(3 Minutes Read)
The government is also proposing to beef up reporting in the industry by introducing an input-output system that will be used both for purposes of compliance monitoring under the act and for monitoring exports of scrap and waste metal and semi-finished products.
The South African government has outlined plans to rein in the thriving illicit scrap metal industry, which has over the years caused SA’s key economic infrastructure to be vandalized, necessitating billions of rand in repairs. The Department of Trade, Industry & Competition has previously said that the theft of public infrastructure for resale as scrap costs R47bn in damage annually to the economy.
In a bid to address this, the government in a gazette published recently said it aimed to compel sellers of scrap and waste metal to be registered and tax-compliant to curtail illicit flow of goods in the industry.
The government is also proposing to beef up reporting in the industry by introducing an input-output system that will be used both for purposes of compliance monitoring under the act and for monitoring exports of scrap and waste metal and semi-finished products.
The state said this would require scrap and waste dealers (buyers and sellers) to submit monthly electronic reports via the Metal Trading System to the International Trade Administration Commission.
Read Also;
https://trendsnafrica.com/south-africa-a-major-transit-hub-for-illegal-bullion-exports/
It said this system would reveal all purchases and sales of metal products (scrap, waste, semi finished, and finished) by volume and value. However, this proposal has not gone down well with industry players. Donald MacKay, CEO of XA Global Trade Advisors, said the electronic system proposed fell short of the required standards.
