Categorized | Trade & Industry

Minister Davies withdraws Licensing of Businesses Bill

Not scrapping Licensing of Businesses Bill…..

Trade and Industry Minister Rob Davies says his department (DTI) is to re-represent a Licensing of Businesses Bill to Parliament which will be “significantly different” and will take into account business concerns expressed over the recent hearings in April.

He told a parliamentary press briefing that the purpose of the Bill had been to “combat illicit trading” but there had been no provision in the Bill that targeted foreigners.

Threat to small business

He said, “This is the economy of illegal imports, this is the trade in sub-standard products and this is the economy of people who don’t pay their VAT. The original Bill presented was designed to combat the significant illicit economy that was operating in South Africa’s urban and peri-urban areas, and which in DTI’s view posed a serious a threat to small businesses in the country.

The idea was a database

“It never was our intention to have an onerous registration process, which requires business people themselves to do a lot of things,” he said. The idea is to have municipalities, in the course of registering people for all kinds of services, to then forward these names to a national database.

He argued there was a tendency to see any kind of regulation as “red tape”, whereas there was a distinction between red tape, which was bureaucratic and unnecessary, and regulation which was needed for good reason.

He gave no timings on the preparation of a new draft Bill on the same subject

Refer previous articles

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