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Township Businesses to Benefit from Merchant Development Programme

Krugersdorp: The newly launched Merchant Development Programme is set to unlock opportunities for township-based automotive businesses in Krugersdorp. The programme was launched by Gauteng MEC for Roads and Transport, Kedibone Diale-Tlabela, as a strategic initiative to integrate local businesses into the government's fleet maintenance supply chain.

According to South African Government News Agency, the programme is a bold move by the Gauteng Provincial Government to promote inclusive economic growth. It aims to boost township-based automotive businesses by providing skills development, training, onboarding, accreditation, and assistance for future integration. The initiative aligns with Premier Panyaza Lesufi's directive that 60% of the provincial budget should be spent within townships, ensuring the transition from intention to execution.

The programme is championed by g-FleeT Management in partnership with the Automotive Industry Development Centre (AIDC) and WesBank. Township spending by the Fleet Maintenance Unit of g-FleeT Management increased from 7% to 10% as of October 2024, with a target to reach 30% by the end of 2025. Each rand invested in township merchants contributes directly to job creation and community development.

AIDC Chief Executive Officer, Andile Africa, emphasized the importance of their role in the initiative, providing infrastructure, compliance support, and training at the Chamdor Automotive Hub. The programme aims to address structural inequalities, build sustainable businesses, and create real opportunities for community members.

WesBank's National Contract Manager for Fleet Services, Marcellus Mbanda, highlighted the RT46 contract's significance in benefiting merchants. The bank manages about 243 merchants outside the hub, facilitating their participation in the RT46 contract, which streamlines vehicle acquisition and fleet management for government departments. Since 2021, township merchants have seen a rise to R37 million in repairs allocation.