The government could learn lessons from the support the Dubai, Italy and India gave their jewellery industries, New National Party trade and industry spokesman Rodney Rhoda said on Wednesday.
”How is it possible that a country such as South Africa, that produces so much precious metals and minerals, was never really in a position to ever become the ‘world leaders’ in the manufacturing of gold and diamond jewellery?”
He added that the reason why Italy, India and Dubai did so well was that their governments promoted the manufacturing of gold jewellery by ”loaning” the commodity to their jewellery manufacturers.
”This gives them time to manufacture jewellery, market the jewellery overseas and then repay the loan. Because gold is such an expensive raw material this is the only possible route to take if one wants to produce gold jewellery on a large scale,” he said.
As a result, he called on government to consider implementing a ”gold loan scheme” to help propel South Africa into the ranks of the major manufacturers and exporters of gold and diamond jewellery. – Sapa