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Customs

Knitted Fabric Rebate – Comment due

Publish Date: 
28 Jun 2016

On 24 June 2016 the International Trade Administration Commission of South Africa (Itac) published an application for the proposed creation of a rebate Item for single yarn (excluding sewing thread) containing 85% or more by mass of polyester staple fibres, not up for retail sale, measuring 160dtex or more but not exceeding 330dtex, classifiable in tariff subheading 5509.21, in such quantities, at such times and subject to such conditions as ITAC may allow by specific permit for the manufacture of knitted fabrics of a mass exceeding 100/m², classifiable under tariff heading 60.06.

The application was lodged by DesleeMattex (Pty) Ltd who reasoned that they had tried using local supply from local yarn spinners but ended up with significant reject fabric due to barre lines and holes due to yarn quality inconsistency, and as such, was forced due to no other alternative to import the yarn from reputable suppliers in the East. In addition, the company’s challenge is to be competitive against imported fabrics which are coming into South Africa and even if the local yarn spinners could get the quality consistently in line with imports, it is currently not competitively priced. As part of DesleeClama, an International group, it must use standardised yarns from the same supplier to gain colour consistency, if it is to supply big branded mattress brands from any of the plants around the world.

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