Single SADC road bond gets the nod

Alan Peat SA IS to lead the way in the Southern African Development Community (SADC) to become the forerunner in introducing a single bond for SA road transporters in the region. Effectively this means that local truckers will be covered by their bond lodged with SA customs for any duty or tax indiscretions in the other member countries of the SADC. This has followed negotiations between the Road Freight Association (RFA) and SA Revenue Services (SARS) where the association pressed for the idea of the single bond contained in the SADC protocol of agreement to be instituted by the SA authorities. These negotiations have now been successfully concluded, according to Costa Pierides of the RFA. "We are anticipating SARS publishing the requirements for registration and accreditation for a number of institutions about now," he told FTW when we interviewed him late last month. "SARS hopes to have 1000 names registered by June," said Pierides. Under the new scheme, SA hauliers will register one bond for the entire SADC and the practical operation of this system will be supervised by senior SADC customs officials at regular meetings. "We are trying to clean up the trade in the area," he added, "and the threat of withdrawal of accreditation for any major misdemeanours in the other countries of the SADC should help that along." If things go to plan, there could be a benefit for those hauliers who behave themselves properly. "There is the idea that "known" companies could get to lodge a percentage of the bond, although it's a bit of a leap of faith here," he said. SARS is even considering taking the single bond idea a step further. According to Pierides, the "good faith" guarantee of bonds lodged in some of the other SADC countries is in doubt. One way round this, in SARS thinking, could be a central bond, lodged and supervised by an approved banking institution in the region. "They are trying to encourage this idea," said Pierides