International Trade Administration Commission of South Africa

Presentation by the Deputy Chief Commissioner Itumeleng Masege

ITAC's Mandate & Organisation

• Create an enabling environment for fair trade in South Africa that fosters economic growth and development
• Comprised of over 100 professionals and divided into 3 specialist units, ITAC possesses unrivaled technical expertise in the administration of international trade

Tariff Investigations Directorate

• Responsible for the amendment of ordinary customs duties including rebate and drawback amendments
• Responsible for the administration of tariff-related programmes:
  • MIDP
  • DCCS

Trade Remedies Directorate

• Responsible for responding to all unfair international trade practices by
  • Providing technical and policy advice
  • Conducting investigations using trade remedy instruments:
    • Anti-dumping measures
    • Countervailing measures
    • Safeguard measures

Import & Export Control Directorate

• Controls importation and exportation of specific goods for health, safety and other reasons
• Ensures compliance with international agreements regulating the flow of goods

Achievements

• Reform of administrative and decision-making processes to (1) increase efficiency and (2) assure close alignment with policies of the dti:
  • Revision of governing statute (ITA Act)
  • Revision of anti-dumping regulations
  • Drafting of tariff investigation regulations
  • Drafting of policy guidelines (AD & tariff)
• Investigation of the tariff structure for wheat and its downstream products:
  • Duty structure for wheat was too opaque, characterised by frequently changing.
• Investigation of the tariff for iron & steel
  • Characterised by import parity pricing and high cost structures
• Key Performance Indicators (2005-2006):
  • 14 trade remedies investigations conducted
  • 48 investigations for reduction/increase of tariffs
  • 453 rebate compliance investigations
  • 550 enforcement investigations of containers
  • 1332 permits for rebates and drawbacks issued
  • 3473 duty credit certificates issued
  • 21633 import and export control permits issued
  • 29683 permit applications adjudicated

Challenges

• Administration of the import restrictions on textiles & clothing from China:
  • Create internal system for issuance of 10 000+ special permits
  • Create call centre to ensure effective communication with industry
  • Create task team with SARS to review administration and contraventions
• Review of trade remedy instruments to ensure
  • On-going alignment with strategic objectives of the dti
  • the instruments are used to counteract only unfair international trade practices
• SACU capacity building:
  • Provide technical training to officials from SACU member states to enable these states to set up national bodies that will deal with tariff investigations and other trade matters.