from China
14 September 2006
The Department of Trade and Industry (dti) wishes to announce a delay in the
implementation date of the quota restrictions on 31 product categories of
clothing and textiles from the People's Republic of China, from 28 September
2006 to 1 January 2007.
This decision by the Minister of Trade and Industry follows the department's
consideration of submissions received from all stakeholders i.e. manufacturers,
retailers and labour during last week's period of public comments on the
measures that were gazetted on the 1st of September 2006, to the 8th of
September 2006.
In addition, the department today held another stakeholder meeting, the
second one in a week, at the Department of Trade and Industry headquarters
chaired by its Director-General, Tshediso Matona, with the objective of further
engaging the various concerns raised. Among the key concerns raised was the
need for longer lead times, the methodology for quota allocation and domestic
supply issues.
The parties agreed that a delay in implementation will go some way towards
enabling all players in the value chain to put in place arrangements to enable
the industry to adjust to the restrictions, and take advantage of the resulting
opportunities. Furthermore, the parties agreed to an ongoing process to be
convened by the dti, and involving the International Trade Administration
Commission (ITAC) and the South African Revenue Services (SARS), through which
the quota restrictions will be monitored and any further concerns
addressed.
The department wishes to underscore that its flexibility in implementing the
quota restrictions is a deviation from the international norm, which involves
quick and decisive action to avoid circumvention. This concession is offered in
a spirit of promoting strategic dialogue and co-operation among all the
stakeholders in the interest of boosting the sector and safeguarding
employment. A later implementation date will allow the customary high level of
business over the Christmas period to proceed without interruption.
The new implementation date of 1 January 2007 entails that ITAC, as the
administering authority, will issue the applicable import permits at least six
weeks in advance of this date. The process of monitoring the quotas will also
seek to address issues related to circumvention, illegal imports and
under-invoicing.
Today's meeting was attended by senior officials of the dti, ITAC and SARS
as well as representatives of Clotrade, Texfed, the South African Clothing and
Textile Workers' Union (SACTWU) and the following retailers, Edcon, Pepcor, Mr
Price, Woolworths, Truworths and Foschini.
Please address all your media enquiries to:
mediarelations@thedti.gov.za
Henriette van der Merwe
Tel: (012) 394 1640
Cell: 082 572 8184
Bongani Lukhele
Tel: (012) 394 1643
Cell: 083 291 8689
Bethuel Mnguni
Tel: (012) 394 1647
Cell: 083 624 8888
Donavan Jacobs
Tel: (012) 394 1641
Cell: 082 751 1078
Issued by: Department of Trade and Industry
12 September 2006
