MAIN HEADLINES FROM THIS ISSUE:

• Special Report on South Africa: Armscor raises the BEE barrier – COTS might escape DIP

  Armscor, which manages Defence Industrial Participation (DIP) programmes on the defence side, is presently rolling out new policy initiatives. The new approach will require further support by foreign prime contractors for the Black Economic Empowerment (BEE) programme and close some loopholes in the offset guidelines.

• DTI introduces ‘Direct NIP’

  National Industrial Participation (NIP) projects, which used to be unrelated to the tender, must now match the policy of S. Africa’s Competitive Supplier Development Programme (CSDP).

• BEE, NIPP and DIP – It really is a complex mix as the CSDP takes root

  South Africa’s Competitive Supplier Development Programme (CSDP), a Department of Public Enterprises initiative (DPE), was introduced only a year ago and is now starting to take effect…

• GEN. SCHÜR says SDP offsets “Brought incredible benefits to South African industry” – and Denel has reached break even

  Maj. Gen. (ret’d.) Otto Schür, formerly Chief Director of Acquisitions at the Department of Defence, presently Denel’s Chief Technical Officer and very much an insider as events unfolded, told conference delegates …

• A400M offsets were on ‘Best endeavours’ basis

  Maj. Gen. Schür said the contract received for Denel Saab Aerostructures and Aerosud as well as for Saab Grintek Communications for certain components on the aircraft are one-on-one contracts under a “best endeavour” industrial participation clause.