This places a more general weakening commitment of localization by procurement agencies meant that companies invested in manufacturing in South Africa and employ South Africans did not get the work they should have. On top of this, the worsening financial situation of some of the state owned companies meant that the pace of procurement slowed down. This has had a negative impact not just directly on companies that are on the top of value chains but through out the value chains on companies established to invest in South Africa but also on black industrialist.