Localisation and ESD


Transnet Enterprise & Supplier Development (ESD): Empowering Growth


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Overview of Transnet Enterprise & Supplier Development (ESD)

Transnet is committed to driving economic growth and competitiveness in South Africa. Historically low infrastructure investment has impacted local industries, but government initiatives like the Broad-Based Black Economic Empowerment Act and the Codes of Good Practice are addressing these challenges.

Enterprise and Supplier Development (ESD) is a key priority, crucial for both Transnet and the South African economy. By promoting supportive legislation and policies, Transnet aims to enhance economic access for previously disadvantaged groups.

Through financial and non-financial support, Transnet ESD strengthens the competitiveness and capacity of Black-owned small and medium enterprises (SMMEs). Despite financial constraints, Transnet prioritizes early payments to its SMMEs, reinforcing its commitment to their growth and sustainability.

Enterprise Development Hubs: Empowering Small Businesses


Enterprise Development Hubs: Empowering Small Businesses

Transnet is dedicated to fostering economic growth in South Africa by supporting small businesses.

Our Enterprise Development Hubs are "One Stop Shops" offering a range of services from Provincial and National Economic Development Agencies.


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The typical services that SMMEs can expect at the Transnet Enterprise Development Hub include:


Procurement Advisory Services

Central Supplier Database Registration and Queries (CSD) Services

CIPC Registrations

E-Tender Portal Registration

Training (contact branch for more information)


By providing these comprehensive resources, Transnet ensures small businesses have the support they need to thrive.







Queries related to the
Enterprise Development Hubs


E-mail: edhub@transnet.net
Tel: 011 308 1423







Black Industrialist Program


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Black Industrialist Program

To heed the call of creating local capacity, Transnet has entered a strategic partnership with National Association of Automotive Component and Allied Manufactures (NAACAM) to develop a Black Industrialist Program. This ESD initiative is aimed at developing local manufacturing capacity and capability in the core business of Transnet.

This initiative will not only assist in developing a pipeline of suppliers but will also help Transnet accomplish its social, transformation and developmental objectives, whilst supporting South Africa's national B-BBEE priorities. Furthermore, it will contribute towards alleviating our country's triple challenge of inequality, unemployment, and poverty.

Transnet's partnership with NAACAM through Enterprise and Supplier Development - aims to develop local manufacturing capacity and capability in the core business of Transnet. This is aimed at increasing local content and reducing the current over reliance on imports.

The recruitment and onboarding onto the program will follow a fair and transparent. The call for potential beneficiaries will be advertised on the Transnet Procurement portal.







Queries related to the
Black Industrialist Program


Contact: Mhlantlendlovu Ncukana
mhlantlendlovu.ncukana@transnet.net







Supplier Development Funding


Supplier Development Funding

To provide the necessary financial support to the participating enterprises, Transnet has also partnered with NEF through a 50-50 matching principle which will allow the beneficiaries to have access to an additional source of funding, while empowering them in line with Transnet's core operations.

As this is a Supplier Development Initiative, funding is only available to Transnet existing suppliers (with an existing purchase order/ contract/ letter of award) that are exempt micro enterprises/ qualifying small enterprises that have 51% or more black ownership.


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Queries related to the
Supplier Development Funding Program


Contact: Mhlantlendlovu Ncukana
mhlantlendlovu.ncukana@transnet.net








Transnet's partnership with NAACAM through Enterprise and Supplier Development - aims to develop local manufacturing capacity and capability in the core business of Transnet. This is aimed at increasing local content and reducing the current over reliance on imports.


In order to provide the necessary financial support to the participating enterprises, Transnet has also partnered with NEF through a 50-50 matching principle which will allow the beneficiaries to have access to an additional source of funding, while empowering them in line with Transnet's core operations.


Why?


Enterprise Development (ED) and Supplier Development (SD) are important elements that enables Preferential Procurement. The aim is to increase local content and reduce reliance on imports.


Where?


Within the borders of South Africa particularly in areas where Transnet has a footprint.


What?


Localize services and products which were previously sourced from abroad by increasing the capability and capacity of the South African Economy.


Who?


Suppliers in the rail, ports and automotive manufacturing industry who are 51% - 100% Black Owned and either a QSE/ EME for SD or a vendor that is an EME/QSE that is Black owned for ED.


How?


The growth of small, black-owned suppliers is guided by an ESD Policy, and localization strategy created by the ESD department. The localization approach will be implemented with assistance from NAACAM.



Transnet's ESD Service offerings


Unlocking the value of local SMMEs and their commercial viability.

Capability building of SMMEs through technical and business training and supporting aligned with procurement needs.

Collaborate with strategic partners and industry associations that can provide additional resources and support for ESD initiatives.

Facilitate access to funding and post funding support thus contributing towards boosting financial viability of the SMMEs.

Provide supplier development support to enable access to supply chain opportunities.


NAACAM's Key deliverables


To analyse Transnet procurement categories to determine commodities suitable for localisation.

To identify availability of local suppliers as well as their relative levels of capability and capacity.

Conduct market analysis to determine the best tactics and approach to localisation.

To develop local manufacturing commodities for Transnet as well as other industries and ensure accreditation by the relevant OEM, where applicable.

To negotiate long term partnerships with international OEMs to support local suppliers.


NEF's Key deliverables


To provide financial and non-financial support to Transnet suppliers

Provision of resources such as required equipment to the localisation beneficiaries.

Address market failure associated with access to finance, through co-funding in terms of this Agreement.


Partnership with NAACAM and NEF


Benefits of the partnership


Investment Machinery & Equipment

Job Creation

Increased Local Production

Financial and Non-financial Support

SMME Funding Opportunities

Skills Transfer

Technology Transfer

Export Opportunities