Sars skills deficit tests already-strained industry

THE DEPLETED skills base at SA Revenue Service is one of a raft of challenges facing the freight industry, according to an industry survey undertaken by Coface industry analyst Wayne Basson. “Sars on the customs side have lost expertise,” says Basson. “This is a specialised field and Johannesburg customs is proving to be problematic. “Officials examining imported goods must be familiar with the laws for those specific goods. Imports can be delayed for up to five days before being released, especially at the state vet where medicines are imported for livestock.” While Basson does not believe the industry is in a downturn, he describes it as “levelling out”. “The weakening rand and increasing interest rates are all adding pressure while the soaring fuel price in an industry that relies on truck transport is having a devastating impact. “ BEE compliance for freight companies is also an issue, says Basson. “Freight forwarders that are not BEEcompliant will not be used by organisations whose suppliers demand BEE credentials.” The growing scourge of hijacking is also taking its toll. “It is no longer enough to track the vehicles. Now the freight industry has to find ways to track its cargo as well. Hijackings are causing huge losses to the economy and putting truck drivers at risk, also putting strain on policing resources and affecting insurance premiums,” he added. “It will be interesting to see whether the continued increase in the price of fuel will see more freight moving from road to rail,” he said.