Figure 39: Promotion of Growth and Employment in the Manufacturing Sector

When questioned on the issue of the promotion of growth and employment opportunities in the manufacturing sector. Only 26% of respondents confidently agreed to this statement and 18.5% only somewhat agreeing, indicating that SMME businesses were not confident that mechanisms that will improve growth amongst SMME businesses and subsequent employment opportunities are not promoted enough, mechanisms such as:

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  Financial support.
  
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  Skilled labour force.
  
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  Competition with larger companies
  
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  Access to local and international markets.
  

Figure 40: Constraints facing SMME Businesses in the Manufacturing Sector

When asked about the constraints facing SMMEs in the manufacturing sector, respondents agree that a lack of financial support from financial institutes is a huge constraint with 66.7% of respondents agreeing to the statement, meaning that SMME businesses do find it difficult to access financing from traditional financial institutions. 27.8% of respondents believed that there is a definite lack of institutional support regarding business guidance and financial guidance. 16.7% of respondents feel that there is a definite lack of industry accreditation and quality management systems (ISO / SABS) as acquiring these accreditations are expensive.

25.9% of respondents believe that there is a lack of access to markets both international and local which they feel is hindering growth and development amongst SMMEs within the sector.

27.8% of respondents believe that there is a lack of procurement / supply chain management Knowledge and opportunities, meaning that training on tender procedures could provide valuable knowledge in SMME businesses securing new business.

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  Lack of skilled labour.
  
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  High input costs (imports and locally produced).
  
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  Recent job losses (due to the global recession).
  
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  High cost of energy or power supply.
  

Respondents highlighted that the lack of qualified staff is a major challenge in the manufacturing sector amongst SMME businesses with 48.1% of respondents indicating that this is a major challenge. Almost 30% of respondents indicated that a lack of the correct machinery and tools is a major challenge in their businesses, while 38.9% of respondents indicated that a lack of marketing tools and knowledge is a challenge when trying to promote their products locally and abroad.

Figure 42 indicates the gap in the awareness of trade events with over 50% of respondents indicating that they do not know of and do not attend trade events. The promotion of trade events is an important factor in growth and development in the manufacturing sector as it is a gateway to markets both locally and internationally and businesses in the manufacturing sector will benefit immensely from attending or partaking in such events. Of the respondents profiled only 31.5% admitted to attending local trade fairs and events which reinforces the idea of marketing and promoting trade events within the sector. A small percentage of respondents (7.4%) are able to attend international trade events which indicates that there is a need for SMME businesses to be exposed to these international events through trade missions or sponsorship programmes.