Swaziland quashes rumours of illegal transhipments

James Hall SWAZILAND'S CUSTOMS and Excise Department has given the nation a clean bill of health following allegations that manufactured goods were being transhipped through the kingdom to benefit from its preferential trade agreements with the US. The department was investigating rumours that some Chinese garment makers and other companies were shipping finished goods from home companies in foreign lands to Swaziland, and then sending these on to the United States with "Made in Swaziland" identification tags attached. This to benefit from Swaziland's duty-free access to the US in terms of that country's Generalised System of Preferences and African Growth and Opportunity Act (AGOA). Customs agents inspected incoming containers at Matsapha's Inland Container Depot, and conducted spot-checks at various companies and warehouses. The department's findings came as a relief to Enterprise and Employment Minister Lutfo Dlamini, who announced them. Dlamini's ministry is responsible for attracting new foreign direct investment into the kingdom, and if proved true the charges would have jeopardised US trade benefits on which Swaziland's export industries depend. "There is no doubt that all the new companies that have come here since AGOA would pull out if we were kicked out of that for violations, and the expected new firms would not come," says a manager of a Matsapha-based road freight company. He said the freight haulage business would be significantly affected by a drop in exports, which are currently on the upswing from last year's reduced levels.