Lawyers are seeing an increase in trade remedy applications – particularly in the steel sector. According to Quintus van der Merwe, a partner at Shepstone & Wylie Attorneys, this will have an enormous impact on the cost of manufacturing of all steel products in the country. “This is potentially problematic given that this is happening at a time when the manufacturing sector is trying desperately to recover from the effect of Level 5 of the Covid lockdown, when all manufacturing had to cease for six weeks and was then gradually phased back in over the next levels.” Van der Merwe told Freight News another big challenge at present was the potential bottle-necking of imports on arrival. “This is due to several reasons. For instance, the effects of service interruptions due to unrest or strike action, and an increasing number of tariff headings being challenged. This makes it very difficult for importers to have certainty both as to costings as well as to avoid the potential of business interruption,” he explained. “There is also an increase in regulation by other government authorities such as border police, NRCS and the National Consumer Council – and there have been various delays and log jams on the side of the State Vet.” In short, said Van der Merwe, there needed to be improvement in service delivery across the board as the excessive delays and interruption to business was costly.Taryn Hunkin, a customs consultant at Shepstone & Wylie, said given the weaker rand and recession importers were under tremendous pressure. “It is not the greatest of time for importers. At the same time South African consumers remain dependent on imports.” Her advice to prospective importers is to accurately ascertain demand and then cost products correctly.“It is further imperative that importers ensure they are correctly declaring their products to Sars i.e. value, origin and tariff. Errors in such declarations may have massive negative financial implications down the line,” warned Hunkin.
INSERT: "An increasing number of tariff headings are being challenged which makes it very difficult for importers to have certainty about costings".– Quintus van der Merwe