Following the highly successful launch of the Blow the Whistle Compliance Forum at Automechanika last year, aimed at stamping out the trade in illegal automotive parts in South Africa, a number of industry associations in the tyre and import sector have joined together to form the Tyre Silo Forum.
Spearheaded by Vishal Premlall National Director of TEPA, the Forum comprises the South African Association of Freight Forwarders (SAAFF), the South African Tyre Manufacturers Conference (SATMC) representing the four local tyre manufacturers in the country and the Tyre Importers Association of South Africa (TIASA).
“This is an issue that impacts all South Africans as well as all industry players in the manufacturing and retail space. The coming together of these four powerful associations will definitely create further impetus to our drive,” says Premlall.
Significant revenue is being lost as a result of certain traders at the bottom end of the supply chain who are bringing in parts of very poor quality through compromised channels. These parts are not fit for purpose and do not adhere to local regulatory standards. Not only does this negatively impact on a struggling economy but it is also a safety hazard for unsuspecting consumers.
Ultimately all efforts are designed to protect the consumer as well as the impact on the economy and business. Charl de Villiers, Chairman of the Tyre Importers Association of South Africa (TIASA) says this is not something that can be tackled alone. It needs a collaborative effort from all the relevant stakeholders if the effort is to be successful. “We expect the current depressed economic climate will continue to impact consumer choice and we also anticipate unscrupulous traders will increasingly look for loopholes to take advantage of the current challenges being experienced at our ports.
Premlall says this is no longer just an importer or local manufacturer issue, it is an issue which is negatively impacting the entire sector and looks forward to the Forum working more closely with the Department of Trade Industry and Competition (DTIC) and the National Regulator for Compulsory Specifications (NRCS) as well as SARS to close any loopholes in the current SARS and ITAC laws and regulations.
“We require a hybrid approach starting right from origin declaration and then identifying the risk indicators at every point on the supply chain,” added Premlall.
“We also want to remind consumers to stand up and report any illicit trade through our Whistleblower hotline so the necessary role players can step in,” concludes Premlall.
