President Jacob Zuma has unveiled a sweeping programme of "radical economic transformation" that would seek to change the ownership and control of the economy through legislation and empowerment regulations.
"Political freedom alone is not enough without economic emancipation."
He quoted former ANC president Oliver Tambo saying: "To allow the existing economic forces to retain their interests intact is to feed the roots of racial supremacy and exploitation."
He said: "We mean fundamental change in the structure, systems, institutions and patterns of ownership, management and control of the economy.
"Twenty-two years into our freedom and democracy the majority of black people are still economically disempowered."
The gap between African and white headed households "remain shockingly huge".
"The situation with regards to the ownership of the economy also mirrors that of household incomes.
"The pace of transformation in the workplace ... also remains very slow," he said.
The representation of whites at top management level amounted to 72% while African representation was at 10%."
Zuma said that in his discussion with the business community "they accepted these transformation imperatives.
"Today we are starting a new chapter of radical economic transformation. We are moving beyond words."
He said government would "utilise to the maximum strategic levers that are available to the state" including legislation.
Zuma criticised "high levels of concentration" as well as "the collusion of cartels" which prevented black industrialists from entering the market.
Zuma said legislation was being prepared "to amend the Competition Act" to bring about a "more inclusive economy and to de-concentrate ownership".
"We seek to open up the economy to new players, give black South Africans opportunities and to make the economy more dynamic, competitive and inclusive. This is our vision of radical economic transformation."
"Radical economic transformation should mean moving beyond share ownership schemes only. We would like to see black people involved directly in business, owning factories. The development of the black industrialist programme is thus critical."
Zuma said the programme had supported 22 entrepreneurs.
Zuma said government would speed up the "de-racialisation of the mining industry" through the mining charter.
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