ILO assists South Africa in developing value chain to boost job creation
ILO presented the Value Chain Development model in South Africa’s Jobs Fund’s Learning Forum
6 November 2016
Pretoria (ILO News): During a Jobs Fund Learning Forum in South Africa, held from 6-8 November 2016 in Pretoria, ILO presented the Value Chain Development model, sharing success stories of its implementation in other countries. The presentation was made by Jens Dyring Christensen, ILO’s Enterprise Development Specialist, who outlined the approach behind the Value Chain Development and market systems.
In his presentation, Mr. Christensen described how value is created from the conception of a product to its final consumption. He further explained how the approach focuses on analyzing these chains, identifying key weaknesses and hindrances, and contributing to their further development and improvement. He further shared case studies on how the ILO has successfully assisted various countries in value chain development.
Mr. Pravin Gordon, South African Minister of Finance, during his opening speech pointed out, “This year’s learning event comes at a time when our collective aspiration for a vibrant economy, a flourishing business environment, more jobs and better access to good education, effective public institutions and a promising future are under severe pressure.”
The Jobs Fund is an organisation under South Africa’s National Treasury whose objective is to co-finance projects by public, private and non-governmental organisations that will significantly contribute to job creation. This involves the use of public money to catalyse innovation and investment on behalf of a range of economic stakeholders in activities that contribute directly to enhanced employment creation in South Africa. The United Nations Development Programme (UNDP) defines, Inclusive markets as, “Markets that extend choices and opportunities to the poor and other excluded groups as producers, consumers and wage earners.” This marginalized market segment is often referred to as the “base of the pyramid” and estimates are that in South Africa, around 60% of the population is un-served or under-served by current formal business.
The Jobs Fund recognizes the potential that unlocking these markets will have on harnessing economic activity and creating sustainable jobs. The potential for growth lies in the fact that these low income markets are currently untapped or under-serviced.
The Jobs Fund was launched in South Africa in June 2011, as a National Treasury initiative with the goal to address the challenge of unemployment in South Africa. The objective was to form partnerships, through grant funding, with public, private and civil society organisations on projects that will significantly contribute to job creation. The Jobs Fund focuses on encouraging projects that catalyze innovative models that contribute directly to enhance employment creation.
In his presentation, Mr. Christensen described how value is created from the conception of a product to its final consumption. He further explained how the approach focuses on analyzing these chains, identifying key weaknesses and hindrances, and contributing to their further development and improvement. He further shared case studies on how the ILO has successfully assisted various countries in value chain development.
Mr. Pravin Gordon, South African Minister of Finance, during his opening speech pointed out, “This year’s learning event comes at a time when our collective aspiration for a vibrant economy, a flourishing business environment, more jobs and better access to good education, effective public institutions and a promising future are under severe pressure.”
The Jobs Fund is an organisation under South Africa’s National Treasury whose objective is to co-finance projects by public, private and non-governmental organisations that will significantly contribute to job creation. This involves the use of public money to catalyse innovation and investment on behalf of a range of economic stakeholders in activities that contribute directly to enhanced employment creation in South Africa. The United Nations Development Programme (UNDP) defines, Inclusive markets as, “Markets that extend choices and opportunities to the poor and other excluded groups as producers, consumers and wage earners.” This marginalized market segment is often referred to as the “base of the pyramid” and estimates are that in South Africa, around 60% of the population is un-served or under-served by current formal business.
The Jobs Fund recognizes the potential that unlocking these markets will have on harnessing economic activity and creating sustainable jobs. The potential for growth lies in the fact that these low income markets are currently untapped or under-serviced.
The Jobs Fund was launched in South Africa in June 2011, as a National Treasury initiative with the goal to address the challenge of unemployment in South Africa. The objective was to form partnerships, through grant funding, with public, private and civil society organisations on projects that will significantly contribute to job creation. The Jobs Fund focuses on encouraging projects that catalyze innovative models that contribute directly to enhance employment creation.