| Speeches - Dawn Robertson |
GAUTENG’S CREATIVE ECONOMYPRESENTATION BY DAWN ROBERTSON, HOD GAUTENG DEPARTMENT OF ARTS & CULTURE, TO THE GAUTENG NEPAD SUMMIT – SANDTON CONVENTION CENTRE5 MARCH 2009The creative economy has emerged over the last 10 years as a means of focusing attention on the role of creativity as a force in contemporary economic life. At the heart of the creative economy lie the creative industries, which are today considered to be one of the fastest growing sectors in the global economy, outperforming traditional economic sectors such as agriculture and manufacturing.  Today, the creative industries account for 3.4 percent of total world trade, with exports reaching $424.4 billion in 2005 and an average annual growth rate of 8.7 percent between 2000 and 2005. When we speak of the creative industries, we are referring to those industries which have their origin in individual creativity, skill and talent and which have a potential for wealth and job creation through the generation and exploitation of intellectual property. These include music (classic, popular, folklore), visual arts (painting, sculpture, public arts, decorative arts), publishing sector (books, magazines, newspapers), audio-visual and media sector (film, television, photographing, video, broadcasting), performing arts (theatre, dance, opera, live music), emerging multimedia sector (combining sound, text and image), craft (designer goods, functional wares, traditional art, craft art, souvenirs), cultural tourism and cultural heritage sector (museums, heritage sites and cultural events). Last year The United Nations Trade and Development Agency (UNCTAD) released the first multi-agency study of the world’s creative economy. The report reveals that creativity, knowledge and access to information are increasingly recognised as powerful engines driving economic growth and promoting development in a globalised world. Nowadays creativity and human talent, more than traditional production factors, such as labour and capital, are fast becoming powerful engines of sustainable development. The report provides an overview of how developing countries can benefit from trade in creative products and service. It argues that governments in poorer countries should take their lead from the example of China, which became the top world exporter of creative goods in 2005. With effective policies in place, the creative economy has the potential to foster economic growth, job creation and export earnings in developing countries as well. Africa however, the report goes on, has only captured 1% of global trade which is attributed to global market biases but also weaknesses in our domestic policies. However, despite the richness of our cultural diversity and our abundance of creative talent we are not yet fully benefiting from the enormous potential of our creative economy to improve development gains. Developing countries, the report goes on, can further integrate into the global economy by nurturing their creative capacities and enhancing the competitiveness of their creative goods and services in world markets, provided that appropriate policies are in place at a national level and market imbalances can be addressed at an international level. The creative economy therefore offers developing countries a feasible option and new opportunities to leapfrog into emerging high growth areas of the world economy.  Gauteng Provincial Government has been forward thinking and has recognised the creative industries as a major instrument for the promotion of our Gauteng City Region, not only economically but also in terms of identity and cultural distinctiveness. We have begun to recognise our creative economy as a feasible development option for linking the economic, technological, social and cultural development objectives of our province. The Creative Industries Development Framework [2005], Craft Development Strategy [2008] as well as the Film, Music and Performing Industry Strategies due to be released soon provide the policy framework to optimise the potential of our creative economy for generating economic growth, job creation and export earnings while at the same time promoting social inclusion, cultural diversity and human development. Research conducted over the last few years has shown that Gauteng is the hub of the South African creative industries (over 40% are based here) and is the market place for not only South Africa but also many of Africa’s creative industries. Research has also shown that the creative industries in Gauteng have the potential to contribute 26% to our Gross Domestic Product. It is also an economic sector with a high level of labour intensity and high labour absorption potential. The Gauteng Creative Industries Development Framework highlighted the lack of current information about this sector nationally. In 2007, we undertook a collaborative creative industries mapping study together with the British Council and the University of the Witwatersrand. The study, the first of its kind in the country, is complete and a clear picture of the creative industries in Gauteng has begun to emerge.  This mapping provides a first quantitative picture of the size and scope of the creative industries in Gauteng. The total contribution of the 11,320 firms and organisations comprising the creative economy in Gauteng is R33.3 billion in turnover per annum and the sector creates employment for over 182,000 people. The audio-visual and the music sectors produce the most revenue per person employed. In terms of the number of firms and organisations active in the sector, the design (25%), craft (21%), audio-visual (11%), music (11%) and visual arts (10%) sectors are the largest. All the sectors comprising the creative industries show reasonably high levels of export activity focused primarily on the large consumer markets of the European Union, the United States and Canada. Over a quarter (27%) export to the African continent. The creative mapping, together with our enabling policy environment will assist the province to develop and implement programmes to meet the needs of these unique sectors. Priority sectors for intervention in the province include visual arts, craft and design, film, fashion design, music and the performing arts. I will briefly touch on some of our interventions in these sectors…. The crafts industry (linked to tourism) is an important sector for the economic empowerment of women. Our national Department of Trade and Industry projects that the crafts sector has the potential to contribute R5-billion to the country's GDP and 20 000 more jobs by 2015 if supported by appropriate interventions. The Gauteng Craft Strategy aims to overcome the challenges faced by craft entrepreneurs and to ensure that crafters get good quality products into fiercely competitive and fickle markets. The strategy aims to include all enterprises engaged in the production and supply of craft throughout the value chain. The primary vehicle for the delivery of programmatic interventions is the establishment of the Gauteng Craft and Design Development Centre in early April this year and related satellite craft development centres. This initiative, based on the national DTI Craft Customised Sector Plan will ensure that products reach markets and that market information reaches producers. Through the five core programmes of the Gauteng Craft and Design Centre, we will develop a viable, market-driven craft industry that draws on our province’s diverse cultural history, creative energy and capacity for innovation. The marketing and communications programme will develop and promote a Gauteng craft ‘signature’ and provide timeous information and networking opportunities for craft enterprises.  The enterprise development programme will support the development of successful craft entrepreneurs and the growth of sustainable craft enterprises. This will include a counselling, business mentoring and referral service to improve competitive advantage. The Global City Region roadmap stresses that our competitiveness as a globally competitive city region lies in our ability to design and innovate. The design and innovation programmes of the CDC will support the exploration of new materials, techniques & technologies to generate new designs and products. The Product Development Clinic will develop local design and innovation skills for the creation of new products and the setting of new trends. The market access programme is designed to facilitate long-term enterprise sustainability through increased sales, access to new and existing markets and other trade opportunities. The market development programme will focus on expanding existing markets as well as opening new markets. One particular niche market is the corporate gift market, which is a potentially lucrative market for the craft sector as the profit margins are greater, supported by corporate social goodwill, and the volumes are generally smaller than other markets. The CDC will include a corporate gift warehouse, which will provide a brokering service bringing the maker and the market together and will develop a product range that will be held on-site to facilitate last-minute purchases. All the programmes of the CDC will be backed up by an ongoing research programme, which will produce, document and replicate resources and knowledge gained through implementation of CDC programmes. In 2010, we will host our first Pan-African craft market. This event will be a catalyst for the province's Nepad drive and ensure that the Southern African region benefits from improved trade in traditional craft products. The market will provide opportunities for exchange between SADC nations and the broader African community. The rich and diverse culture and heritage of the continent will be celebrated through information sharing; workshops; performance and exhibitions. Being the most developed economy within South Africa, it is not surprising that the music industry, one of the highest creative industry growth sectors, is located here. The SA recording industry generates just under R1-billion locally a year, and the live music industry about R1.5 billion. The province has aggressively sought to support and grow the annual Moshito music market and conference [the only music market in Africa] into a premier event in Gauteng. GEDA has been instrumental in assisting Moshito to concretise its partnership with Womex, the European-based world music expo. What Moshito is to the music industry, Cannes is to the film industry, and this music lekgotla provides stakeholders with global knowledge on issues affecting the local industry. Moshito provides businesses who have limited access to credible business intelligence with the latest information about music markets to build a defendable competitive advantage for their companies. It is also a place where challenges to growth within the sector are addressed. By providing support in this area, we are facilitating the development of sustainable creative enterprises in Gauteng’s music sector. The South African fashion design sector has changed dramatically over the past 10 years. Rather than merely adopting international designs, fashion designers have creatively adapted their designs to create a South African identity. Local brands have become increasingly popular, many of them reflecting the unique cultural blend of South Africa. Gauteng is home to many of the successful new fashion designers, including Sun goddess and Stoned Cherry. It is also home to the ‘Fashion District’ in downtown Johannesburg where many smaller designers are located. The South African fashion industry has experienced tremendous growth since 1994. One factor that has contributed to this growth has been South African Fashion Week introduced 11 years ago and the growth of associated events. Local fashion magazines have also begun to showcase more South African designers, which has successfully changed the perception of the consumers. GEDA is currently establishing the Gauteng Fashion Council that will market the sector internationally and ensure that key interventions grow and promote this vibrant industry. Gauteng also boasts of a dynamic, diverse and growing film and audio-visual sector. The province is the heart of creating and producing local content for television, radio, film and commercials. The head offices of all three television broadcasters are located in Johannesburg. In addition, the province is known as the economic hub of sub-Saharan Africa and hence the majority of consumers of corporate TV and media services are based within its boundaries. Estimates suggest that more than 70% of the film and television industry in South Africa are based in Gauteng, mainly in Johannesburg. Gauteng has a number of advantages as a film location, including considerably cheaper production costs than in the United States, Australia, or New Zealand, and a range of diverse and spectacular locations such as the African bush, industrial scenery, and American and European-style settings. In addition, the province offers access to a labour force with extensive and variable technical expertise; world-class facilities, including well-established and equipped post-production digital facilities, audio, graphics, and animation houses; state-of-the-art rental equipment; a highly developed infrastructure; a compatible time zone with Europe; and all-year-round sunshine! The significance of the audio-visual sector is multi-dimensional. The audio-visual sector’s contribution ranges from the core creative content of ideas and ideology, to its political aspects as an information disseminator and facilitator of dialogue and commentary, to its economic impact on employment, investment, GDP, trade balance and a range of other economic variables. The audio-visual sector is also a marketing tool for South Africa internationally and is the image that the country presents to its own communities and to the world.  It is also a channel for receiving foreign exchange, an important mechanism for technology transfer, it plays a significant role in upgrading the South African skills base and it is one of the best forms of promotion for the country. The Gauteng Film Commission develops, promotes, coordinates and facilitates film and television productions in the province, attracting local and international investments in the film and television industry contributing to socio-economic growth in Gauteng. As part of our efforts to market, our “Creative Gauteng†brand we are also promoting the province as THE preferred venue for major arts and culture events. There is no doubt African art -- however you define it -- is hot! Yet as Africans, we rarely get a chance to see, let alone buy, contemporary art of the continent. Major international exhibitions of contemporary African art rarely come to Africa. Simon Njami's acclaimed Africa Remix, which showed in Johannesburg, in 2007 after a world tour, supported by the province, was an exception. The Jo’burg Art Fair which takes place in this conference centre from 2 to 5 May, is the first of its kind in Africa. This event, now in its second year has created a much-needed platform for African contemporary artists to display and sell their works. Last year’s attendance figures were reported to be over 6,500 and R30-million in sales was generated. With the support of the province, we hope to grow the Jo’burg Art Fair to rank among the finest in the world to rival Miami, Dubai, Toronto, Hong Kong and New York. This will ensure that Gauteng maximises on its position as the creative nucleus of South Africa. In September, we host the 4th International Federations of Arts Councils and Culture Agencies world summit in Johannesburg. The summit will focus on the role of public arts policies in meeting the wider challenges facing the world – economic, social and cultural.  The event will see key people in arts policy drawn from arts funding agencies and cultural organisations around the world discussing the impact of arts and culture policies with a special focus on the developing world. The summit will also provide opportunities for networking between cultural organisations within Africa. Best practices will be explored and opportunities provided for delegates to create new connections and collaborations. In closing, I want to briefly touch on the relationship between tourism and the creative economy. Worldwide growth in tourism has continued in recent years and has helped to fuel the growth of those creative industries selling creative goods and cultural services into the tourist market. According to the UNCTAD creative economy report mentioned earlier, international tourist arrivals in Europe in 2004 totalled 416-million while the numbers arriving in the Asia and Pacific region amounted to 153--million. During the same period, there were only 33-million arrivals in the whole of Africa. The cultural sector contributes to tourism through the demand for visits to cultural heritage sites, museums and galleries, festivals and so on as well as tourists’ interest in attending music, dance, theatre and opera performances in most cities and towns. Festivals in particular can play an important role in destination development, increasing tourism traffic and driving development in a region. The demand for creative goods and services by tourists supports the development of the creative economy. Measures need to be taken to ensure that creative workers in the region can reap the benefits from the increasing demand by tourists for creative products. |