The trade and industry department has insisted that a floriculture and agriculture offset project by the German Submarine Consortium, from which government is purchasing three submarines, does exists.

However, it would still not divulge full details, saying that the decision whether and when to reveal information about existing offset projects to the media and public lies with arms-equipment suppliers.

This effectively allows the suppliers to keep offset projects under wraps, from all bar government.

The department's latest comments are in contrast to the initial silence around the flori/agriculture project, which appears to be the largest of the submarine consortium's projects to date.

The department last week declined to comment on the project, on the basis that it was a "commercial project".

This followed the submarine consortium's refusal last month to comment on the project or any other offset projects .

Deputy director-general at the department, Lionel October, said the floriculture and agriculture project, established two years ago, had already "done some exports". He said the project had not yet reached its full potential, at which stage it could employ 1500 people.

October also said the consortium's plans to establish a cold rolling steel mill had been revived.

With acknowledgements to Carli Lourens and the Business Day.