Black Industrialists Scheme (BIS):

Black Industrialists Scheme (BIS), incentive programme of the Black Industrialists Policy purpose is to unlock the potential within black industrialists that operate in the South African economy through deliberate, targeted and well-defined financial and non-financial interventions.

Description of the Black Industrialists Scheme (BIS)

  • A black industrialist refers to a juristic person, which includes co-operatives incorporated in terms of the Companies Act, 2008 (as amended) that are owned, managed and controlled by black people as defined by the Broad-Based Black Economic Empowerment (B-BBEE) Act, that creates and owns value-adding industrial capacity and provides long-term strategic and operational leadership to a business. A black industrialist can be a natural person.

The following are characteristics of a black industrialist:

  • High levels of ownership (>51%);
  • Dominant black ownership and management control may be considered for projects that are deemed strategic by the dtic, but may need to include other shareholders to attract relevant skills, finance and scale-up the investment opportunities;
  • Exercises control over the business;
  • Takes personal risk in the business;
  • Does business in the manufacturing sector with particular reference to Industrial Policy Action Plan (IPAP) and Re-imagined Industrial Strategy focus areas; and
  • Makes a long-term commitment to the business and is a medium- to long-term investor

Black people is a generic term which means Africans, Coloureds and Indians—

  • Who are citizens of the Republic of South Africa by birth or descent; or
  • Who became citizens of the Republic of South Africa by naturalisation— (i) before 27 April 1994; or (ii) on or after 27 April 1994 and who would have been entitled to acquire citizenship by naturalisation prior to that date.

The Objective of the Black Industrialists Scheme (BIS):

  • Accelerate the quantitative and qualitative increase and participation of black industrialists in the national economy, selected manufacturing sectors and value chains; as reflected by their contribution to growth, investment, exports and employment; and
  • Create multiple and diverse pathways and instruments for black industrialists to enter strategic and targeted manufacturing sectors and value chains.

The key focus areas of the programme will be on the following manufacturing and productive sectors:

  • Blue/ocean economy, including vessel building and repair
  • Oil and gas
  • Clean technology and energy
  • Mineral beneficiation
  • Aerospace, rail and automotive components
  • Industrial Infrastructure
  • Information communication technologies
  • Agro-processing
  • Clothing, textiles/leather and footwear
  • Pulp, paper and furniture
  • Chemicals, pharmaceuticals and plastics
  • Nuclear
  • Manufacturing-related logistics
  • Designated sectors for localisation

GRANT OFFERING

The BIS offers a cost-sharing grant ranging from 30% to 50% to approved entities to a maximum of R50 million. The quantum of the grant will depend on the level of black ownership and management control, the economic benefit of the project and the project value.

The BIS offers support on a cost-sharing basis towards:

  • Capital investment costs;
  • Feasibility studies towards a bankable business plan which will be limited to R3 million only;
  • Post-investment support (to the maximum of R500 000); and
  • Business development services (to the maximum of R2 million).

“All applicants must comply with mandatory requirements on paragraph 4 of the BIS guidelines and must adhere to legislative requirements governing the sector”.

Contact details

Enquiries bienquiries@thedtic.gov.za
Applications biapplications@thedtic.gov.za
Claims biclaims@thedtic.gov.za

Inlands Provinces (Northern Cape, Free State, Mpumalanga, Gauteng, North West and Limpopo) contact details:

Name Email Contact
Mahlatse Mothapo MMahlatse@thedtic.gov.za 012 394 3554 / 082 903 5845
David Molefe DMolefe@thedtic.gov.za 012 394 1262

 Western Cape Province Contact Details

Name Email Contact
Elias Rafapa ERafapa@thedtic.gov.za 021 480 8064 / 063 688 6466
Vuyo Zitha VZitha@thedtic.gov.za 021 480 8055 / 066 306 8424

Eastern Cape Province Contact Details                                        

Name Email Contact
Andre Le Grange ALeGrange@thedtic.gov.za 041 509 8560 / 060 753 0751
Simphiwe Ngonyama SNgonyama@thedtic.gov.za 060 753 0663
Princess Konza PKonza@thedtic.gov.za 072 295 4806

KwaZulu-Natal Province Contact Details                 

Name Email Contact
Neela Govender NGovender@thedtic.gov.za 031 334 2567 / 072 296 0369
Constance Gumede CGumede@thedtic.gov.za 031 334 2560 / 072 296 1837
Rajeshri Sardha rajeshri@thedtic.gov.za 031 334 2565 / 072 295 1480

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