Issue Date: 
Thursday, October 31, 2019

Local Content Designated Sectors

By Werner van Rooyen, Director of HowToTender (Pty) Ltd which specializes in tender consulting and tender training.

Designated Sectors are those sectors that have been identified to have a certain percentage of Local Content.  Meaning that Designated Sectors’ goods must be manufactured locally, or a certain percentage of these goods must be manufactured locally.

Recently the National Treasury added new sectors/industries to the list of Designated Sectors, which now includes:

  • Buses (Bus Body)          
  • Textile, Clothing, Leather and Footwear      
  • Steel Power Pylons; Monopole Pylons; Steel Substation Structures; Powerline Hardware;
  • Street Light Steel Poles; Steel Lattice Towers
  • Canned / Processed Vegetables        
  • Pharmaceutical Products         
  • Rail Rolling Stock         
  • Set Top Boxes (STB)      
  • Furniture Products
  • Solar Water Heater Components       
  • Electrical and telecom cables
  • Valves products and actuators          
  • Residential Electricity Meter  
  • Working Vessels/Boats
  • Conveyance Pipes         
  • Transformers and Shunt Reactors
  • Solar PV Components
  • Two Way Radio Terminals and Associated Equipment
  • Rail Signalling
  • Wheely Bins
  • Fire Fighting Vehicle
  • Steel Products and Component for Construction    
  • Pumps, Medium Voltage (MV) Motor and Associated Accessories
  • Rail Permanent Way

If you are manufacturing or supplying any of these goods you will have to comply with the Local Content percentages.  You can find these percentages by following this link: http://www.thedti.gov.za/industrial_development/ip.jsp.

When responding to a tender you will be required to complete a Standard Bidding Document 6.2 or Municipal Bidding Document 6.2 form, regarding Local Content.  These forms are difficult to complete, without the necessary knowledge.

You can obtain this knowledge by attending one of our How-to-Tender workshops, where we will teach you to complete these forms and others like them.

The National Treasury also considers other industries, sectors, and sub-sectors for designation.  Once thorough research and consultations have been concluded a decision to designate will be communicated to the public

To learn more about this and many other tender conditions attend our “Become a Tender Expert” 2-Day workshops presented in Johannesburg, Pretoria, Durban, Port Elizabeth, and Cape Town.  Book and pay online at https://howtotender.co.za/tender-expert-form/

(We also present a Local Content Specialist Workshop for experienced bidders)

Contact us at wernervr@howtotender.co.za should you require more information.

You can also purchase a Tender Manual (Handbook) on our website https://howtotender.co.za/ which is a step by step guide how to respond to a South African Tender.  It includes examples of completed SBD forms.

Title Closing Date Tender No.
Supply and Maintenance of Mimecast Email Security, Email Continuity/Email Disaster Recovery, Email Archiving And Targeted Threat Protection 2021-05-11 12:00 SCM 58 OF 20/21
Appointment of a Panel Of Contractors for the Supply of Hot Mix Asphalt 2021-05-25 12:00 31 OF 2021 – SECTION 1
Traffic control on rural provincial roads for the period ending 30 June 2024 2021-05-26 11:00 T 2021/070
Calling Of Tenders for the Provision And Maintenance Of Fuel Management System For Msunduzi Municipal Owned Vehicles 2021-05-17 12:00 SS 5 OF 2021 SECTION 3
Unblocking and cleaning of drainage pipe structures in rural provincial public sector reserves for the period ending 30 June 2024 2021-05-26 11:00 T 2021/069
Medical certificates of fitness for affected road maintenance, road construction and workshop employees at the Cape Winelands District Municipality for the period ending to 30 June 2024 2021-05-19 11:00 T 2021/064
Provision and maintenance of chemical toilets at Sandhills for the period 01 July 2021 to 30 June 2024 2021-05-19 11:00 T 2021/013
Construction of a New Wearing Course and Associated Works for Bitou Waste Transfer Station 2021-05-10 12:00 SCM/2021/63/COMM
Security, patrol and access control services at 46 Alexander Street, 29 Du Toit Street and c/o Langenhoven Street and Bird Street, as well as at Papegaairand Street [fire services], Stellenbosch for the period ending 30 June 2024 2021-05-19 11:00 T 2021/007
Security, patrol and access control services at 194 Main Street, Paarl for the period ending 30 June 2024 2021-05-19 11:00 T 2021/006
Security, patrol and access control services at 51 Trappes Street, Worcester for the period ending 30 June 2024 2021-05-19 11:00 T 2021/005
Paarl Arboretum Container Classroom and Entrance Forecourt Upgrade 2021-05-27 10:00 COM P1/2021
Supply and Delivery of Beverages on as and when required basis at Duvha Power Station for a period of 5 (Five) years 2021-06-14 10:00 MPGXC006633
The provision of procurement services for Kriel Power Station for a period of 36 months 2021-05-12 10:00 GEN3364
The provision of materials management services for Kriel Power Station for a period of 36 months 2021-05-13 10:00 GEN3363
Disaster recovery solution 2021-05-21 11:00 WDM/2020/21-07
Printing, Sorting and Posting of Municipal Consumer Account Statements for a period of 24 months 2021-05-17 12:00 EPMLM/8/3/389
Appointment of a Panel of Audit Firms for Co-sourcing of the Internal Audit Functions on a need basis for a period of 36 months 2021-05-18 12:00 EPMLM/8/3/386
Appointment of a service provider for the Provision of Traffic Contravention Management System for a period of 36 months (Re-advert) 2021-05-17 12:00 EPMLM/8/3/369
Fixed Term Contract For The Repairs; Maintenance & Refurbishment Of Water & Waste Water Infrastructure (36 months contract) 2021-05-25 11:00 INF-O&M54/2020/2021

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Who is the bidder or his or her representative?

By Werner van Rooyen, Director of HowToTender (Pty) Ltd which specializes in tender consulting and tender training.

In Organ of State tenders, the Standard Bidding Document 4 – Declaration of Inters – ask in paragraph 2.1 the following: “Full name of bidder or his or her representative... Read More

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