Costed Action Plan for SADC Industrialization Strategy and Roadmap
(ii) Once identified, cluster capabilities should be built and infrastructural needs
be addressed.
(iv) Targeted efforts should be deployed to promote entrepreneurship and
promotion of enterprises that have potential for becoming globally competitive.
(v) Provision of business support services to enhance competitiveness of SMEs,
their ability to acquire and master technology and be eligible for appropriate
financing.
(vi) Develop a business-linkage programme for clusters, SMEs and value chain
interaction.
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Competitiveness
SADC countries, with the notable exception of South Africa and Mauritius, rank
poorly in the global competitiveness indices and the gap between the region and its
comparators in Asia and Latin America is wide. The competitiveness lag straddles
almost all areas of assessments, requiring an all-out effort to enhance abilities and
capabilities and raise capital and labour productivities. Indeed, competitiveness in
components and tasks, as distinct from comparative advantage in final products, is
instrumental to value chain participation.
Recommendations
(i) SADC countries would need to develop and implement dedicated
programmes to raise capabilities, in particular for enhancing education,
innovation and entrepreneurship.
(ii) Education is pivotal and would hence need to be oriented and repurposed to
facilitate industrialization and overall transformation, notably through greater
doses of science, technology, engineering and mathematics (STEM)
education and establishing strong partnerships with universities, research
institutions and the private sector, creation/strengthening of Centres of
Excellence and Centres of Specialization as well as through funding support.
(iii) Innovation is a key component of knowledge-driven economies, hence the
need for strong and sustainable national and regional innovation systems and
the up-scaling of expenditure on R&D by both public and private sectors.
(iv) Enhancing competitiveness would also require the creation of a businessfriendly and competitiveness-aware constituency.
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