SACCI COPPER THEFT BAROMETER DECEMBER 2011

This is the thirteenth monthly issue of the SACCI Non-Ferrous Metals (Copper) Theft Barometer.  The Barometer measures and monitors copper cable theft in South Africa on a monthly basis.  The Copper Theft Barometer registered a level of R20.9 million in December 2011 from R22.1 million in November, posting a welcome monthly decrease of 5.6%.  The December Barometer however increased by 27% on an annual basis.  The Barometer total for 2011 decreased by 17.4% to R214 million, from R259 million in 2010.

SACCI COMMENT ON AG REPORT ISSUED 16 JANUARY 2012

In a statement issued today the CEO of SACCI, Mr. Neren Rau, said:

QUOTE: The South African Chamber of Commerce and Industry (SACCI) is concerned about the high level of qualified audits of government departments as reported by the Auditor General (AG) on 16 January 2012.  Weaknesses in accounting practice have a direct impact on service delivery because lax record-keeping is a contributor to poor service delivery and corruption.  The concerning increase in fruitless and wasteful expenditure from R3.9 billion in 2009/10 to R4.5 billion proves this point.

Trade Conditions Slip Back

According to the SACCI Trade Conditions Survey for December 2011, the trade environment suffered a setback against the gains made in October and November.  The seasonally adjusted trade activity index (TAI) that measures current trade conditions, slipped by 7 points to 42 in December 2011.  The non-seasonally adjusted TAI was 39 in December 2011 compared to 53 in November 2011.  The TAI usually reflects lower volumes of business-to-business activity in December, but the current level of 39 is exceptionally low. 

SACCI COMMENT ON GAUTENG TOLL

In a statement issued today the CEO of SACCI, Mr Neren Rau, said:

QUOTE:

The South African Chamber of Commerce and Industry (SACCI) welcomed the postponement of the introduction of tolls on the upgraded Gauteng freeway system. SACCI believes that this will provide SANRAL with an opportunity to reassess the methodology and cost of tolling in the province with due consideration of the following: I.1.Reduce Administration cost of e-toll: SANRAL should reconsider the cost of maintaining physical e-toll stores vis-à-vis the utilization of existing infrastructure in local service stations, post offices or supermarkets much as is the case with the cellphone “pay as you go” air time system.

SACCI comment on Fitch Ratings change in outlook

In response to the Fitch revision of South Africa’s long-term foreign credit rating outlook to Negative from Stable, SACCI CEO, Neren Rau said:

QUOTE: It is with concern that SACCI noted the change in the ratings outlook from stable to negative by Fitch Ratings agency.  While the agency affirmed the long term foreign and local currency credit rating of the Republic of South Africa at ‘BBB+’ and ‘A’ respectively, the change in outlook mirrors the decision of Moody’s Investor Services in November last year to maintain South Africa’s A3 investment grade rating, while revising their outlook downward.

The affirmation of the investment grade rating is heartening if the current global economic climate is taken into account since events playing out in South Africa’s main trading partners impact on the current economic conditions. 

SACCI REPLY TO SATAWU ON TOLL STRIKE STATEMENT

In response to accusations leveled against SACCI and himself, by SATAWU, Mr. Neren Rau, CEO of SACCI, said:

QUOTE: The SACCI comment that the strike at toll-road plazas was illegal was based on a news report published on Monday 9 January 2012 in the New Age newspaper and written by Chris Makhaye (“Toll gate strike spreads”).  The article stated that:

“On Saturday afternoon Tolcon also approached the Labour Court in Bloemfontein, seeking an urgent court interdict preventing the workers from striking and from disturbing the free flow of traffic. The interdict was granted.” and “Yesterday [i.e. Sunday] traffic flow was affected on some of the toll gates as workers refused to service motorists going through.”