An overview of the Department of Trade, Industry and Competition’s sector incentives and how a technology or AI investment relates to them.

dgm is an independent integration partner for osFoundry — it is not affiliated with osFoundry’s maker (OS LLC) and has not yet completed an integration project for any client.

The Department of Trade, Industry and Competition (DTIC) runs a range of sector incentives. They target specific industries — and they fund the operating company’s jobs or production, not the purchase of AI software.

The main DTIC programmes

  • The Global Business Services (GBS) incentive supports offshoring, BPO and IT-enabled services by subsidising job creation for servicing offshore clients.
  • The automotive APDP supports vehicle and component makers under the South African Automotive Masterplan 2035.
  • These are sector-specific and fund the operating company’s jobs or production; no AI vendor is an accredited supplier under any of them.
  • A January 2026 status notice on the DTIC GBS page was not readable; confirm the current GBS status with the DTIC before relying on it.

What it means for an AI project

  • DTIC sector incentives relate to your jobs or production in a supported sector, not to AI tooling you buy.
  • A tool like osFoundry can support a BPO or manufacturing operation, but the incentive funds jobs or production, not the software.

The honest framing

Public support in South Africa funds the company’s own research, development or innovation, or gives it a tax break — it does not buy an off-the-shelf AI subscription. The section 11D R&D tax incentive offers a 150% deduction on approved R&D, requires pre-approval by the Department of Science and Innovation and has been extended to 31 December 2033; the Technology Innovation Agency (TIA) and the Small Enterprise Development and Finance Agency (SEDFA, formed in 2024 from SEDA and SEFA) fund innovation and small enterprises; and DTIC sector programmes such as the Global Business Services (GBS) incentive and the automotive APDP support specific industries. Separately, Broad-Based Black Economic Empowerment (B-BBEE) is a procurement and empowerment scorecard, not a grant: a supplier’s B-BBEE level affects how many procurement points its customers earn, so it shapes who buyers prefer rather than paying for software. dgm is not a registered or accredited provider of any of these programmes; it can advise a beneficiary or act as a subcontractor.

Where dgm comes in

dgm is an independent integration partner that helps organisations in South Africa adopt the osFoundry platform — from identifying the first practical use case, to setting it up, to connecting AI to the systems you already run. dgm can help identify which parts of your activity might qualify — without committing that any incentive will be granted. dgm operates separately from osFoundry’s maker (OS LLC) and has not yet completed an integration project for any client, so everything above is a proposed service rather than a delivered outcome. If you would like to weigh up a practical first step, dgm would be glad to think it through with you. Arrange an introductory call with dgm.

This article is general information and is not legal, financial or tax advice. Incentives, tax rates and regulations change; always confirm the current position with an official source (SARS, the Department of Science and Innovation, the dtic, the Information Regulator, the FSCA or the relevant authority) or a qualified adviser before you act.