Note to Editors: Attached is a soundbite by DA MPL, Mike Moriarty here.
21 micro bakeries in townships across Gauteng are struggling to access the market for supplying bread in bulk to shops and government departments. This challenge is hindering employment creation and the growth of the township economy, despite the capacity to bake at least 22,000 loaves of bread per day.
This should not be the case, given the fact that Gauteng has a history of procuring catering services from other provinces, such as the Free State.
This information was revealed in a reply to the Democratic Alliance (DA) Gauteng’s questions tabled in the Gauteng Provincial Legislature (GPL) to the MEC for Economic Development, Vuyiswa Ramokgopa.
Please see reply here.
The fact that these bakeries are struggling to access the market is not new. In April last year, during a stakeholder engagement with the bakeries, the same issue was highlighted, and to date, nothing has been done to remedy it.
Premier Panyaza Lesufi has failed the bakeries by not leading by example in ensuring that the Gauteng Provincial Government (GPG) procures bread from these 21 micro bakeries.
Many institutions across the province are owned and funded by the provincial government, such as old age homes, children and youth centres, and hospitals that procure bread every day. In addition, provincial governments occasionally host events and meetings, and bread is procured somewhere other than from these bakeries. There are many markets that Premier Lesufi has failed to open for micro bakeries. This would also motivate the private sector to support businesses in the township economy.
The Gauteng Department of Economic Development has spent R479 430,00 on training the 21 micro bakeries, which is money wasted as there is no return on investment. This failure means missed job opportunities for millions of unemployed youth in our townships.
The DA Gauteng demands that Premier Lesufi and MEC Ramokgopa cut the red tape hindering bakeries from doing business with the provincial government. For years, businesses in townships have complained about their difficulty in obtaining tenders directly from the government. Instead, they often end up as subcontractors for larger companies that secure those government tenders.
Gauteng has the potential to unlock more job opportunities through the township economy. A DA-led Gauteng provincial government would immediately cut the red tape that hinders township businesses from doing business with the government. The DA will also assist small businesses in becoming compliant so that they can provide goods and services to the government.