By Adam Leach

August 5th, 2011

Procurement bureaucracy is to be stripped away to allow companies in the Western Cape of South Africa to generate more business.

Speaking at the launch of the Western Cape Government’s red tape programme yesterday, Alan Winde, who is the economic development member of region’s executive council, announced the formation of a dedicated unit to identify the most damaging areas of bureaucracy and regulation and remove them.

If red tape is not addressed, it will remain an insidious threat to Western Cape businesses,” he said. “By placing unnecessary blockages in the way, it inhibits large enterprises, as well as those smaller enterprises that are so important to our economy.”

He went on to emphasise that rules and regulations that are found to be “beneficial” to industry would remain.

The two-fold process to make things run more smoothly will see the new unit “reduce or eradicate” needless legislation governing procurement while also adapting existing regulations and processes to make them more efficient both in terms of cost and the amount of time they take up.

Describing one of the key actions he said: “As part of this initiative, we will complete Regulatory Impact Assessments on procurement and supply chain management functions that constrain business. As they are completed, we will receive options for policy changes that ease red tape.”

The plans will also see the provincial government run a series of networking events and forums to work closely with industry. These events included twice yearly supplier days where government officials will meet with current and potential suppliers. Special events will also be held with small and medium enterprises to help them overcome the specific challenges they face with red tape.