SA was stupid and naive to have withdrawn support for its productive sector in the 1990s in line with international policy guidelines, because the country paid a price and had to play catch-up, Department of Trade and Industry director-general Lionel October said in an interview on Friday. October was commenting on a World Bank report on SA released last week in Johannesburg. The bank recommended the government redirect its tax incentives to labour-intensive industries such as agriculture and manufacturing to boost growth and job creation, saying that the social returns in manufacturing were greater than for mining. October said the department welcomed the report: "Our view is we mustn’t withdraw support for mining — we must increase support to manufacturing, agriculture and tourism. "Mining is important, but it’s just the production of raw materials. We must add value to those raw materials." The government wants to provide grant-based incentives for agriculture and tourism similar...
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