SA seeks trade diversification & Who pays when protests turn violent and businesses are destroyed?

SPEAKER_1 (0:01)

And now, The Money Show with Stephen Grootes on 702 Let's walk the talk.

Stephen Grootes (0:07)

The Money Show with Stephen Grootes is brought to you by Absa Corporates and Investment Banking Connecting Global Finance to the Future. That's how Absa's invested in your story. 10 minutes after six, good evening. Welcome to The Money Show. I'm Stephen Grootes, glad you're with us this Friday. Plenty to talk about as always. People, of course, are talking a bit about the economy, the narrow band that so many markets around the world seems to be, and including ours. And I was really struck in just thinking a little bit more about it, about what Graham Kerner said yesterday in our market commentary slot, about how really the stuff that's sort of driving markets is all about inflation, it's all about fuel prices, it's all about bonds. And I thought this evening we've got a gap to talk a little bit more about that and the impact on our markets. And I'm going to turn it over to Kaale Mpakhlele, the Institutional Equity Sales Trader at Mvula Securities. She's our market commentator this evening. We'll just extend that conversation because I think that's really what is driving markets today.

Interesting to see the report from the DTIC, their annual report. And obviously it is looking back.

But they talk about how difficult it is to kind of stimulate our manufacturing sector. I have to say, and I'll ask them in just a moment, I mean, my great concern, and I mean, this is not an original insight by any means, is that it may actually be almost impossible to reindustrialize to the extent that we want to, as awful as that may sound. And I say that at a time when the EU has signed a deal or announced a deal rather with China today, in which China says it will dramatically cut back on the hybrids and electric hybrids that it actually exports to the EU. Now, that tells you so much about sort of industrial capacity in Europe and China. And we know that big companies like Volkswagen, for example, have rarely battled with the situation because of cheaper Chinese imports. So, you know, if they can't do it, can we? I mean, maybe, but that is one of the concerns. We'll put that to the spokesperson, Kaamil Alli, in just a moment.

But of sort of concern, I think, in some quarters about the protests we're seeing in Joburg and in Durban. This is the sort of anti-migration protests. I mean, it's sparked, really, by a ruling some time ago now, in fact, that home affairs must reopen the application process for people who say they are refugees. And I mean, there's a lot of misinformation about it. You'll have heard much about it. Various people have spoken to lawyers about it today. I know John Perlman did about what the ruling means and what it doesn't mean. Home affairs rescinding the sort of instruction to reopen that process, that doesn't mean, in my view, that they're breaking the constitutional court judgment at all. They're allowed to find the best way to implement it. And I don't think the court in the current circumstances would have a problem, especially when the department says some of its officials have been put at risk. I think they would be allowed to sort of take a gap to sort that out. We'll speak to the insurer of last resort, Sasria, the CEO there, Mpumi Tyikwe, in a few moments, just a little bit about that. And then the other thing that's happening, you know, in Friday file, test cricket returning to South Africa for the first time in a while, I think that's important. We'll talk a little bit about that this evening, the sort of finances behind it, Kelvin Watt runs Nielsen Sports Africa in Middle East, and I think that's going to be very interesting. And don't forget the Friday Bisblitz as well. Some great questions for you about some of the business news during the week. Good to hear from you. 11 830 702 21 4460 567, and voice notes of course on 727 21 702

SPEAKER_3 (3:33)

The Money Show with Stephen Grootes, live on 92.7 and 106 FM, streaming on the Prime Media Plus app and DSTV channel 856

Stephen Grootes (3:44)

Well, the Department of Trade, Industry and Competition saying in its annual report, it hasn't been able to promote manufacturing growth as much as it wanted, but it has been able to massively increase industrial development and local procurement. Kaamil Alli is the ministerial spokesperson for the Department of Trade, Industry and Competition. Kaamil, good evening. This is obviously for your previous financial year and we all understand how difficult it is in the manufacturing sector at the moment. There have been various efforts, but how are you finding it? I mean, clearly, you are the people who are the ones who are supposed to make things happen and it's actually incredibly difficult to do if we consider what's happening around us.