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Freight & Trading Weekly

Industry mobilises against Itac scrap metal proposal

29 Jan 2016 - by Alan Peat
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The International Trade

Administration Commission

(Itac) proposal to make PE

the sole scrap metal port of

export appears to have raised

the ire of the entire freight

industry.

And, although contacted

only days after the Itac

proposal was gazetted, our

commentators were already

voicing strong opposition.

For example:

• “Oh yes, we’re 100%

against it,” said Sue

Moodley, chairman of the

Durban Harbour Carriers’

Association;

• “Yes, we are going to

oppose it,” said Gavin

Kelly, technical and

operations manager of the

Road Freight Association.

• “We’re definitely going to

submit our comments,”

said Peter Besnard, CEO

of SA Association of Ship

Operators and Agents.

• “Now that I’ve examined it

more closely it doesn’t look

too good,” said Andrew

Layman, consultant to the

SA Chamber of Commerce

and Industry.

• “It’s a load of nonsense,”

said Dave Watts,

maritime adviser to the

SA Association of Freight

Forwarders.

And even the metal

industry itself finds the latest

Itac proposal unacceptable.

And it is adamant that, tied

in with other Itac rulings, it

is going to ruin whole sectors

of the business.

Commenting on these

issues, Debra de Klerk of

Speciality Metals told FTW

that Itac was currently

administering regulations

for export control that

allowed local privately owned

businesses to purchase

materials from prospective

exporters of recycled metals

at 30% below international

prices, before the prospective

exporters were allowed to

export.

“It has now proposed

further restrictions which

will make the exporting of

recyclable materials from

SA virtually impossible –

and force further closure

of recycling businesses and

retrenchments in the metal

recycling sector.

“The proposal includes

re-routing all the exports to

the port of PE, via routes and

modes of transport which

are still to be determined by

Itac.”

And this proposal, De

Klerk added, is “vague and

unclear”.

She also objected to the

fact that there had been no

consultation with members

of the metals industry before

the proposal was put on the

table.

“We ask that the minister

of economic development,

Ebrahim Patel, engages in

an open meeting with the

industry representatives,”

said De Klerk. “Also that

he calls for public hearings

on this to be held in all the

provinces to fully consult

and inform all the affected

persons, companies and

parties.

“A petition is circulating

currently – and will be

delivered to the minister in

due course.”

De Klerk highlighted

the combination of Itac

proposals that were

likely to cause serious, if

not fatal, damage to her

industry.

“It is proposing that all

companies applying for

export permits be BEE

accredited; that all exports

only be done through

the port of PE; and that

monthly scale calibration

certificates be submitted.

“These are only a few of

the proposals being made

for implementation which

will have far-reaching

effects on thousands – and

will ultimately result in

further job

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FTW - 29 Jan 16

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