National Trade Policy Document 2012 - tralac – trade law centre

survive the challenges of the ever increasing competition on the
international trading environment, greater emphasis will be put
on the production and export of processed goods in all sectors
of the economy, in particular mining and agriculture.
The export of commodities will be regulated in order to boost local
product beneficiation. Government will control, through appropriate
instruments, the exportation of primary products where valueaddition
options are readily available. A link will be created between
producers of commodities and manufacturers that are involved in
value-addition. The whole value chain of selected products will
be monitored so that support programmes for value-addition will
continuously be put in place at each level of beneficiation.
3.3 CLUSTER INITIATIVE
Competitive advantage is not created in a single firm alone.
Efficiency in internal operations is essential, but not necessarily
sufficient to compete globally. Factors external to the business
are becoming increasingly important. Each firm is inherently part
of a cluster of activities made up of firms along the value chain as
well as related and supporting organisations. Around the world, it
has been demonstrated that strong clusters ensure a sustainable
competitive advantage which is necessary for economic growth
and development.
The motive for adopting such a strategy, as enunciated in the
Industrial Development Policy, is based on the proven benefits
accruing in terms of attainment of economies of scale, lowering
production and transaction costs, global competitiveness and
development of comparative advantages. Government will
support industrial clusters through training in export marketing,
identification of potential export markets including niches, and
facilitating preferential access to trade finance.
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