Volkswagen, Raizcorp Mark 15 Years as R95 Million Program Drives R733 Million Turnover
Updated
Updated · The Herald · May 31
Volkswagen, Raizcorp Mark 15 Years as R95 Million Program Drives R733 Million Turnover
1 articles · Updated · The Herald · May 31
Summary
R95 million invested by Volkswagen Group Africa in its Raizcorp-backed business support centre has helped 178 entrepreneurs generate R733 million in turnover in the Eastern Cape over 15 years.
Thirty of those businesses have become Volkswagen suppliers, while programme beneficiaries now employ nearly 2,000 people and have added 680 jobs since joining.
Volkswagen said the Kariega centre, launched in 2011, was built to strengthen local business and supplier development in Kariega and Nelson Mandela Bay while supporting efficiency and localisation goals.
R1.7 billion in market-access opportunities has also flowed to black-owned auto-sector companies through Volkswagen's backing of the Automotive Industry Transformation Fund.
South African entrepreneurs often retry after failure just 1.14 times versus 3.6 in the U.S., Raizcorp's CEO said, underscoring the programme's broader role in building durable business skills.
A R95M investment created nearly 2,000 jobs. Can this model be replicated to tackle the region's wider unemployment crisis?
What makes an entrepreneur the right 'jockey' for Volkswagen and Raizcorp to bet on for business success?
With the auto industry pivoting to EVs, is this successful partnership preparing its entrepreneurs for the electric future?
15 Years of Empowering Entrepreneurs: The Impact and Future of the Volkswagen Business Support Centre in Kariega
Overview
The Volkswagen Business Support Centre (VBSC) in Kariega, Eastern Cape, celebrated its 15th anniversary in April 2026, marking a decade and a half of fostering entrepreneurial growth and economic empowerment. Since its inception in 2011, the Centre has demonstrated a strong commitment to developing local businesses and integrating them into broader economic value chains. Through a partnership with Raizcorp, the VBSC has provided comprehensive support programmes that have helped entrepreneurs like Phumza Gwaleni of Nhaka Legacy Group turn struggling businesses into profitable, empowered enterprises. This journey highlights the Centre’s lasting impact on the regional economy and community.