The Cluster Development Programme (CDP) is an incentive programme that aims to promote industrialisation, sustainable economic growth, and job creation needs of South Africa through cluster development and industrial parks.
The following organisations are excluded from either applying as clusters or forming part of a cluster:
- Export councils;
- Industry associations; and
- Trusts.
Non-qualifying costs include any activity that is partially supported by another government scheme, quasi-government scheme, or that any other support from an entity other than members of the cluster.
To apply, visit the website of the Department of Trade and Industry, and locate the Financial Assistance tab. All information regarding the application forms and guidelines are provided for in each of the DTI funding and / or incentives.
An eligible cluster should have five or more members who are registered tax-paying entities or non-profit organisations. At least 20 % of the membership of the cluster should be made of 51 % black-owned entities in the first year (the pilot stage). In the case of industrial parks, preference will be give to parks located in areas where there are high levels of unemployment (townships or rural areas). The majority of tenants must be involved in manufacturing or supply-based firms.
Urgent Notice: Suspension of the Cluster Development Programme
The DTI will be suspending new applications for the Cluster Development Programme with effect from 01 April 2018. This is due to the fact that the first phase of the Programme was rolled out as a pilot project, where assistance was targeted at a limited number of clusters that were selected to make a case for the potential success of Cluster Development in South Africa.
Work has already been commissioned by the DTI to understand the impact of the Pilot Programme. Recommendations from the study are expected during the course of the 2018/19 financial year.
The DTI will continue to honour all approved applications. All other incentives of the Department will continue as normal.
Contact us today for easy facilitation of the CDP Grant.