The Treasury’s protectionist policy has been hailed as a big win for the local cement industry, which has been battling for survival since 2014. Under SA’s preferential procurement policy framework, which has been in the making from as far back as 2007, the government can designate sectors for localisation, meaning that their products will be prioritised for purchasing by the state.
A Treasury circular released early this month notified all relevant state departments that, in terms of its preferential procurement regulations, that no imported cement can be used on infrastructure projects funded by the government as of 4 November.
While this might be a good move to solidify our industries as a country, what does this mean for international trade law? And, considering the challenges that business faces in South Africa, do our industries have the capacity to service government projects of this magnitude?
Title: [• Prof (Mr.)]
Name: [• Geo Quinot]
Position AND organisation: [• Professor in the Department of Public Law AND Director at the African Procurement Law Unit at the University of Stellenbosch]
Title: [• Mr.]
Name: [• Kamogelo Mampane]
Position AND organisation: [• Executive Chairman of the Supply Chain Council of South Africa and Founder of TK Global Experts]