Industrial Procurement

The Department of Trade, Industry and Competition (the dtic) designated industries, sectors and sub-sectors for local production at a specified level of local content since 2011.

The following industries, sectors and sub-sectors have so far been designated for local production with minimum local content thresholds.

Industry/sector/sub-sector Minimum threshold for local content
Buses (Bus Body) 80%
Textile, Clothing, Leather and Footwear 100%
Steel Power Pylons,
Monopole Pylons,
Steel Substation Structures,
Powerline Hardware,
Street Light Steel Poles,
Steel Lattice Towers
100%
Canned / Processed Vegetables 80%
Pharmaceutical Products:
  • OSD Tender
  • Family Planning Tender
  • 70% (volumes)
  • 50% value
Rail Rolling Stock 65%
Set Top Boxes (STB) 30%
Furniture Products:
  • Office Furniture
  • School Furniture
  • Base and Mattress
  • 85%
  • 100%
  • 90%
Solar Water Heater Components 70%
Electrical and telecom cables 90%
Valves products and actuators 70%
Residential Electricity Meter :
  • Prepaid Electricity Meters
  • Post Paid Electricity Meters
  • SMART Meters
  • 70%
  • 70%
  • 50%
Working Vessels/Boats (All types): 60%
  • Components
  • 10% – 100%
Conveyance Pipes 80% – 100%
Transformers and Shunt Reactors:
  • Class 0
  • Class 1
  • Class 2
  • Class 3
  • Class 4
  • 90%
  • 70%
  • 70%
  • 45%
  • 10%
  • Components and conversion activities
  • 50% – 100%
Solar PV Components:
  • Laminated PV Modules
  • Module Frame
  • DC Combiner Boxes
  • Mounting Structure
  • Inverter
  • 15%
  • 65%
  • 65%
  • 90%
  • 40%
Two Way Radio Terminals and Associated Equipment:
  • Portable Radio
  • Mobile Radio
  • Repeater
  • 60%
  • 60%
  • 60%
  • Components
  • 20% – 100%
Rail Signaling:
  • 65%
  • Components
  • 40% – 100%
Wheely Bins: 100%
Fire Fighting Vehicle 30%
  • Crew Cabin
  • Super Structure
  • Assembly
  • 100%
  • 100%
  • 100%
Steel Products and Component for Construction
Steel Value-added Products

  • Fabricated Structural Steel
  • Joining/Connecting Components
  • Frames
  • Roof and Cladding
  • Fasteners
  • Wire Products
  • Ducting and Structural pipework
  • Gutters, downpipes & lauders

Steel Value-added Products

  • Plates
  • Sheets
  • Galvanised and Colour Coated Coils
  • Wire Rod and Drawn Wire
  • Sections
  • Reinforcing bars
  • 100%
  • 100%
  • 100%
  • 100%
  • 100%
  • 100%
  • 100%
  • 100%

 

 

 

  • 100%
  • 100%
  • 100%
  • 100%
  • 100%
  • 100%
Pumps, Medium Voltage (MV) Motor and Associated Accessories 70%
  • Casting or Frame Fabrication
  • Fabrication and winding of the Rotor Core
  • Accessories
  • Assembly and testing of the fully-built unit
  • 100%
  • 100%
  • 100%
  • 100%
Rail Permanent Way 90%
  • Rails and rail joints
  • Ballasts
  • Ballastless
  • Turnouts/switches and crossings
  • Railway sleepers
  • Rail fastening and accessories
  • Railway maintenance of way plant & equipment
  • Assembly and testing of fully build unitst
  • 100%
  • 100%
  • 100%
  • 100%
  • 100%
  • 100%
  • 70%
  • 100%
Plastic Pipes 100%
  • Polyvinyl chloride (PVC) pipes
  • High density polyethylene (HDPE) pipes
  • Polypropylene (PP) pipes
  • Glass reinforced plastic (GRP) pipes
  • 100%
  • 100%
  • 100%
  • 100%
Air insulated MV Switchgear 50%
  • Instrument Transformers
  • Busbars
  • Housing
  • Switching Devices
  • 15%
  • 5%
  • 25%
  • 5%
Bulk Material Handling 85%
    • Conveyer Idlers
    • Structural Steel
    • Rubber
    • Conveyor Belt
    • Pulleys
  • 70%
  • 100%
  • 100%
  • 100%
  • 60%
Industrial lead Acid Batteries 50%
Cement 100%
  • Cem I
  • Cem II
  • Cem III
  • Cem IV
  • Cem V
  • Masonry Cement
  • 100%
  • 100%
  • 100%
  • 100%
  • 100%
  • 100%

The local content bidding document can be completed in line with the requirements of the SABS approved technical specification number SABS approved standard SANS 1286:2017 and the Guidance Document for the Calculation of Local Content together with the associated Annexures:

All these documents are important for the calculation, measurement and verification of local content.

Details of designated products and local content thresholds: All the circulars for each of the designated sectors are found under this folder.

Draft Guidelines for Implementation of the Broad-Based Black Economic Empowerment and Local Content Policies in Line With the Preferential Procurement Policy Framework Act 05 of 2000 and Preferential Procurement Regulations of 2022 are available on request.

For local content related enquiries, please call the helpline on +27 (12) 394 1435.

For technical enquiries please contact Ms Cathrine Matidza:
Director: Fleet Procurement
Tel: +27 (12) 394 5598
E-mail: cmatidza@thedtic.gov.za

For local content enquiries or complaints, please send an e-mail to localcontent@thedtic.gov.za

 

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