On the eve of the annual budget speech, TLU SA doubts if there is still any use in drawing up and presenting a state budget.
“We are convinced that the same old singsong will just be dished up again,” says Mr Henry Geldenhuys, the president of TLU SA. “The dedicated funds for specific causes will land in someone’s wallet and won’t be applied to whatever it was budgeted for. Service delivery will stay but a dream.”
If the minister for finance, Mr Tito Mboweni, however, wants to present a reasonable budget, he can focus on the following:
- Cut government expenditure;
- Implement proper plans to pay off state debt;
- Ban salary increases for state officials until the economy is growing again;
- Budget for infrastructure that will stimulate the economy;
- Look at the levels of competency in the public service, as well as the performance in terms of service delivery;
- Hold the political head responsible for the corruption in various departments;
- Put an end to policies that drive investments away, like BEE and expropriation without compensation;
- Solve unemployment by creating a climate where entrepreneurs will have the trust to do business and, in turn, create jobs; and
- Change the law so South Africans can deduct security expenses from tax.
The president highlights the importance of agriculture all the time – and did so again during the State of the Nation speech. That is why TLU SA would like to see a focus on the following elements during the budget speech:
- POLICE: Sufficient funding to clear the SAPS from incompetent, criminal and corrupt police officials, and then see to it that effective training leads to a high-quality police service. The police should have the necessary equipment to do their work correctly. The force should have specialist units which focus on specific crime like farm attacks. In short, we want to see the SAPS empowered so that they can do their work correctly.
- INFRASTRUCTURE: The necessary infrastructure is of utmost importance to let the economy function at its best.
- DISASTER MANAGEMENT: Be prepared to offer the needed support for the farmers who produce food for markets during disasters.
- PUBLIC SERVICE: The public service does not function effectively on any level. Farmers lose many productive hours because service delivery is never a priority. Cleanse the public service from incompetency by aiming for expertise and putting an end to BEE’s race-driven policy.
- LAND CLAIMS: Budget appropriately to finish legal land claims once and for all. The market should then regulate land ownership.
- INVESTOR’S TRUST: Focus on that which creates investment trust. The government should terminate destructive policies like expropriation without compensation.
- ECONOMIC GROWTH: Each speech, comment or decision should be tested against its impact on economic growth.
- REALITY: Budget according to South Africa’s reality and realise that the ANC’s policies pushed our economy into junk status. Unemployment is at a record high and will only increase because of the new minimum wage. Economic growth should be the main focus.
“We are very concerned that the ANC will march forward on their ideological path of economic ruin,” says Mr Geldenhuys. “The markets powers is the deciding factor in economic growth. It means that the correct steps should be taken, which will lead to trust for investors. However, the ANC’s management style is known for the uncertainty surrounding policies and, in some cases, even chasing away capital.
“Economic growth is not something that becomes a reality simply because it was announced during a state or budget speech. You create that from a stable, healthy policy environment which creates trust. Something the ANC fails at abysmally.”
Issued by: TLU SA
Date: 22 February 2021
Enquiries: Mr Henry Geldenhuys, President TLU SA, Cell.: 083 560 1273
Mr Bennie van Zyl, General Manager TLU SA, Cell.: 082 466 4470
