Gregory Leymarie, CEO of Pernod Ricard South Africa and Sub-Saharan Africa says, “During the Covid-19 pandemic we decided to re-allocate the festive season budget traditionally spent on imports and use those resources to invest in the local economy instead. This intention eventually gave birth to Phakamisa iSpirit.. 

Phakamisa iSpirit is run in partnership with the Gauteng Department of Economic Development and Furntech. Through this campaign, Pernod Ricard helps develop local artisans, particularly in the furniture-making space, by providing each participant with training in SETA-accredited courses covering carpentry, business management, manufacturing, technology, and accounting. Through Furntech, the makers are also able to access the organisation’s considerable pool of resources and practitioners. To date, Furntech has trained more than 7,250 artisans, helped start more than 430 SMMEs and created over 1000 jobs so we are confident that we have the right partners on board to give this campaign the credibility and longevity it deserves.

Building local business

Last year, two of the stand-out furniture makers from the Phakamisa iSpirit campaign went on to start their own businesses. Both Hosea Matlou and Sandile Tsulo came from underprivileged backgrounds and through the campaign have been able to create businesses that changed their lives. 

“Before I partnered with Phakamisa ispirit, my mother lived in an RDP house with 9 orphan children. I couldn’t afford equipment and my dreams of being a business owner seemed out of reach. Since becoming part of Pernod Ricard’s Phakamisa iSpirit initiative, I have managed to help build my mother a home, purchased administration and data capturing equipment and have taken some big steps toward achieving my goals,” says Tsulo.

This year Pernod Ricard has eight makers enrolled into the programme, three of whom are female. These exceptionally talented women have managed to shine in a very male-dominated space. As such, we felt it was our duty to give them a platform where they could develop their skills and get access to opportunities that may otherwise be denied to them.” says Leymarie.

Stimulating local economies:

A recent study by global consultancy firm Mckinsey found that while Small, Medium and Micro Enterprises in South Africa account for more than 98% of businesses and employ between 50 and 60% of the country’s workforce across all sectors, they are also the most vulnerable to economic downturns. Reducing the current official unemployment rate, which currently sits at 33.9%, requires other players in the South African economy to help support SMMEs where they can. This is what the Phakamisa iSpirit campaign hopes to achieve.

Putting South Africa’s Furniture Industry Back Together:

In recent years, the declining investment in skills development and technological innovation has had a marked impact on competitiveness in the local furniture industry. The result is that while the top-producing countries make 74% of the world’s furniture, South Africa only makes 0.4%. This ongoing investment from Pernod Ricard aims to redress that imbalance.

Leymarie says, “Since the deployment of our Group strategic plan back in 2018, our aim has always been to invest in long-term, profitable growth for all stakeholders. This campaign fits that mold for us while also conforming to our three founding values: entrepreneurial spirit, mutual trust, and a strong sense of ethics.”

Speaking at the Buy Local Summit and Exhibition earlier this year, Trade, Industry and Competition Deputy Minister, Nomalungelo Gina explained how the furniture industry had the power to make a meaningful contribution to the country’s employment levels.

“It [the furniture industry] is a labour-intensive industry, with the potential to contribute to the reduction of unemployment and increase the export and development of small, medium, and micro enterprises (SMMES). It also contributes to the geographical spread of economic activity, since the products can be developed in rural areas with minimal investment,” she said.

We Can All Contribute:

The campaign is also partially funded by ordinary South Africans who help by purchasing a bottle from one of the participating brands – Ballantine’s Finest, Absolut Vodka, Beefeater London Dry gin, and Chivas Regal 12YO – each presented in unique packaging – of which R5 from every bottle sold will go towards uplifting local makers. To date, more than R2 million has gone directly toward helping the artisans and by the end of 2023, the campaign aims to have thirty makers enrolled. 

Leymarie concludes, “At Pernod Ricard, our core purpose is to work together to create conditions for sustainable growth – the kind that respects our environment and our communities and that is collectively profitable for all our stakeholders: employees, shareholders, customers, consumers, and citizens. We are also the ambassadors of conviviality and try to spread that in everything that we do. Phakamisa iSpirit, and the many arms it has grown since we began, perfectly encapsulate that for us. Hopefully, it does for the rest of South Africa too.”

Visit www.i-spirit.co.za to learn more about the Phakamisa iSpirit festive gifting campaign. DM/MC