A team of facilitators will be established to assist the horse-racing industry to transform, says Trade and Industry Minister Rob Davies.
Calls have been rising for authorities to do more to transform an industry worth more than R1bn that has historically been viewed as the preserve of the very rich and where black ownership has been virtually unheard of.
Mr Davies made the commitment to set up a team of facilitators to assist the industry to transform during the hearings on the status of transformation in the horse-racing industry held by Parliament’s portfolio committee on trade and industry on Thursday.
Various stakeholders including grooms, trainers, owners and industry associations participated in the hearings.
“It has become clear during the presentations and inputs of various stakeholders that we are not close to achieving inclusiveness and transformation in the horse-racing industry. But we are committed to assisting the industry transform, and in order to achieve this we will appoint a team of facilitators who will consult with everyone involved and produce recommendations which will make everyone happy to go forward,” Mr Davies said.
Horse-racing industry analyst Robin Bruss requested Mr Davies to institute a commission of inquiry into horse-racing in South Africa in order to “inform an appropriate and equitable dispensation leading to a sustainable growth path for all who participate in the industry”.
Mr Bruss said that the unique structure of the horse-racing industry — its categorisation into breeders, which is part of agriculture, racing (sport) and gambling (trade and industry), was a barrier to transformation.
The industry has long been seen as an area dominated by white males, with black participation largely restricted to horse betting.
According to a report by PwC, in 2011 horse racing accounted for 78% of the total gross sports betting revenue in South Africa, generating R1.7bn of the R2.2bn that the entire sports betting industry earned that year.
The recent win by S’Manga Khumalo in the prestigious Vodacom Durban July — the first black jockey to win the race — has raised the stakes to improve transformation in the industry.
Estimates are that black ownership in the industry has doubled in the past two years from 100 to about 200 owners and this number is expected to continue growing.
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