In the Government Gazette of 25 February 2022 the International Trade Administration Commission of South Africa (ITAC) advised of the amendment of the ‘Export Control Guidelines on the Exportation of Ferrous and Non-ferrous Waste and Scrap’, also known as the ‘Price Preference System (PPS) Policy Guidelines’ that was published 02 October 2020.
The Guidelines are amended as follows:
(1.) By the insertion of the following calculation method as a new paragraph after paragraph 4.3 following the words “…domestic consuming industry”.
The method of calculation of the above-mentioned price preference prices for the different ISRI grades to be applied by ITAC as the formula is the calculation of the rand value and 10% PPS discount against the percentage of the red scrap metal content as reflected in the column hereunder.
Formula: LME convert to rand x (percentage content – [less] 10%)
E.g. LME to rand x 86% (Barley 96%-10% = 86%)
E.g. R100 000 x 86% = R86 000
(2.) By the insertion of the following calculation method as a new paragraph after paragraph 4.5 following the words “…domestic consuming industry”.
The method of calculation of the above-mentioned price preference prices for the different ISRI grades to be applied by ITAC as the formula is the calculation of the rand value and 25% PPS discount against the percentage of the aluminium scrap metal content as reflected in the column hereunder.
Formula: LME convert to rand x (percentage content – [less] 25%)
E.g. LME to rand x 45% (Taint Tabor 70%-25% = 45%)
E.g. R20 000 x 45% = R9 000
(3.) These amendments to the PPS Guidelines came into effect on 25 February 2022, as published in the Government Gazette.
