Two borders with SA proposed to ease pressure on Beitbridge

The Department of Immigration in Zimbabwe has advised the Government to consider formalising two proposed borders with South Africa to relieve pressure on Beitbridge and curb irregular migration and smuggling along the border’s flanks.

Beitbridge is the only land border with South Africa and two more tourism borders have been proposed at Shashe (120km west of Beitbridge town) and at Tshituripasi some 125km east of the border town.

One house (for immigration officials) and a road have been constructed at Shashe, while a road has been constructed and land for housing has been cleared at Tshituripasi.

Shashe was created in 2007 to facilitate groups of tourists during the Wildrun and the Tour de Tuli that are held annually.

Tour de Tuli attracts 500 visitors, while Wildrun attracts 80, all from across the globe and the events are usually held three months apart.

Assistant Regional Immigration Officer-in-Charge of Beitbridge, Mr Nqobile Ncube, made the call during a recent visit by parliamentarians from the committee on Defence, Security and Home Affairs.

He said though the sites were identified a decade ago and initial bilateral engagements had been done, nothing much had happened on the ground.

Mr Ncube said the borders should be set up in the mould of Maitengwe, Mpoengs and Mlambapele, which Zimbabwe share with Botswana.

He said the creation of such ports that can be manned by a few officers will help to reduce smuggling and irregular migration (border jumping).

“We are concerned with cases of illegal crossing on the flanks of the legal border (Beitbridge),” said Mr Ncube. “Such a scenario is not good in terms of security and the country being able to collect revenue through imports/exports which are leaking via the many non-formal entry/exit points.”

Mr Ncube said in some instances, those living along the border areas did not see the need to travel for more than 100km or 200km to gain legal access to a place, which is just across the river.

He said such a reality could not be overlooked,  hence the need to formalise the already existing points, which can open on specified times to cater for all those travelling on family or tourism-related business in those areas.

The two borders, he said, will help boost arrivals of tourists, with the Shashe point catering for people visiting the Greater Mapungubwe Trans-frontier conservation area which coversBotswana, South Africa, and Zimbabwe (west of Beitbridge).

“The Tshituripasi border will take locals, traffic to other western parts of Zimbabwe and to the Greater Limpopo Trans-frontier Conservation Area, which involves Mozambique, South Africa, and Zimbabwe,” said Mr Ncube.

“We have had to use these borders during major annual tourism events, albeit on a temporary basis and that has been done successfully. We have seen it, we can manage. This will be a relief to Beitbridge, which clears half a million people every month.”

Source: The Herald (Zimbabwe), 20 October 2020

The Illicit Tobacco Trade in Zimbabwe and South Africa

The following report (Working Paper) was issued in March 2019, a while back, but should not be considered too outdated for analysis and consideration, nevertheless.

A study was conducted to explore how the illicit trade in licit goods supports organized crime, corruption, and erodes state structures. The illicit tobacco trade in southern Africa occupies a prominent place in southern African politics, due to its prominent role in the ‘state capture’ scandals that characterized politics in South Africa between 2013 and 2018. Indeed, the illicit tobacco trade occupies a prominent place in public debate in South Africa, both about crimes that may have been committed in the last five years, and about how the current administration responds to the illicit economy right now.

The study maps the key dimensions of the illicit cigarette trade in Zimbabwe and South Africa, including the key actors, the pathways of trade and the accompanying ‘modalities’ of criminality, as well as other important dimensions of the illicit cigarette market in southern Africa. It then identifies ‘good-faith actors,’ primarily in South Africa, whose positions could be strengthened by policy and technical interventions, explores opportunities for such intervention, and assesses the practi- cal solutions that can be applied to combat illicit trade and tax evasion in the tobacco industry. The paper contributes to expanding awareness among policymakers and the public of the nexus between the illicit trade in licit goods, corruption, and organized criminal networks.

Download the Report via this link.

Source: Atlantic Council

Chinese fishing trawlers fined for being in South African waters

Three docked trawlers and a boy fishing

Six Chinese fishing trawlers were detained and issued with fines after they had entered South African waters without the required permission.

The trawlers were detected entering the South African Exclusive Economic Zone (EEZ) off the Northern Cape coast on 3 April 2020, after being ordered out of Namibian waters by the Namibian authorities.

The Fishery patrol vessel, the Sarah Baartman, later intercepted the vessels off the Western Cape coast and ordered them to the outer anchorage of the Port of Cape Town.  Following the interception of the vessels on 7 April, the Chinese Embassy submitted a Diplomatic Note requesting permission for the vessels to shelter in Cape Town from adverse weather conditions.

The vessels were then boarded by an integrated Operation Phakisa Initiative 5 team and inspected. No fish were found aboard and all fishing gear was stored as per the Marine Living Resources Act. All the vessels were subsequently fined for entering South African waters without permission.

Once the fines had been paid, the six trawlers were released and monitored as they transited South African waters.

Whilst off Port Elizabeth, the vessels requested permission to shelter in Algoa Bay from adverse weather conditions.  The request was approved by the South African Maritime Safety Authority.  After departing Algoa Bay, the vessels sailed up the coast and left South African waters late on 19 April and early on the morning of 20 April 2020.

There was no evidence of illegal activity whilst in South African waters.

During the COVID-19 lockdown period, integrated teams have been deployed under Operation Phakisa along the coast to support the national effort to protect our marine resources – on the coastline and at sea.  The team, which includes enforcement officials, is checking for infringements related to the Marine Living Resources Act, the Road Traffic Act, non-compliance with COVID-19 Disaster Management regulations and other criminal activity in general.  

Source: https://www.environment.gov.za/

National Treasury – calls for written comments on proposal on export taxes on scrap metal

Following the announcement made by the Minister of Finance in the 2020 Budget Review regarding the introduction of export taxes on scrap metal, the National Treasury today publishes for consultation the basic approach for such tax. This proposal is related to the phasing out of the current price preference system for scrap steel, and follows the recommendations from a feasibility study conducted by the International Trade Administration Commission (ITAC).   

Given the need to consult all stakeholders, including possible winners and losers, the consultation will take place in two phases.  The first phase will be a shorter and broader public comment process on the objective, implementation, functioning and economic and financial impact of such an export tax, including the level of rates and base for such a tax. Comments on the impact to current firms and industries, and the implications for the tax and trade system will also be welcome, as well as comments on strengthening the administrative capacity of SARS to implement such export taxes.  

The first phase will be followed by a more intensive second phase of public comment, on the proposed legislative provisions to give effect to specific export taxes on scrap metal, to be included in the 2020 draft Taxation Laws Amendment Bill (TLAB).  The first phase will commence immediately and run up to the end of April 2020, while the second phase will commence with the publication of the Taxation Laws Amendment Bill in mid-July and run up to the end of August/September 2020. 

As recommended by ITAC, the proposed export taxes to apply to scrap metal are as follows

Scrap metal category Equivalent specific tax (Rand per tonne) Ferrous metals (including stainless steel) R1000.00 per tonne Aluminium R3000.00 per tonne Red Metals R8426.00 per tonne Other (waste and scrap metals) R1000.00 per tonne  

Written comments on the proposal on export taxes on scrap metal must be submitted by no later than 9 April 2020.    

Upon receipt of the comments and submissions on the proposal on export taxes on scrap metal, the National Treasury (working with the Department of Trade, Industry and Competition and other governmental stakeholders) will engage directly with stakeholders until the end of April through technical workshops to discuss the comments received.  Thereafter, the proposed provisions on the export taxes on scrap metal will be developed for inclusion in the TLAB, which will be published in mid-July 2020 for public comment. 

Further, as part of the TLAB consultation process, National Treasury will also engage with stakeholders through the usual workshops held after the receipt of written comments on the draft Bill.  The Standing and Select Committees on Finance in Parliament are expected to make a similar call for public comment, and convene public hearings on the TLAB before the formal introduction of the Bill in Parliament. Thereafter, a response document on the comments received will be presented at the parliamentary committee hearings, after which the 2020 draft Taxation Laws Amendment Bill will then be revised, taking into account public comments and recommendations made during committee hearings, before the Bill is tabled formally in Parliament for consideration.  

The proposal on export taxes on scrap metal is included in Chapter 4 of the 2020 Budget Review, which can be found on the National Treasury (www.treasury.gov.za) website.   

Due date for written comments: 9 April 2020  

Source: National Treasury website, 10 March 2020

WCO supports SARS with AEO programme implementation

Under the framework of the Southern African Customs Union (SACU) Customs Modernization Programme, funded by the United Kingdom Foreign and Commonwealth Office, WCO experts were invited to lead an AEO Validation Workshop for the South African Revenue Service (SARS). The Workshop was held from 10 to 14 February 2020 in Pretoria, South Africa. Mrs. Rae Vivier who is the Group Executive responsible for AEO in SARS opened the workshop and welcomed the WCO and SACU representatives with a key note address to all attendees. She gave assurance to the audience that AEO is taken seriously by SARS and is one of the organization’s key deliverables. 

During the five day Workshop, the SARS AEO validation team was given an introduction to the WCO SAFE Framework of Standards (FoS), including all its Pillars, core elements, and AEO criteria etc. This was followed by a discussion on the essential elements of the AEO Validation Guidance, the sequential steps of the AEO validation procedures and the skills required by AEO validators. 

The participants, comprised of Customs auditors, legal experts and client relationship managers, were given an opportunity to share their views on the similarities and differences between AEO validation and post-clearance audit. The core values of Customs-Business partnerships were highlighted as an important aspect towards achieving AEO programme implementation. Auditors with a Customs compliance mindset were given security validation knowledge and taught how to hold discussions with business on coordinating and enhancing international supply chain security and safety. Another important element underscored during the training was that validation of the applicant is central to accreditation, and that the applicant’s supply chain may not be tested. Accordingly, the applicant is responsible for securing its own supply chain. 

The Workshop entailed extensive discussions on the self-assessment questionnaire prepared by SARS for potential AEOs taking part in the country’s AEO pilot. While referring to the WCO self-assessment template, the WCO experts also shared questionnaires by other Customs administrations. The participants and experts discussed how to enhance the questions posed, making it simpler for business to understand and answer them. A number of recommendations were made, including adding explanatory notes to the self-assessment questionnaire to help clients provide accurate information about their security and safety protocols.

A further aim of the Workshop was to include practical sessions, such as the mock validation process held at BMW’s South African plant in Rosslyn. Participants were told how BMW guarantees supply chain safety and security. Equipped with this information, the Workshop participants were given a walk-through of BMW South Africa’s processes for receiving goods. The lessons learned were shared among the Workshop participants and SARS management during the post-validation assessment. During that session, several Mutual Recognition Arrangements/Agreements (MRAs) signed between different Customs administrations were also referenced, so as to enhance learning and information sharing. 

SARS embarked on its Preferred Traders Programme (PTP) in May 2017. The initial number of 28 accredited traders (importers/exporters) has grown to reach 119 as of 14 February 2020. Under the SARS Strategic Plan for 2023, the priority will be to focus on improving voluntary compliance and supply chain security through implementation of the standardized WCO SAFE/AEO programme. At the same time, SACU wishes to roll out PTPs for all its Members, while moving towards a full-fledged AEO programme in phases. To this end, the WCO experts discussed and shared views on the PTP compatibility assessment tool aimed at ensuring mutual recognition of Preferred Traders among SACU Members.

Source: WCO, 19 February 2020

Insight: Transnet import/ export delays harming SA’s competitiveness

The following article provides insight into prevailing problems concerning rail transport between Durban and Johannesburg, in particular containerised and bulk rail cargo. Again, private enterprise is ahead of the game, but must wait for the availability of reliable rail services to permit uninterrupted movement of goods. The bottom line – an under-performing and unreliable railway network to South Africa’s hinterland means the country’s road networks will remain under stress; and, will themselves fall into a state of disrepair. This contributes to the country’s lack of competitiveness. The article puts into perspective the announcement of the Distribution Junxion, Port of Gauteng which will be situated south of Ekurhuleni, where it borders conveniently on the Durban-Johannesburg railway line.

Article: Hurry up/Wait: Transnet import and export delays harming SA’s competitiveness, authored by Sasha Planting, Daily Maverick, 16 February, 2020

Cooperative Law Enforcement forces Rhino Poaching into decline

The Department of Environment, Forestry and Fisheries recently released a report on rhino poaching in the country for 2019. Minister Barbara Creecy said wildlife trafficking constitutes a highly sophisticated form of serious transnational organised crime that threatens national security.

“The aim is to establish an integrated strategic framework for an intelligence-led, well-resourced, multidisciplinary and consolidated law enforcement approach to focus and direct law enforcement’s ability supported by the whole of government and society.”

She paid tribute to rangers who battle poaching in the conservation areas on a daily basis. In 2018, 769 rhinos were killed for their horns in South Africa. During 2019, rhino poaching declined, with 594 rhinos poached nationally during the year.

This decline can be attributed to a combination of measures implemented in line with government’s strategy, including improved capabilities to react to poaching incidents, linked to better situational awareness and deployment of technology; improved information collection and sharing among law enforcement authorities; better regional and national cooperation and more meaningful involvement of the private sector, NGOs and donors.

“A decline in poaching for five consecutive years is a reflection of the diligent work of the men and women who put their lives on the line daily to combat rhino poaching, often coming into direct contact with ruthless poachers,” Creecy said.

Some 2 014 incursions and poacher activities were recorded in the Kruger National Park (KNP) in 2019. A total of 327 rhino were lost as a result of poaching.

The department reported that 31 elephants were poached in South Africa in 2019. Of them, 30 animals were in the KNP and one in Mapungubwe National Park.

This is a decrease in the number of elephants poached in 2018, when 71 were killed for their tusks. During 2019, some successes have also been recorded through the number of arrests and convictions linked to rhino poaching and the illicit trade in rhino horn, that reflects the joint and integrated work of law enforcement entities, including the Stock Theft and Endangered Species Unit of SAPS, the Hawks, SANParks, provincial park authorities and environmental management inspectors (Green Scorpions) and Customs as well as the National Prosecuting Authority.

High-profile cases that remain on the court roll in the Lowveld include:

  • State vs Jospeh Nyalungu and nine others in Nelspruit Regional Court. Provisional date for trial is May 25.
  • State vs Rodney Landela in Skukuza Regional Court. Trial date set for
  • February 19.
  • State vs Petrus Sydney Mabuza, Nozwelo Mahumane, Moshe Thobela and Romez Khoza. Trial date set in the High Court of Mpumalanga in Mbombela for July 27 and August 14.
  • State vs Petrus Sydney Mabuza and Joseph Nyalunga. Trial date set in the High Court of Mpumalanga in Mbombela on May 25 to June 19.

Since the last report on the rhino poaching situation and efforts being made to address the crime, rhino horn samples have been received for analysis from Vietnam to determine if the horns confiscated are linked to crimes in South Africa.

The Hawks have also received very good cooperation from China, Hong Kong, Malaysia, Singapore, Vietnam and Japan in their efforts to combat wildlife trafficking.

While acutely aware that criminal elements will continue to take advantage of the socioeconomic pressures and drive demand for illegal wildlife products, the department said it was working with a number of communities, NGOs and donors, and identified various community developmental programmes, including awareness programmes.

Source: Hazyview Herald, 13 February 2020

Coming soon – A CPC Tutorial on South African Customs Clearance Procedures

A Tutorial and Self Assessment Guide on the application and use of Customs Procedures Codes, for external stakeholders involved in the clearance of goods in South Africa, will shortly be uploaded to this site.

Watch this space!

Brexit and Southern Africa – no trade impact envisaged

Reuters reports that Britain has agreed a deal with six southern African countries including South Africa, the continent’s most developed economy, that will ensure continuity of trade conditions after Brexit, the British High Commission in South Africa said on Wednesday. 

Political turmoil in the United Kingdom has generated uncertainty over how, when and even if the country will withdraw from the European Union. Its current exit date is set for Oct. 31. 

But while the situation has left the future trade relationship between Britain and the EU in doubt, London has been working to minimise the impact of Brexit on other trading partners.

Britain initialled an Economic Partnership Agreement with the Southern African Customs Union (SACU) – comprising South Africa, Botswana, Lesotho, Namibia, and eSwatini (formerly known as Swaziland) – and Mozambique on Tuesday. 

“This trade agreement, once it is signed and takes effect, will allow businesses to keep trading after Brexit without any additional barriers,” Britain’s International Trade Secretary Liz Truss said in a statement. 

The agreement is still subject to final checks. But once signed formally, it will mirror the trade conditions the southern African nations currently enjoy with the EU. 

Trade between Britain and the six countries was worth 9.7 billion pounds ($12 billion) last year, with machinery and motor vehicles topping British exports to the region. The UK meanwhile imported some 547 million pounds worth of edible fruit and nuts. 

Britain has already signed trade continuity agreements with countries accounting for 89 billion pounds of its external trade. 

Prime Minister Boris Johnson says Britain must leave the EU on Oct. 31, but parliament has passed a law compelling him to ask Brussels to delay Brexit until 2020 unless he can strike a divorce deal. Johnson says he will not request an extension.

Source: Reporting by Joe Bavier, edited by Gareth Jones, Reuters Business News, 2019.09.11.

‘Flying out of Africa’, an essay on China -Africa relations

cina-africa-focac

The following article featured in BusinessLive (eEdition) on 25 July 2019. It is authored by John Grobler. The article was compiled with the financial support of Journalismfund.eu’s Money Trail grant programme. 

Chinese ‘lying money’, or fei qian, is an ancient form of value exchange. But its modern incarnation is blamed for stripping Africa of its resources.

The secret of Chinese commercial success in Africa, as suggested by an 18-month investigation into the drugs-for-abalone and rosewood trade and a major Namibian tax fraud case, is an ancient system that not only allows African countries to be robbed of taxes, but also plays a part in financing the global $270bn-a-year wildlife contraband trade.

Fei qian, or “flying money”, dates back about 1,200 years, to the Tang Dynasty in China. In its simplest modern incarnation, it is a low-cost and trusted method of remitting money, much like the Islamic hawala system. For example, a person who wants to send funds to a recipient in Africa will pay a fei qian broker in China. For a commission, the broker will arrange that a counterpart in Africa pays the recipient, again for a commission. The two fei qian brokers later settle their account through, for example, the transfer of commodities of equivalent value — but also sometimes through less salubrious methods such as transfer mispricing or invoice manipulation.

In practice, the system relies on the systematic underinvoicing of Chinese imports into Africa and a seamless chain of payments system in which accounts are settled through the transfer of high-end — and often illicit — goods such as abalone, rosewood, rhino horn and ivory. In brief: goods are undervalued on their import documentation; they are then sold for cash; and that undeclared cash is subsequently channelled into high-end commodities that are remitted to China to balance the fei qian books.

“The trick behind fei qian is that the money never actually leaves China,” says a former Singaporean finance expert, speaking on condition of anonymity. “It’s just the commodities that get moved around” as part of a longer payment chain among the Chinese diaspora.

Unlike barter trade, fei qian is not a straight swap; it is an exchange in stored value that leaves no paper trail, except in the books of the fei qian operators themselves. What makes the system even more impenetrable, the investigation has found, is that these operators mostly seem to be older, well-established women working in a closed network of mutually trusted contacts.

This nexus, and lack of paper trail, means fei qian is largely invisible. But it occasionally appears as a gaping hole in a country’s balance of payments account with China – as Namibia has discovered in an ongoing import-tax fraud investigation.

Jack Huang, a business associate of President Hage Geingob, and Laurentius Julius, a former Walvis Bay customs official and now a customs clearing agent, are among eight suspects facing 3,215 charges of fraud and money laundering in the Windhoek high court. Continue reading →

High Tech Game Park – “Connected Conservation” reduces Rhino poaching by 96%

High Tech Game Park

Almost the size of Pretoria, this 62,000 hectare private reserve on the border with Kruger National Park has upped its game against poaching.

What was once an operation with a handful anti-poachers patrolling an electric fence and hiding in watch towers has now been turned into a 21st century fortress in the bush.

This is all thanks to a pilot project called “Connected Conservation“, a collaboration between 48 private lodge owners, the tech company Cisco, and Dimension Data, the data solutions company.

While there had been great initiatives to protect the rhino over the years, these were reactive and the number of these animals being killed were increasing at an alarming rate. By combining tech thermal imaging cameras and thumb-print scanners with things like sniffer dogs, the reserve tracks the movement of people before they get close to endangered animals.

Since it began in 2015, the upgrades have brought about a 96% reduction in rhino poaching incursions, as well as reducing illegal incursions into the reserve by 68%. Key to the success has been reducing ranger response time from 30 minutes to 7 minutes.

Source: Business Insider, original article and photo by Caboz, J, 9 May 2018.

WCO News – February 2018

wconews_85

This edition of WCO News features a special dossier on the theme chosen by the WCO for 2018, namely “A secure business environment for economic development”, with articles presenting initiatives and related projects that contribute to creating such an environment. The articles touch on authorized economic operators, national committees on trade facilitation, coordinated border management, performance measurement, e-commerce, data analysis, and partnerships with the private sector.

For sub-Saharan African readers, look out for the write up of the Customs systems interconnectivity and the challenges and opportunities for Customs administrations in the SACU region.

Other highlights include articles on Customs systems interconnectivity in the Southern African Customs Union, on the experience of a young Nigerian Customs officer who participated in the Strategic Management and Intellectual Property Rights Programme at Tokyo’s Aoyama Gakuin University, on how the WCO West and Central Africa region is using data to monitor Customs modernization in the region, and on the benefits that can be derived by facilitating transit procedures.

Source: WCO, February 2018

How SA’s abalone ends up on China’s plates

Abalone Shells

Oxpeckers’ environmental investigative journalist, Crystal Chow,  digs up the dirt on the illicit abalone trade.

Abalone tops the list of the most exquisite seafood in Chinese cuisine, and fresh South African abalone are always the first choice for feasts in Cantonese restaurants, where one fresh abalone alone can cost up to HK$2,000 (about R3,000). In recent years, the overfishing and smuggling of wild abalone has pushed this endemic species of the South African coast towards extinction.

“The South African wild abalone are heavier, and they are better than the farmed Japanese and Australian ones in terms of fresh flavour and texture,” said Chit-yu Lau, general manager of Ah Yat Abalones restaurant in Hong Kong. “Our fresh South African abalone are all imported through legitimate channels. The smuggled ones are usually dried, and are rare in Hong Kong.”

Nonetheless, the illicit abalone trade has been gathering significant attention from conservationists combating wildlife trafficking, who believe the profitable contraband market of abalone is linked to the black market of ivory and rhino horns – both of which are driven by high demand from the Chinese market. To read the full story Click here!

Source: oxpeckers.org, author – Chow. C, June 9, 2017.

Chamber of Mines goes after UNCTAD over faulty trade misinvoicing report

Chamber of Mines

The report claimed there was widespread misinvoicing in primary commodities in developing countries, including South Africa.

The Chamber of Mines on Tuesday called on the United Nations Conference on Trade and Development (UNCTAD) to withdraw its report on trade misinvoicing and acknowledge its shortcomings, saying that the prestigious agency had failed to collect its data accurately.

This comes after the Chamber released the third and final report in a series commissioned to examine the July 2016 UNCTAD report that claimed there was widespread misinvoicing in primary commodities in developing countries, including South Africa.

Also read Maya Forestater’s blog post Misinvoicing or misunderstanding? for an incisive explanation regarding the UN’s claims in its recent report Trade Misinvoicing in Primary Commodities in Developing Countries.

The UNCTAD report titled “Trade Misinvoicing in Primary Commodities in Developing Countries: The cases of Chile, Cote d’Ivoire, Nigeria, South Africa and Zambia”, claimed to have found widespread under-invoicing which, it alleged, was designed by commodities producers to evade tax and other entitlements due to the fiscal authorities.

UNCTAD said some commodity dependent developing countries were losing as much as 67 percent of their exports worth billions of dollars to trade misinvoicing.

For South Africa, the report calculated cumulative under-invoicing over the period 2000-2014 to have amounted to U.S.$102.8 billion; which was U.S.$620 million for iron ore, U.S.$24 billion for silver and platinum, and U.S.$78.2 billion for gold.

UNCTAD revised the report in December, though its fundamentals remained unchanged.

The Chamber of Mines also commissioned Eunomix to compile its own reports which were published in December and February respectively, focusing on UNCTAD’s gold scenarios.

The third report, which was published on Tuesday, deals with the other commodities.

The Chamber said in terms of gold, the UNCTAD study methodology compared reported exports by product and country of destination with the reported imports of the products by those same countries, and did not use other widely available data, including that of Statistics SA and the Reserve Bank.

The Chamber also dismissed all other UNCTAD findings in terms of silver and platinum, and iron ore.

The Chamber said all the factors that UNCTAD did not consider reinforced the point made in the earlier Eunomix reports regarding the lack of rigour and unreliable methodologies used in UNCTAD’s report.

“This is extremely unfortunate given the levels of credence that tend to be given to reports of this UN agency. Accusations of extensive misinvoicing and other illicit financial flows are feeding a growing lack of trust between key stakeholders in the mining industry,” the Chamber said.

“The Chamber of Mines again calls on UNCTAD to withdraw this report and acknowledge its shortcomings.” Source: The Citizen, Business News, 22 Aug, 2017. [Picture: Chamber of Mines]

SA Donkeys ‘ferry’ illicit vehicles into Zimbabwe

Police are on high alert looking for a syndicate that uses donkeys to smuggle luxury cars across the Limpopo River into the Zimbabwe.

Thieves tied ropes to the cars which were hitched on to the donkeys to pull the cars across the river.

Some cars are driven through the drier parts of the river. On Tuesday, a Mercedes Benz C220 was intercepted before it disappeared into Zimbabwe.

“Our members were just in time to pounce on them after the donkeys were apparently no longer able to pull it through the sand,” Brigadier Motlafela Mojapelo  for the SA Police Service said.

The suspects fled into the bushes towards Zimbabwe side. Most of the cars are being smuggled across the river through the border between South Africa and Zimbabwe, south of Beitbridge border post.

In December, police recovered a Hilux bakkie when thieves attempted to smuggle it through the river. The bakkie was stolen in Durban.

It was semi-submerged in the water when Limpopo police commissioner Lieutenant-General Nneke Ledwaba spotted it from a helicopter while he was leading a high-density operation in Musina and Beitbridge.

The vehicle and donkeys were abandoned in the middle of the river and the suspect fled into Zimbabwe. It is not clear why the thieves do not simply driver the car into Zimbabwe – one reason might be that most modern cars are fitted with a tracking device which uses satellite tracking to locate a vehicle, if stolen. The tracker is only active when the car is running.

Mojapelo said 13 vehicles have been recovered since January this year. Thieves target luxury bakkies, SUV’s, specifically Toyota and Isuzu. Gauteng and KwaZulu-Natal are the two provinces that are mostly affected.

Last week, four vehicles were recovered. A Range Rover worth R900 000 was recovered after police intercepted it at the Beitbridge border post. The vehicle was en route to Malawi. The man was arrested and was found in possession of cash with an estimated amount of R30 000.

Mojapelo said the car had Limpopo registration numbers, but it was still unclear where it was stolen. Source: Pictures – SAPS and article – Iavan Pijoos, News24, 2 August 2017.