to grow our economy inclusively. We will act decisively as government,” he told media following the meeting.

The main reasons given by S&P for the downgrade include the recent executive changes, which they say have put at risk fiscal and growth outcomes.

The Minister said the decision by Moody’s to initiate a review for a downgrade was prompted by the abrupt change in leadership at key government institutions.

“A country’s investment grading becomes junk status when two of the three ratings agencies actually downgrade it to that status. What this means is that it’s a setback but we have no reason to be despondent,” he said.

Commitment to fiscal consolidation

Minister Gigaba said while the executive leadership of the finance portfolio has changed, government’s overall policy orientation remains the same.

“Government has been and will remain committed to a measured fiscal consolidation that stabilises the rise in public debt. The fiscal trajectory that our country is pursuing will continue. Our fiscal objectives remain unchanged. We are committed vigorously to pursuing economic growth in an inclusive way,” he said.

He said South Africa, which recognises the concerns raised by the rating agencies, will address these concerns.

He said, however, the agencies have acknowledged South Africa’s strengths, which include a stable monetary framework, giving government confidence.

“Going forward, we will be dedicating energy to engage with business leaders, organised labour and rating agencies. We will act with urgency to accelerate inclusive growth and development so that we can reverse poverty, unemployment and inequality,” said Minister Gigaba.

Government has said there is a need to reignite South Africa’s growth engine.

Plans to meet rating agencies

Minister Gigaba said he intends in the near future to lead a delegation of stakeholders to meet with rating agencies, including Moody’s and Fitch, which will announce its rating decision on Friday.

“We need to address perceptions about political stability and reassure them of our intention to steer the course,” said the Minister, adding that government has not abandoned radical economic transformation, with a focus being set on industrialising the economy.

Meanwhile, the Minister said he intends to meet with stakeholders such as Chief Executive Officers of banks as well as labour. – SAnews.gov.za

The Southern Times

Mineral beneficiation – Without political will, SADC will fall short

Aug 29, 2016
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By Ranga Mberi

THOUSANDS of years after the first miners dug up ore on the continent, Africans are yet to figure out just how best to benefit from their minerals.

Conventional thinking would have us believe mining only started when columns of colonials rolled in on their wagons, bargaining with locals, “discovering” gold and setting up the roots of the multinationals we see today.However, mining in Africa is in fact as old as time itself.

The Ngwenya Mines of Swaziland, according to UNESCO, were mined an astonishing 40 000 years ago. In Zimbabwe, as across Africa, there are heritage sites – many of which we have not protected well – that show pre-colonial African expertise in mining.

While they traded much of their minerals, a lot of what they dug up ended up on their necks and wrists as ornaments, or as tools for farming and hunting. They were practising what today, centuries later, is being debated in boardrooms, convention centres and in all sorts of scholarly articles – mineral beneficiation.

Across Africa, next to resource nationalism, governments are talking up beneficiation, or value addition, as the next frontier in making sure Africa benefits more than it has, for centuries, from its vast mineral wealth.

It is not a new debate. The AU Mining Vision, published in 2009, sought to find ways of driving this agenda. That document came at the crest of the commodities boom, which had seen many mineral-rich African countries boost their economies.

There was just one problem with all that. Mineral prices move in cycles. African countries that have depended on resources such as oil and metals know this all too well; you rely too much on resources, and you are setting yourself up for trouble when prices suddenly go through the floor.

The AU then came up with a plan. African countries, it said, needed to ensure its minerals turned its economies into diversified industrial hubs. No more should they just export minerals in raw form, but they should use those minerals to drive industrial growth at home.

It was a vision proposed in many plans at national and regional levels. Among these were the Lagos Plan of Action, SADC Mineral Sector Programme, Mining Chapter of NEPAD, and the Africa Mining Partnership.

However, beneficiation takes more hard work than it appears.

Mining is capital intensive. Projects are funded decades in advance, and by funders that demand assurances on resources and guarantees on markets.

It will not only be the mines that will need a culture shift. Governments too will have to change their approach.

A good place to start is South Africa, the continent’s mining powerhouse.

A paper by South Africa’s Department of Mineral Resources (DMR) found that it could not force beneficiation on mining companies without first ensuring “intensive co-ordination” across a range of its departments. The DMR found it needed to build new links between dozens of departments; mineral resources, economic development, trade and industry, science and technology, public enterprises, energy and treasury, as well as business and labour.

Secondly, does Africa have the necessary infrastructure? Beneficiation is an energy-intensive industry. It means the smelting and re-smelting of production. Can our African power plants, already struggling to cope with existing industries, meet the demand? Can we supply power to these plants at competitive tariffs?

Thirdly, once we have produced all those value added products, do we have the markets? Are we able to sell them at competitive prices? Can we compete with the skills of jewelers in Italy or the low labour costs of India?

How much have our African governments invested into research and development? 

Zimbabwe has recently sent diamond cutters for training in China. It is a good step, but do we have enough skills training plans to sustain all this going forward?

An idea would be to integrate regionally, and build, for example, regional jewelry hubs. However, given the lethargy of regions such as SADC on integration, is there much hope for this?

One can imagine governments developing special economic zones that are exempt from duty and VAT for manufacturers. Factories would need access to inputs at competitive prices. They would need good incentives to invest in R&D.

The solution lies in our governments’ ability to make it attractive for manufacturers to add value to our resources. They must be able to do that at low cost, with good skills, using clean, affordable energy. Only then would our products compete.

So, while beneficiation sounds nice in the bid boardrooms and conference centers, the reality is somewhat tougher. Achieving it will take huge political will, the likes of which many African governments still find hard to muster – even after 40 000 years of mining.

SA News



SA: Government improving lives in rural areas

By:– SAnews.gov.za
Mbizana – President Jacob Zuma says government is making strides in improving the lives of people especially those in the rural areas.
“We have committed ourselves to developing our rural areas. We want all our rural areas to have economic activities so that our people can have jobs and also be able to make a living from the land and from small businesses in rural areas,” the President said on Friday.
He was speaking at the official launch of the Mbizana Rural Enterprise Development (RED) Hub, an OR Tambo Centenary Project at Dyifani village, in Mbizana, in the Eastern Cape.

A total of R53.5 million has been invested in establishing and operating the Mbizana RED Hub.
President Zuma said there is a need to stimulate growth through agriculture.
“It cannot be that we must all go to the cities to earn a living,” he said.
President Zuma said he is pleased with the creation of the RED Hub as one of government’s efforts to stimulate growth through agriculture and agro-processing.
“This development will alleviate poverty and address low levels of development in the District. We are aware that agriculture is the third highest contributor to the Alfred Nzo District’s economy,” he said.
He said there is an urgent need for major new private sector investments to create jobs and improve livelihoods in the area.
“Our people must make a living from the land, and must also not go hungry when they can produce food from the land. We are thus happy with the partnerships between the local municipality and other stakeholders to embark on massive grain production with the aim of addressing high level of poverty in the area,” the President said.
According to President Zuma, the government has spent R100 million on the Ilima/Letsema national conditional grant projects aimed at eradicating poverty and stimulating the economy.
To date, the total amount invested by government in the RED Hubs over the past three years is R190 million.
“We urge the whole of government to support local farmers by increasing public procurement of agricultural products from our own primary producers,” he said.
President Zuma called on the national government to support the farmers to ensure that they grow and move from being subsistence farmers to commercial farmers.
The locals gave the RED HUB project a thumbs-up, saying it is going to create jobs for the locals.
“I am happy with the project since it is in my area and it is going to reduce the high rate of unemployment in the area,” said Xolelwa Majoni, a local resident.
“The project is not only about food, as the locals we are also going to learn a lot about agriculture,” she said.
Echoing the similar sentiments was Japhter Tsolo, also a local resident, who told SAnews that he is now able to provide for his family.
“I am employed at the project processing mealie mealie and packaging for the market,” he said.
The Mbizana RED Hub is one of the four RED hubs in the Eastern Cape, implemented by the Rural Development and Agrarian Reform (DRDAR)’s agency, the Eastern Cape Rural Development Agency (ECRDA) and covers six wards which constitute 14 villages in the Mbizana local municipality, Alfred Nzo District Municipality.
The RED Hub will service the villages with a strong focus on value addition of grain as well as Hub primary production, mechanisation and establishment of a trading centre for farmers to assist cooperatives in growing the local rural economy to create jobs and sustainable livelihoods.
The funds for the initiative have been provided to ECRDA by the Eastern Cape Provincial treasury and ECRDA is implementing the initiative.
The Mbizana RED Hub planted 986 ha in 2014/15 crop production season at 13 primary cooperatives.
The total white maize yield that was bagged was 317 tons and 226.5 tons was sold to Mqanduli RED Hub.
In 2015/16 crop production season, there were only 488.1 ha planted land with white maize. This was attributed to the dry and hot drought conditions that affected the entire country. In 2016/17 crop production season, there is approximately 1459 ha planted land with white maize.
Among others, who attendant the launch was Agriculture Deputy Minister Bheki Cele, the Eastern Cape Premier, Deputy Minister Stella Ndabeni-Abrahams and senior government officials.