SA Defence Department aims to support local defence industry
The South African Department of Defence (DoD) will support the future development of the South African defence industry, Secretary for Defence and Military Veterans Dr Sam Gulube affirmed on Monday. "We will also support the industry in its international export efforts. A vibrant defence industry is a national asset."
He assured that the DoD will work with its partners in the National Defence Industry Council. It will align its acquisition policies with those of the Department of Trade and Industry and with the National Development Plan. He noted that local manufacture of defence systems would help South Africa's socioeconomic development.
"We will acquire our equipment in such a manner as to ensure sovereign control over certain technologies, to ensure our independence," he explained. Among these technologies are software, including key algorithms and the optimisation of equipment and systems.
This, however, does not rule out partnerships with foreign countries and companies. "We will develop locally, where that makes sense," he stated. "We will manufacture locally to foreign designs, when that makes sense and import when there is no alternative. ... When we import equipment, we expect industrial participation."
The DoD divides defence companies in South Africa into South African, partly-South African and South Africa-based. South African companies are those which are at least 51%-owned by South Africans. Partly-South African are those which are at least 26%-owned by South Africans. South Africa-based companies are those which have facilities and plants in South Africa, operated by South Africans.
Gulube said that these companies will receive priority when the DoD was placing orders, and in the above-listed order, especially when it came to equipment and systems involving the identified sovereign capabilities. However, he pointed out that this policy did not exclude international defence companies.
These international companies "were recognised by the Department of Defence as strategic partners in developing the requirements of the South African National Defence Force, requirements that we can not rationally expect to achieve through local development or even local manufacture. We will encourage local companies to develop partnerships with international companies to keep up with international defence developments."
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