View/Open - University of Zululand Institutional Repository

View/Open - University of Zululand Institutional Repository View/Open - University of Zululand Institutional Repository

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The processed product has a huge international market potential. There will be an improved world market price for the processed aloe as compared to its price in the raw material state. The ZDM in consultation with the Ulundi local council must champion the feasibility study on the economic viability ofaloe planting and harvesting so as to establish workable plan for its implementation in Ulundi. Development programmes on agriculture are to be rolled out :0 equip communities interested in arable and animal husbandry (agriculture) to improve the GGP and the quality of life of people in the area. The pediment fertile slopes of selected local slopes are to be targeted for arable farming in particular. Finance to purchase capital equipment remains one of the challenges undermining this objective. Financial institutions have the obligation to enable potential farmers secure the necessary capital, labour, land and qualified management. The Department of Agriculture and Environmental Affairs provides funding and equipments for organised local cooperatives with credible business plans. Apart from being a job creation venture, it would serve as a skill transfer exercise and a means to improve the GGP of the Ulundi Local Municipality. An enabling economic environment that is conducive for general business welfare must be created. The chamber of commerce ought to be operational in the study area. This will be done in consultation with all the formal businesses that are being run in Ulundi. A data base of all registered businesses is to be developed to institute a forum where common issues affecting businesses in Ulundi will be discussed. When these administrative gaps have been closed, the Ulundi business community will perceive a better image about the Local and District Municipalities. It is important to note that poverty alleviation programmes are in place in certain quarters of the study area The marginalised, the majority of whom are women and children, are however still far from being empowered to change the status quo especially in rural Ulundi. The skills programmes under the auspices ofthe Department of Labour and other SETAs like agriculture and construction SETAs are to be fully utilised. Because ofhigh levels ofpoverty and unemployment in Ulundi municipal area, skills development projects need to be aligned 236

in such a way that they lead to the establishment of self-help activities. An awareness exercise aimed at explicitly educating the Ulundi community about the said matter will put the available state funds into its rightful use. The ward councillors, community based organisations and non-governmental organisations should carry the information to their respective wards to speed up the process of information dissemination. The local radio station and the print media are also relatively reliable and an efficient means of communicating these opportunities to the community. 7.5.4. Other strategies It is the mandate ofthe Ulundi Local Municipality to attract investors and entrepreneurs. The municipal authority must also ensure that contracts are awarded to service providers on the basis of merit, otherwise'bona fide' entrepreneurs may back off when it is already a 'fait accompli' that tenders may only be awarded on the basis of race, political affiliation, and family. It must however be pointed out that preferential procurement with the aim of encouraging local companies would be instituted to avoid leakages the economy of the area may experience. All local municipalities compete with each other to attract big businesses. Ulundi local authority ought to offer inducements to attract business ventures to the area. Special rebates or tax concessions on rates, for example, on waste and sewerage are some of the incentives that need careful and constant scrutiny ofthe municipality. The prices charged for some of these 'factors of production' could ultimately determine where an entrepreneur will establish a business. The Ulundi Local Municipality should therefore go out ofits way to accommodate businesses in a mutually beneficial manner. Tax incentives (tax breaks) may be an excellent way of attracting entrepreneurs to one particular local authority area in preference to another. In the absence of a deliberate proactive strategy to influence the industries into this area, the Ulundi municipality in collaboration with the Zululand District Municipality should therefore constantly review its approach towards new business ventures with a view to large scale job-creation programmes. 237

The processed product has a huge international market potential. There will be an improved<br />

world market price for the processed aloe as compared to its price in the raw material state.<br />

The ZDM in consultation with the Ulundi local council must champion the feasibility study<br />

on the economic viability <strong>of</strong>aloe planting and harvesting so as to establish workable plan for<br />

its implementation in Ulundi.<br />

Development programmes on agriculture are to be rolled out :0 equip communities interested<br />

in arable and animal husbandry (agriculture) to improve the GGP and the quality <strong>of</strong> life <strong>of</strong><br />

people in the area. The pediment fertile slopes <strong>of</strong> selected local slopes are to be targeted for<br />

arable farming in particular. Finance to purchase capital equipment remains one <strong>of</strong> the<br />

challenges undermining this objective. Financial institutions have the obligation to enable<br />

potential farmers secure the necessary capital, labour, land and qualified management. The<br />

Department <strong>of</strong> Agriculture and Environmental Affairs provides funding and equipments for<br />

organised local cooperatives with credible business plans. Apart from being a job creation<br />

venture, it would serve as a skill transfer exercise and a means to improve the GGP <strong>of</strong> the<br />

Ulundi Local Municipality.<br />

An enabling economic environment that is conducive for general business welfare must be<br />

created. The chamber <strong>of</strong> commerce ought to be operational in the study area. This will be<br />

done in consultation with all the formal businesses that are being run in Ulundi. A data base<br />

<strong>of</strong> all registered businesses is to be developed to institute a forum where common issues<br />

affecting businesses in Ulundi will be discussed. When these administrative gaps have been<br />

closed, the Ulundi business community will perceive a better image about the Local and<br />

District Municipalities.<br />

It is important to note that poverty alleviation programmes are in place in certain quarters <strong>of</strong><br />

the study area The marginalised, the majority <strong>of</strong> whom are women and children, are<br />

however still far from being empowered to change the status quo especially in rural Ulundi.<br />

The skills programmes under the auspices <strong>of</strong>the Department <strong>of</strong> Labour and other SETAs like<br />

agriculture and construction SETAs are to be fully utilised. Because <strong>of</strong>high levels <strong>of</strong>poverty<br />

and unemployment in Ulundi municipal area, skills development projects need to be aligned<br />

236

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