/ 28 February 2005

Minister: Money for poor families has doubled

The money set aside to help poor families cope with food price rises has doubled since 2002, Minister of Social Development Zola Skweyiya said on Monday.

He said the money — R400-million, up from R200-million — has been received by the provinces, but ”a lot of problems had since arisen”.

”We are in the midst of that now, trying to resolve the issue,” Skweyiya told a meeting of a body known as the National Consultative Forum. ”Within three months, we will come back and tell you of our decisions.”

In 2002, the Competition Commission was asked to investigate pricing policies after a series of increases described as opportunistic.

The commission found that low-income households were affected as the prices cut into their disposable incomes and there may be reason for the government to intervene and provide relief.

The government then set aside the R200-million assistance.

Monday’s meeting was attended by provincial ministers, traditional leaders and civil society bodies.

Skweyiya said he and the provincial ministers agreed to form the National Consultative Forum in South Africa’s nine provinces to ”advance our social transformation agenda”.

”This forum should be replicated in the provinces, with the view of consolidating such inputs at a national level so as to further catapult us from welfare to social development.

”We remain committed to ensuring that our work is based on cooperative governance, which includes ongoing work with all the spheres of government and civil society,” he said. — Sapa