Innovation for economic growth : the case for a world class tooling industry

Abstract

A key lever for unlocking the economic potential of any nation is a competitive tooling industry. Like other sectors of the South African economy, the tooling industry has experienced a marked decline in the skills base and requisite expertise needed in a globalised economy. Furthermore, over the past few years, there have been low levels of capital investment among tooling companies in South Africa to keep pace with global trends. This paper will highlight the Department of Science and Technology's (DST) response to the unacceptable decline in the competitiveness and innovative capacity of the tooling industry in the country. Through the Tshumisano Trust, its implementation agency, the DST has launched three Institutes for Advanced Tooling (IATs) over the past year. These institutes are meant to stimulate the development of innovative products, processes and services through tooling to accelerate economic growth in South Africa. The potential impact of IATs on high growth and innovation-driven industries such as automotives and chemicals will be discussed.