Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Most of the import tariffs protecting South African companies in their home market have been in place for more than 20 years, trade expert Donald MacKay tells Peter Bruce in this episode of Podcasts From the Edge.
That implies that in two decades the protected companies still have not become competitive enough to stand on their own two feet.
It has given the trade instruments in the hands of trade, industry & competition minister Ebrahim Patel a bad name and business is increasingly loath to use them.
If you do, Patel will protect you if you promise to create jobs. And if you want to import something that isn’t made in South Africa, he’ll give you permission provided you undertake in writing to buy from a local producer if someone starts making the product you want.
And all the while the minister has the aim of “creating” heavily subsidised black industrialists who will one day substitute all your imports for you. The state doth wheel and deal in South Africa and by the looks of it a swathe of business has had enough.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
PODCAST: When business stops trying
Most of the import tariffs protecting South African companies in their home market have been in place for more than 20 years, trade expert Donald MacKay tells Peter Bruce in this episode of Podcasts From the Edge.
That implies that in two decades the protected companies still have not become competitive enough to stand on their own two feet.
It has given the trade instruments in the hands of trade, industry & competition minister Ebrahim Patel a bad name and business is increasingly loath to use them.
If you do, Patel will protect you if you promise to create jobs. And if you want to import something that isn’t made in South Africa, he’ll give you permission provided you undertake in writing to buy from a local producer if someone starts making the product you want.
And all the while the minister has the aim of “creating” heavily subsidised black industrialists who will one day substitute all your imports for you. The state doth wheel and deal in South Africa and by the looks of it a swathe of business has had enough.
Join the discussion:
Subscribe for free future episodes: iono.fm | Spotify | Google Podcasts| Apple Podcasts | Pocket Casts | Player.fm
DONALD MACKAY: Tariff investigations performance worsens
PODCAST: And now for something all too familiar
Scrap metal export ban ‘hurting the economy’
Report shows why scrap metal export ban should be lifted
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Most Read
Published by Arena Holdings and distributed with the Financial Mail on the last Thursday of every month except December and January.