Government Seeks to Halt Exports of Used Rails Track to Curb Theft

On 26 July 2023, the government requested public comments on proposal to restrict the exportation of rail tracks and limiting the sources of copper that can be used to produce semi-finished products for export, so that the source of the metal can be easily verified when issuing permits until 15 December 2023. The Minister of Trade, Industry and Competition proposed new regulations to prohibit the export of used rail tracks and increase restrictions on copper-product shipments as the government tries to combat theft and vandalism of public infrastructure

Exporters are shipping ferrous scrap rail tracks that may have been stolen, using a loophole in measures that currently prohibit scrap-metal exports, the Ministry said.

The theft and export of copper cables and other infrastructure has been a major contributor to power cuts and disruptions on rail lines that hamper transportation by companies such as Kumba Iron Ore Ltd. and Exxaro Resources Ltd. 

Genesis Analytics has estimated that copper theft cost the South African economy more than 46 billion rand ($2.6 billion) in 2020-21, according to the notice

Written submissions and public comments must be submitted within 21 days from 26 July 2023 to Mr. Mahendra Shunmoogam, The office of the Director-General of Trade, Industry, and Competition via email at scrapmetalpolicy2023@thedtic.gov.za  alternatively Hand deliver to: 77 Meintjies Street, Block A, First floor, DTI Campus, Sunnyside, Pretoria. For details click below:

Government Gazette No.3706