South Africa’s main opposition party, the Democratic Alliance (DA), has introduced the Economic Inclusion for All Bill, a proposal to eliminate race-based preferential procurement policies and replace them with a system focused on poverty and social impact. The bill seeks to amend the Public Procurement Amendment Act of 2024 and phase out the Broad-Based Black Economic Empowerment (B-BBEE) framework that has guided economic transformation for two decades, as published on the DA’s official website.
DA Head of Policy, Mat Cuthbert, said the reform aims to “use poverty, not race, as the proxy for disadvantage,” describing it as a plan to stimulate job creation, attract investment, and align with the United Nations Sustainable Development Goals. Reports from News24 highlighted that the proposed model would assess suppliers based on their contribution to inclusive development rather than ownership demographics.
The bill also proposes the gradual winding down of the B-BBEE Commission over a 12-month period, while allowing the Minister of Trade, Industry and Competition to establish a new preference point system centered on economic inclusion. As reported by SowetanLive, the DA argues this approach will promote fairness and transparency in government contracts and public sector tenders.
The ruling African National Congress (ANC), however, has rejected the proposal. Party spokesperson Mahlengi Bhengu described it as “a step backward that undermines efforts to redress apartheid-era inequalities,” according to Eyewitness News. If passed, the DA’s bill would mark one of the most significant shifts in South Africa’s post-apartheid economic policy, potentially reshaping how businesses engage with government procurement in the years ahead.
