|
|
|
|
|
|
| ||||
Swazi sugar war leaves bitter tast... Anglo evens out loss of Johnnic with a... TML and Nail in talks to merge newspape... Dispute over Budget deficit calculation... BMW SA's new boss ready to rol... Nail emerges as key dealmaker in Johnnic... Mac loosens grip on transpor... Reserve Bank 'meddles where it should st... Eyes on petrol to slake tax thirs... Fancourt: Pieterse never sequestrate... The chips are down for Sun's ex-Bop reso... Trouble-hit Transnet rumbles as CE resig... Legal threat to telecoms Bil... |
Swazi sugar war leaves bitter taste
COMMODITIES
THE Swaziland sugar industry has slammed what it describes as "sanctions" imposed on it by its SA counterparts, asking whether this is in keeping with the policy of opening up trade with Africa. Only last week, Trade and Industry Minister Alec Erwin committed South Africa to increased trade with sub-Saharan Africa. At the International Sugar Organisation conference in London last week, Swaziland Sugar Association general manager Andy Colhoun challenged the actions taken by the SA Sugar Association in denying it access to export, research and training facilities. Swaziland is a member of the Southern African Customs Union and is entitled to export products to member states, he says, but South Africa's actions represent effective sanctions. Swaziland and SA sugar producers have been at loggerheads since the beginning of the year, with South Africa claiming that Swazi exports of sugar into South Africa could reach about 230 000 tons this year, costing the SA industry more than R200-million. Efforts by the two bodies to reach agreement failed and in September, South Africa advised the Swazi association that from April next year, export facilities at Maydon Wharf in Durban and research and extension facilities offered by the experimental station at Mount Edgecombe would be withdrawn. It also immediately withdrew training facilities and access to the Sugar Milling Research Institute. In the past, Swaziland producers paid about R3,5-million a year for these services. Colhoun told the multinational ISO conference that because the domestic price of SA sugar was substantially higher than the international price, customs union members competed to sell in this market. He insists, however, that sugar from Swaziland is generally not sold on the retail market, but through value-added products. This stems from the early 1990s when SA sugar production slumped because of the drought and it was unable to meet demand. Companies such as Cadburys, Coca-Cola and Nestlé established operations in Swaziland and products such as chewing gum, chocolates and fruit concentrates containing Swazi sugar were exported to South Africa. "Now that SA sugar production has recovered, the SA Sugar Association is unhappy about products containing Swazi sugar entering the market although Swaziland has every right to do it," says Colhoun.
|