Having successfully petitioned the Parliamentary Committee for an opportunity to express concerns on the proposed Customs Control Bill,the logistics industry,  is preparing submissions to support its claims that sections of the Bill will disrupt supply chains and be detrimental to the industry without necessarily achieving the objectives pursued by SARS.

Director of Savino Del Bene SA, Juanita Maree says that to ensure the industry is able to make a positive contribution to the economy the main issues to be addressed are inland ports and the first port of clearance; penalties,as well as the practical implementation of the Bill’s provisions in a way that will enhance the seamless flow of supply chain efficiencies without compromising risk mitigation.

“It is crucial that the voice of the logistics industry is heard as this goes far beyond the legal and security aspects. The supply chain includes numerous intermediaries that all contribute as important stakeholders to reduce logistic costs on corridors linking coastal ports with the commercial hub of the country – Gauteng, its environs and beyond – in making South Africa globally competitive.  As such supply chains compete, not products or commodities.”

“The legislators will only have a comprehensive understanding of how to move forward in the best interests of the country and its economy if they take into consideration all the many role players and their input from responsibilities, visibility and reporting capabilities to time lines.  Certainty is another essential for trade particularly in tariffs and findings while accreditation plays animportantpart.”

“We are also looking to resolve issues around finding the balance between control and risk mitigation in circumstances where SARS has muddied the waters by confusing security risk such as cargo declaration with economic risk or fiscal control which is linked to tax.

“Ultimately though, it is how the supply chains will be influenced by the draft bills which need to be tested in practical terms with the legalities and transactions and trade and goods flows of the supply chains.

“We are seeing the industry rally behind us in an effort to have our views heard to highlight potential problems arising from the Bill that could harm the economy of the country.  The Parliamentary Committee has realised the import of bills and the need for an even-handed approach allowing us time for comment even if very short.

We are however faced with a number of difficulties in that it is impossible to comment on certain aspects of the bill as the rules have not yet been published.  These sections mention ‘as per rule’ or as per time frame’ so unless we are granted an extension in the light of this problem and the undue haste in which SARS is proceeding, the bill could go through to the possible detriment of all concerned.