The South African Institute of International Affairs (SAIIA) in collaboration with UCT Graduate School of Business, Business Leadership SA and Business Unity South Africa invites you to a public forum on 'Promoting Dialogue on Trade Reform in South Africa'.

RSVP: by 30 October to Ms Nonkey Mmekwa
Tel: (012) 430 2670
Fax: (012) 430 3270
E-mail: pta.office@saiia.org.za

Limited funding for travel for non-Cape Town participants is available.  Please direct your request to Tsidiso Disenyana: tsidiso.disenyana@saiia.org.za

The South African Trade Policy Review draft document calls, inter alia, for a strategic review of tariffs to support industrial development. In the document the Department of Trade and Industry (the dti) argues that trade liberalisation embarked on in the 1990s has not been able to transform South Africa’s (SA’S) production and exports away from resources; hence it asserts the need to subordinate trade policy to the National Industrial Policy Framework (NIPF) in order to promote such diversification.

According to the draft document, tariffs will be raised/reduced where appropriate. This “strategic tariff policy” is currently being implemented on a case by case basis, with reviews of some selected lines already completed.  The International Trade Administration Commission (ITAC) of South Africa is the lead agency tasked with managing the proposed extensive review of SA’s tariffs.

Clearly tariffs are an instrument of industrial policy, and therefore a strategic approach to managing them seems sensible. However, unless the process is conducted transparently there is a risk it may be captured by strong lobbies or ‘rent seekers’. Moreover, the dti’s Trade Policy Review document does not indicate when protection, if instituted, would be withdrawn nor how the intended benefits would be monitored. Therefore, in order to promote transparency, this public forum will attempt to assess the South Africa’s tariff review process and the associated methodology undertaken for tariff investigations.

Another key instrument of industrial policy is subsidies. Their use is subject to a set of WTO disciplines, which are being tested as the global financial crisis bites deeper. Consequently, the forum will assess the efficacy of using subsidies to support targeted industries, their WTO legality, the scope for SA to pursue them, and the likely form they could take.

PROGRAMME*

08h30-09h00                      Registration/Tea & Coffee

09h00-09h10                      Welcome and introduction

Dr Mills Soko, Senior Lecturer, UCT GSB;

Peter Draper, Programme Head, SAIIA

09h10-11h00                      Session 1: The global economy beyond the financial crisis – Implications for South African Trade and Industrial Policies

This session will give a futuristic view of the global economy post the global financial crisis. Emphasis will be on trade policy and the emerging trade protectionism.

Chair:                    Dr Eltie Links, University of Stellenbosch School of Business, SA’s former Ambassador to the EU, & SAIIA EXCO member (TBC)

Presenter:           Dr Marcus Noland, Deputy Director, Peterson Institute of International Economics, Washington

Discussants:       Prof. Raymond Parsons, Deputy CEO, BUSA

Dr Seeraj Mohammed, Wits University and COSATU Panel of Economic Advisors (TBC)

11h00-11h30                      Tea/Coffee Break

11h30- 13h00                     Session 2: Tariff review process in South Africa

Chair:                    Mr. Tsidiso Disenyana, Deputy Programme Head, SAIIA

Presenter:           Mr. Siyabulela Tsengiwe, Chief Commissioner, ITAC

Discussant: Prof. Lawrence Edwards, Snr. Lecturer in Economics, UCT & Harvard Group (TBC)

13h00-14h00                      Lunch

14h00-15h30                      Session 3: The role of subsidies in South Africa’s industrial policy

Chair:                    Mr. Mike Spicer, CEO, Business Leadership SA

Presenter:           Mr. Nimrod Zalk, Deputy Director General, Department of Trade and Industry (TBC)

Discussants: Hilton Zunckel, Director, Trade Law Chambers

Mr. Cedric Gina, President, NUMSA

15h30-16h00                      Tea

16h30-17h45                      Session 4: Transparency in trade and industrial policy making:

Chair:                    Ms. Joanmariae Fubbs, Chair: Portfolio Committee on Trade & Industry, Parliament (TBC)

Presenter: Mr. Bill Bowen, Principal Consultant, ITS Global, Australia

General discussion

17h45-18h00                      Summary and Closure

SAIIA/UCT GSB

18:00                                     Reception cocktail

*This is a provisional programme.  Invitations have been extended to speakers and the programme may change accordingly