On 03 September 2021, the International Trade Administration Commission of South Africa (ITAC) called for comment on the proposed amendments to Price Preference System (PPS) Policy Guidelines for the exportation of ferrous and non-ferrous waste and scrap metal (Export Control Guidelines on the Exportation of Ferrous and Non-Ferrous Waste and Scrap) published on 02 October 2020. Comment is due by 20 September 2021.
It is proposed that the above-mentioned guidelines be amended as follows:
1. By the insertion of the following calculation method as a new paragraph after paragraph 4.3 following the words “…domestic consuming industry.” The method of calculation of the above-mentioned price preference prices for the different ISRI grades to be applied by ITAC as the formula is the calculation of the Rand value and 10% PPS discount against the percentage of the red scrap metal content as reflected in the column here-under. Formula: LME convert to Rand x (percentage content – [less] 10%) e.g. LME to Rand x 86% (Barley 96% - 10% = 86%) e.g. R100 000 x 86% = R86 000
2. By the insertion of the following calculation method as a new paragraph after paragraph 4.5 following the words “…domestic consuming industry.” The method of calculation of the above-mentioned price preference prices for the different ISRI grades to be applied by ITAC as the formula is the calculation of the Rand value and 25% PPS discount against the percentage of the aluminium scrap metal content as reflected in the column here-under. Formula: LME convert to Rand x (percentage content – [less] 25%) e.g. LME to Rand x 45% (Taint Tabor 70% - 25% = 45%) e.g. R20 000 x 45% = R9 000
The Notice is accessible at :
https://www.gov.za/sites/default/files/gcis_document/202109/45099gen516.pdf