PRESENTATION OUTLINE
     1    Introduction    
         2
               Background information
           3    The Need for a Summit – The Need to Reflect?  
           4    Purpose and Theme of the Summit 
               
         5    Key Topics and subject content  
     6      Expected Outcomes, Success Factors, Date & Venue
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                  INTRODUCTION  
                  INTRODUCTION  
  •  President Cyril Ramaphosa, in his State of the Nation address delivered on the 
     7th of February 2019, emphasized the significance of placing the country onto a 
     trajectory of inclusive economic growth, high investment and job creation.
  •  President further acknowledged the role that social partners (i.e. government, 
     labour, business, civil society and communities) play in the task of removing the 
     constraints to inclusive growth and to pursue far greater levels of investment. 
  •  The Co-operatives model has been recognised across the world and by the 
     South  African  government  as  an  effective  social  and  economic  inclusion 
     instrument  that  builds  community  resilience,  self-help  and  sustainable 
     communities.
  •  The  South African  government  is  committed  to  develop  a  policy  framework 
     aimed at supporting the distinct and vibrant social and solidarity economy which 
     is based on addressing social needs rather than profit maximisation. The social 
     economy entail co-operatives, community-based enterprises, trade union based 
     enterprises, informal enterprises and non-profit organisations.
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             INTRODUCTION, CONT.   
             INTRODUCTION, CONT.   
  • The  Portfolio  Committee  on  Small  Business  Development,  in  its  2018 
    programme, undertook  an  international  study  tour  to  Spain  studying  amongst 
    others, the Mondragon Co-operative.
  • In addition, the Portfolio Committee invited presentations from both international 
    and  local  co-operatives  development  organisations  as  well  as  co-operatives 
    representative organisations (Tertiary and Apex Co-operatives). 
  • The Department of Small Business Development hosted two workshops that took 
    place on the 27 September 2018 and 29 November 2018 whose objectives were 
    to  engage  the  sector  and  the  portfolio  on  aspect  of  evaluating  the  existing 
    strategy on co-operative development. 
  • The  above  engagements  has  foregrounded  the  need  for  greater  and  wider 
    engagement  with  all  social  partners  through  the  hosting  of  the  National  Co-
    operative Summit aimed at identifying and closing the gaps with regard to co-
    operative development  
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        BACKGROUND INFORMATION   
        BACKGROUND INFORMATION   
  • Since 1994, a number of policies and strategic frameworks have been crafted to 
    deal with the challenges of SMMEs and cooperatives with the aim of growing and 
    boosting  this  sector  as  a  way  of  dealing  with  the  triple  threat  of  inequality, 
    unemployment and poverty;
  • The  White  Paper  on  the  National  strategy  for  the  Development  of  Small 
    Businesses in South Africa (1995) was the first focused policy and strategy and 
    led to the proclamation of the National Small Business Act 102 in 1996.
  • This was followed up in 2004 by the Co-operative Development Policy for South 
    Africa and the Cooperatives Act no14 of 2005; the Integrated Strategy for the 
    Development and Promotion of Cooperatives in 2012 as well as the Cooperatives 
    Amendment Act no 6 of 2013. 
  • Government has acknowledged that co-operatives have potential benefits over 
    other  types  of  enterprises  in  the  context  of  inclusive  socio-economic 
    development, hence the focus on their development.
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    BACKGROUND INFORMATION, CONT.
    BACKGROUND INFORMATION, CONT.
        PROBLEM STATEMENT 
  •  Whereas  a  great  deal  of  progress  has  been  made  by  Government,  extra-
     parliamentary  role-players and the co-operative sector as a whole  to promote the 
     development of co-operatives, many important factors and challenges still remain, 
     which require tackling in order to ensure higher level of co-operatives development 
     in South Africa. There still persistence of high mortality rate of co-ops. 
  •  The  challenges  that  were  identified  in  the  Co-operatives  Baseline 
     Survey (2009) and the Integrated Strategy for the Development and 
     Promotion of                      Co-operatives (2012) still persists.
  •  Given these persistent challenges, there is a critical need for all stakeholders to 
     engage and debate on the co-operative concept and model and its application in 
     South Africa. There is a need host a National Co-operatives Summit to take stock 
     of how far the country has gone in implementing its co-operative policy, legislation 
     and  strategies  and  how  these  efforts  can  be  improved,  re-aligned  and 
     strengthened  to  have  a  greater  impact  on  co-operative  development  in  South 
     Africa.
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