Help for exporters changing gear from MIDP to APDP

Component and vehicle exporters are being given the opportunity to re-engineer their business models as government support switches from the Motor Industry Development Plan (MIDP) to the Automotive Production and Development Plan (APDP), according to Allan Corbett, managing director of Sasfin Commercial Solutions (Global Trade). “The MIDP was an exportbased incentive, while the APDP is a production-based incentive,” he says. This opens opportunities for component manufacturers to claim benefits on their sales to the local aftermarket as well as on their export sales, provided that they meet the minimum qualifying criteria. Sasfin will work with manufacturers and service providers in their existing logistics supply chain to identify opportunities. Companies are helped to obtain the maximum benefits for which they qualify in terms of Itac’s incentive programmes, as well as with recovering or eliminating import duties payable in terms of the Customs Excise Act. These services include the administration and processing and submission of Production Incentives (PI claims under the APDP Programme which are calculated on the value added during the manufacturing process and are claimable on qualifying sales to export and local customers). Sasfin also assists with the preparation of Form C1 and Standard Material Declarations in terms of the APDP Programme in order to calculate the benefits claimable under the Production Incentive.