Industry calls for urgent action on MRCS concerns

Amid escalating concerns
around the actions of the
National Regulator for
Compulsory Specifications
(NRCS), the issue is now set
to be taken up by the Nedlac
Forum.
According to industry
calculations an average stop
by the NRCS of between
three to five days carries a
cost of more than R18 000.
A fine line existed
between protecting South
Africa against illicit and
unsafe products and
introducing a non-tariff
barrier to trade by pushing
up import costs through
lengthy container stops,
industry role-players
last week told the Cape
Chamber of Commerce and
Industry’s Port Liaison
Forum. They said that
the complex compliance
requirements of the NRCS
and the processes and
procedures in place were
quite simply a hindrance
to trade.
“Importers continue to
face delays and additional
costs whilst there are
several complaints about
the inefficiency of the
NRCS.”
The organisation, which
has been brought before
Parliament, continues to
randomly target containers
entering the country, often
resulting in long delays in
the release of containers.
According to an industry
source the Minister of
Trade and Industry, Dr
Rob Davies, recently met
with industry stakeholders
in order to address issues
around the NRCS but it
is believed that Davies
expressed concern that
industry was merely acting
from a commercial point of
view and not considering
the safety implications.
“There is no denying the
importance of protecting
South Africa from illicit
goods but one also has to
understand that there is an
entire legitimate electrical
goods industry – to name
but one sector – being very
negatively affected by this
one organisation. The costs
being incurred are huge,”
said the source.
Last week, Davies
reiterated his commitment
to safeguarding South
Africa at an event in
Cape Town where goods
confiscated from the ports
of entry as well as from
several suppliers were
destroyed.
Goods with an estimated
value of R36.6 million,
including electro-technical
equipment and chemical
products, were destroyed
after being declared substandard
in terms of the
NRCS Act. The majority
of the goods destroyed in
this operation had been
confiscated at the ports by
the NRCS.
“Whilst there is no
denying that the NRCS has
a role to play and that South
Africa must be safeguarded
against unsafe products,
one must also be careful
not to introduce measures
that inhibit trade,” said the
source. “Many in South
Africa believe that the NRCS
is a non-tariff trade barrier.”