Economists for Peace and Security

The Economics of Peace and Security Journal

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A publication by Economists for Peace and Security

The Making of Arms in South Africa
Paul Dunne

Vol 1, No 1 - Conflict or Development?, January 2006

The article presents a history of South Africa's arms industry. It charts the creation of Armscor, the post-apartheid breaking up of its procurement and production roles to form the current arms producer, Denel, and the even more recent restructuring of the industry. It is a story that shows the continuing legacy of apartheid, underlining the strength of the vested interests that make up the country's military-industrial complex, and highlights the important influence international arms producers can have. The article raises concerns over the structure and governance of the industry and over an arms offset deal associated with the most recently signed major arms acquisition package, and traces the dangers that are present for any small country that becomes embroiled in the international arms market.

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