Special Hearings — Business Hearings — 1997-11-11

MR TSHWANGANE: Thank you very much for this opportunity.  Our presentation is not going to be a lengthy one.  So the areas which we are going to try to cover is the 'who are we', black business under an apartheid regime, why this presentation.
 Fabcos is the Foundation of African Business and Consumer Services, herein after called Fabcos, were founded to function as a business and consumer watch dog in the apartheid South Africa, complimentary to the efforts of Nafcoc.  Inspired by the success of the then Black Taxi Association which was SABTA, which was the most successful black business organisation in South Africa.  We proceeded to mobilise, organise, particularly the informal sector with a specific purpose of assisting the development of this sector to graduate to the formal sector.  Who we are:
 Fabcos is the creation born out of the dreams of noble men and women committed to the development and empowerment of disadvantaged black business.  Fabcos is an organisation which promotes the development and empowerment of black business; and indirectly the black community at large.  To this end Fabcos provides basic business skills, training, marketing expertise, research, management services and avail empowerment opportunities to its members.  Fabcos was born out of the political and economic disenfranchisement of yester year.  It is a catalyst that has the formal and informal sectors of South Africa economy to join together in mutually beneficial relationships.
 The black business under apartheid regime:  Much as combined voice of black business who (unclear) made (unclear) and persistent appeal, our initiative and efforts suffered and crushed under the ruthless inhumane (unclear) of the (unclear) regime.  For all intents and purposes, there were circumstances in which black business operated, were not conducive.  For management skills acquisition to build and develop business ability and capacity.  A situation that was underpinned (?) by deliberate methods and a vicious and harsh legal system that kept black business progress to a bare minimum.  Organisations like Nafcoc and Fabcos,  survived purely out of the benevolence of only a handful of progressive corporate organisations, whose strategies, we suspect were persuaded by the desire to assuade their consciences as opposed to effective participation in the main stream of the economy for survival development prosperity.   Why the presentation?  South Africa has a history of (unclear),dispossession an explosion such that over the past years to the present, South Africa boasted enormous wealth of natural resources.  But failed to optimise the benefit it would derive from beneficiating its raw materials and selling finished products to global markets for a better (unclear).  The perpetuation of a system of explosion was sought by, which deprived the vast majority of our population the opportunity to learn and develop skills.  That could have established and sustained a massive industrial sector that many would envy.  Education, training and industrial skills development were not seen as a basic priority to economic development.  But an element of control within policies that emphasised separation above the viability of communities within towns, cities, within towns and cities.  But we do acknowledge with profound gratitude the efforts or our present government in encouraging and promoting black business.  However, it is our wish that our government should continue to actually seek ways and means of enabling black business creating conditions conducive to economic growth.  By the same token we are not convinced that the private sector, white business in particular is committed to effective empowerment.  It is incumbent on them  to demonstrate their bona fides. 
  Last but not the least, there is an area that we need to address.  Fabcos is a business organisation, that is not aligned to any political party, ideology and affiliation.  It upholds the freedom enshrined in our constitution and is a loyal corporate citizen of this South Africa.  At Fabcos we were never party to any discussion or debate on sanctions.  At the time these discussions were the order of the day, Fabcos had not seen the light of the day.  The first of Fabcos, on (unclear) in  1989 and it is well documented.  
 Fabcos must realise the various significant challenges it's facing.  Most important is the speed of the changes. We have special (unclear) the roots of our unity and solidarity.  We may have cause to celebrate our good fortunes but we must remind ourselves of the value upon which our achievements have been founded.  What we share above all, is a strong commitment to the noble and monumental idea of effectively empowering black business.  Our founding commitment to articulate forcefully the will, wishes, aspirations of black business.  Our commendation for diversity and active respect for each other's view points and our enduring capacity for honourable compromise.  These historically envued values are serving us well in a world of often-brutal turmoil.  We believe they will see us through to success in our quest for advancement and development.  We also believe that they will continue to animate our marriage of mind and unity of purpose.  Including our ideals to build and develop Fabcos ideas to a perpetual oasis, to meet the needs the requirements and aspirations of our people.  Mr Chairman, we are not where we should have been.  Neither are we where we want to be, but we at Fabcos always say, thank God we are no longer where we used to be.  I thank you.

CHAIRPERSON: Thank you very much.  Hlengiwe?

MS MKHIZE: Thank you very much Mr Chairman.  Just tell us briefly, whether there were fundamental philosophical differences between Fabcos and Nafcoc, which warranted a new business structure.

FABCOS SPEAKER: Thank you, chairperson.  I think yes there was a fundamental difference between Nafcoc and Fabcos.  Nafcoc which was the front runner in the defence of and support of ailing and struggling black business evolved as a chamber of business, representing the interests of the more formal and more better established black business of the time.  Increasingly there was a growing concern for the neglected informal and semi-formal sectors, which needed even greater help for them to develop and survive.  Thus Fabcos chose the road of focussing specifically particularly on developmental activities for the black business sector.  Thus the distinction being, Fabcos being a governmental agency as opposed to Nafcoc which was a chamber of business.

MS MKHIZE: In page one, of your submission, you refer to Fabcos, you say Fabcos were founded to function as a business and consumer watch dog.  Was there and economic motive as well?  If there was, I would really like you to explain to the commission as to how your philosophy differs from that of established business that existed, organised business that existed at that time.  You know, I'm referring to bodies like SACCOB.

FABCOS SPEAKER: Thank you Mr Chairman.  The difference here, by the nature of being a black organisation.  That was a (unclear) difference.  Now the difference here, was we were actually looking at trying to pull out the disadvantaged black business person from the quagmire of hopelessness and try to push him to the area where he can become or be recognised and seen as a business person.