Defence Minister reveals possible strategic industrial partnership with Brazil’s Embraer
Addressing Parliament’s Portfolio Committee on Defence and Military Veterans in Cape Town on Tuesday, Defence and Military Veterans Minister Thandi Modise stated, almost in passing, that she hoped that it would shortly be possible to announce a partnership with Brazil-based major aerospace and defence group Embraer. She said that this would be for manufacturing and repair in South Africa, and that it would force the South African government to invest more money (in the country’s aerospace and defence industry). She gave no further details.
Embraer is the world’s number three manufacturer of commercial airliners, specialising in types with 150 seats or less. It is also, in the civil sector, a major producer of business jets and agricultural aircraft. In defence, its range includes the A-29 Super Tucano turboprop light attack and advanced trainer aircraft and the KC-390 Millenium airlift and air-to-air refuelling aircraft. It is manufacturing Gripen E fighters, and has played a significant role in developing the two-seat Gripen F version, under licence from Saab in Sweden, for the Brazilian Air Force. It also operates in the defence electronics space, most notably radar, and in the space sector.
Prior to referring to Embraer, Modise affirmed that the local defence industry was important to South Africa. “We are looking with other industries in other countries to revive [State-owned defence industrial group] Denel,” she said.
Regarding Armscor, the country’s defence acquisition, disposal and research and development agency, she said that the agency was beginning to get on track. Its weaknesses were being identified. Oddly, perhaps, she talked about “forcing” the South African government (of which she is a member) to invest more in defence technological research and development and in the development of intellectual property.
She noted that the Auditor-General had determined that, during the 2022/23 financial year, there had been R475-million in irregular expenditure by the South African National Defence Force (SANDF). Modise reported that these irregularities had been traced to the procurement system. This entire system had now been overhauled, she assured. Service personnel assigned to logistics and procurement were to get the training they needed, to ensure no future irregular expenditures. Anyone, who, after receiving such training, did not apply the correct procedures would be treated, she asserted, “mercilessly”. The government was also considering calling in the Special Investigating Unit, the country’s anti-corruption and forensic investigation agency, to investigate cases of irregular spending.
As for the 2023/24 defence budget, it was R500-million less than the previous budget, leaving the SANDF underfunded by R2.6-billion. “We are definitely, terribly, underfunded,” she asserted.
Yet, she highlighted, the SANDF remained committed to two regional security operations, in the Democratic Republic of Congo and Mozambique, continued to patrol the country’s borders and coast, and provided aid to civil society. And the aim was still to renovate the SANDF, especially naval vessels and air transport aircraft, as well as create a Rapid Reaction Force, among other priorities.
A new, future South African National Security Policy document was being developed, Modise reported. It should be presented to Cabinet during next year.
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