SOUTH AFRICAN ASSOCIATION OF FREIGHT
FORWARDERS-KZN
(Affiliated to the South African Association of Freight Forwarders)
310 Mahatma Gandhi Road · Point · Durban 4001 · PO Box 52533 Moore Road · Durban 4083
Tel: 031-201 3074
Faxmail:086 553 9632
Email: jenny@saaffkzn.co.za
Website:www.saaffkzn.co.za
STILL SERVING FREIGHT FORWARDERS AFTER 117 YEARS
MINUTES of a meeting of the Executive Committee,
held in the Umsinsi Room, Durban Country Club, Durban,
on 12 November 2013 at 09h00
PRESENT:
Committee Members
Malcolm Sodalay
Chairman, SAAFF-KZN, SAAFF Director,
SAAFF-KZN Affairs [in the Chair]
Louise Dawson
Chair, Publicity Committee
Philip Edwards
Committee Member
Russell Mackenzie
Committee Member
Kevin Martin
Chair, Harbour Carriers Division
Deno Moodlayiar
Chair, Airfreight Division
Debbie Nortje
Vice-Chair, Publicity Committee
Emmanuel Ntshangase Chair, Training Committee
Dave Watts
SAAFF-KZN Executive/Chair, Customs & Maritime Committees
Peter Worman
Chair, Warehouse Division
Member Representatives
Lisa Allan
Levashni Govender
Lionel Dwyer
Vinesh Maharaj
Neelan Mundree
Joey Naidoo
Rita Nobrega
Russell Swanepoel
Alton Tippens
Aubrey Veeran
CFR Freight (Pty) Ltd
CFR Freight (Pty) Ltd
Santova Logistics (Pty) Ltd
Vopak Terminal Durban
Kuehne & Nagel
Clearfreight (Pty) Ltd
QI Logistics (Pty) Ltd
SDV (Pty) Ltd
GT Services
Sebenza Forwarding & Shipping
APOLOGIES FOR:
ABSENCE
Nikolette Burke
Mervyn McGregor
Gert Viviers
Chair, Membership Committee
Chair, Budget & Finance Committee
Vice-Chair, Harbour Carriers Division
IN ATTENDANCE:
Jenny Otto
Secretary
1.
1.1
WELCOME AND APOLOGIES
The Chairman welcomed Committee Members and Member Representatives, thanking them for their
attendance. He expressed appreciation to Mr Edwards for chairing the October Executive Committee
meeting in his absence.
1.2
Apologies for absence, as recorded above, were noted.
Page 1 of 8
2.
ANTI TRUST LAW DECLARATION
The Chairman drew attention to SAAFF’s Anti-Trust Law Declaration, a copy of which had been attached
to the agenda for this meeting.
3.
CONFIRMATION OF MINUTES
The minutes of the meeting of the Executive Committee held on 03 October 2013 were confirmed and
signed as an accurate reflection of the proceedings
4.
MATTERS ARISING FROM PREVIOUS MINUTES
No matters were raised for discussion under this agenda item.
5.
SAAFF NATIONAL
5.1
SAAFF Congress: 08 and 09 October 2013
5.1.1
In response to the Chairman’s invitation, Mr Edwards, who had represented KDT Clearing and Forwarding
at the Congress, gave his impressions. In his view, speakers and content were exceptional. Of the
Government officials who attended, the Customs team was the most impressive. He suggested that
thought be given to more interactive engagement with relevant Departments and para-statals at future
congresses, possibly in the form of breakaway sessions. Negatives concerned the venue chosen for the
formal proceedings, and the cost to delegates. Organisation had been in the hands of an events company,
which was probably one reason for the expensive rates.
5.1.2
Continuing, Mr Edwards informed the meeting he had been asked if the KZN Chapter would be willing to
host the 2014 SAAFF Congress. The Chairman noted that, some time ago, this Executive Committee had
requested the SAAFF Board to rotate the annual congress amongst the regions. Subsequently, it had been
agreed that for practical purposes – attracting attendance, including government and para-statals - the
congress should take place in Gauteng. If this was being reconsidered, it was necessary for the KZN
Chapter to know, prior to taking a decision, the details of its involvement and budget parameters.
5.1.3
Mr Watts recalled that attendance at the 2012 Congress held in Cape Town had been disappointing. His
understanding was this had been the reason for the decision to hold future congresses in Gauteng. It was
therefore surprising to learn that SAAFF-KZN had been approached to host the 2014 one. He felt it was
vital to engage the services of an events company to undertake the organisation. Success depended on
the professionalism of the arrangements; attracting sponsorship and participants for the accompanying
exhibition were also important factors.
5.1.4
Mr Martin proposed that the SAAFF Board should consider appointing a person on a permanent
basis, to be responsible for organising events, not only for the National office, but to assist the regions in
this respect as well.
5.1.5
It was agreed that the SAAFF Board should be informed that, having discussed the request, this Executive
Committee is of the view that the KZN Chapter is not in a position to host the 2014 SAAFF Congress for
the reasons outlined in minutes 5.1.2. to 5.1.4 above, as well as timing constraints.
Action: Mr M Sodalay
6.
CUSTOMS MATTERS
6.1
Durban Stakeholders Meeting held on 30 October 2013
Mr Watts’ report covered the following issues:

Late release of minutes.

The new acquittal policy came into effect on 01 August. There was a link between LRN numbers
Page 2 of 8
and CN2 border releases. Members were advised to check on service manager. The legacy
system for acquittals prior to 01 August remained in place; audits might occur.

Deferment: it had been confirmed that Durban Customs now understood the correct situation in
respect of the ‘seven day’ payment period, which was that declarations between day thirty and day
seven would be posted to the following month’s account, but required to be covered by sufficient
security.

State Warehouse auctions were now held on a regular basis, the last one being on 30 October.

A reminder had been issued that the deadline for licence renewal was 31 December 2013.
Declarations by unlicensed parties would be rejected after then. The cost of a Remover’s Licence
was R200.00 and that of a Clearing Agent’s R100.00.

Requests for reprints were to be made at Enquiries Counters.

The facility for branch office to draw cheques had been withdrawn, all payments to be made by
EFT. The option existed for liquidations and refunds to be credited to deferment accounts.

The meeting had been reminded that temporary import declarations were to be detained for
verification and examination.
6.2
Customs Control and Duty Bills
The SAAFF team that presented to the Parliamentary Standing Committee on Finance had success in
convincing the Committee to hold over further debate to early 2014 pending further submission from
industry.
6.3
Clothing and Textile Process (CAT)
A group of members met on 10 October to discuss possible action regarding the delays being consistently
experienced with CAT stops. Delays in the provision of PP amounts in cases where the valuation was under
query were a major cause of storage and demurrage costs. In many cases the goods were released RAE
as valuations were within the referenced pricing or otherwise proved as correct. Customs requested
evidence of these delays with relevant case numbers. Members provided 13 examples where the average
delay between stop and release was 21 days. A worksheet providing case numbers and dates for each
shipment had been given to Customs and was followed up at Stakeholders. Members were requested to
provide current evidence of unacceptable delays in either providing PP amounts or releasing CAT
shipments. This would enable the Association to follow up and pressure Customs to improve service
delivery in this area.
In cases of repeated CAT stops, same importer, exporter and product, an Excel sheet with prior cases listed
and with supporting documents should be submitted in advance.
6.4
Preferred Trader
Mr Johan de Goede, appointed Customs Relationship Manager for KZN and the Free State, presented on
progress being made with the Preferred Trader Programme. He had responsibility for the PT process in
this area and was now visiting importers and exporters who wished to apply for PT status. This was not
yet available to the C&F industry.
The presentation did not provide new information and was largely based on an HQ presentation from early
2013. However, there was pressure to bring an increasing number of compliant traders onto the PT system.
Present benefits, as outlined, were –
Appointment of a Customs Relationship Manager for the PT Client;
Reduction in the amount of any security, deferment, etc;
Fewer routine documentary and physical inspections;
Page 3 of 8
-
Prioritisation of VDN and TDN requests; and
Greater use of scanner inspections rather than physical exams.
Future benefit possibilities included periodic rather than transaction declaration. From Customs perspective
the possibility existed to shift capacity to address non-compliant traders.
7.
MARITIME MATTERS
Mr Watts advised that :
-
JOC meetings to address the odour release problem in the port environs was ongoing with
one scheduled for 12 November 2013. Resultant upon this intervention it was believed that the
situation had stabilised. Hopefully, it would be the last meeting required.
-
A submission to the Ports Regulator on TNPA’s tariff application had been delivered prior to the
deadline date. The submission addressed forecast volumes and revenue for 2013/2014 which was
calculated to be understated by around R200-million. This then impacted on forecast for
2014/2015, believed to be understated by some 1.5%. The impact of these recalculations brought
the 8.5% application down to 4.12%. Other issues addressed were transhipment cargo dues,
operational costs, the National Port Consultative Committee and the regulated asset base.
-
Numerous complaints were being lodged in terms of shipping lines’ add on charges in cases of
Customs stops, overstays, etc. The question had been raised repeatedly but, if anything, appeared
to worsen. An example from a Western Cape colleague was a mark-up on SACD storage of 240%.
Members’ comments and suggestions would be welcomed.
-
DCT berths 108 and 109 were being taken out of operation for a period of four months commencing
01 February 2014, for major quay maintenance. During this period vessels would be diverted to
other terminals in the port.
8.
ETHEKWINI MARITIME CLUSTER
Mr Watts informed the meeting that the EMC Board had convened on 08 October 2013. He had not been
able to attend due to the SAAFF Congress taking place at the same time. He continued to have reservations
regarding the apparent duplication of effort by the Sharks Board Maritime Centre of Excellence and the
EMC’s training and skills development programmes.
9.
TRAINING MATTERS
9.1
In alluding to Mr Watts’ observations in Minute 8 above, Mr Ntshangase noted that there were three
institutions addressing similar objectives, namely, the EMC, the Sharks Board and SAMSA. He concurred
that for efforts to be successful a more co-ordinated approach was required regarding training and skills
development.
9.2
Continuing, Mr Ntshangase advised that the SAAFF-KZN BBBEE Codes Workshop was scheduled for
Friday 06 December 2013, the date accommodating Tony D’Almeida, the SAAFF Training/Skills
Development/BBBEE Specialist Consultant. The function would be a breakfast session, open to members
and non-members and would be held in the Athlone Room, Durban Country Club, commencing at 08h30.
9.2.1
Mr Ntshangase’s recommendation was approved and it was agreed that the charge per person to attend
the workshop should be R350.00 (VAT incl) for members and R450.00 for non-members (VAT incl). This
covered room hire, catering and Mr D’Almeida’s airfare.
9.3
Mr Ntshangase mentioned that a request had been received from the Department of Agriculture to update
SAAFF-KZN members on the importance of compliance with the Fertilisers, Farm Feeds, Agricultural
Remedies and Stock Remedies Act, in terms of the importation of the mentioned products. It would be
recalled that a similar presentation had been made to members in 2010 and had attracted good attendance.
Page 4 of 8
It was agreed that the DOA should be thanked for the opportunity afforded and advised that a workshop
would be arranged for late January or early February 2014. Action: E. Ntshangase/Secretary
9.4
Concluding his report, Mr Ntshangase referred to the following:
-
The HR session on the first day of the SAAFF Congress had been worthwhile with good speakers
and interesting topics.
-
He had attended the TETA Roadshow held on 07 November 2013, at which the subject of lengthy
delays in issuing learnership certificates had been raised.
-
He would be attending the EMC Skills Development Committee meeting on 22 November and
would provide feedback to the next meeting of this Committee.
Mr Ntshangase excused himself from the meeting, having been thanked by the Chairman for his comprehensive
report.
10.
PUBLICITY MATTERS
10.1
SAAFF-KZN Golf Day held on Friday 04 October 2013
Ms Dawson advised that the annual Golf Day held at Durban Country Club on 04 October 2013 had been
a success. 132 players had participated and the generosity of donors had ensured that each player received
a prize. A surplus of R13 310.00 had been achieved. It was agreed that R10 000.00 should be donated
to the Durban Station of the National Sea Rescue Institute.
10.2
End of Year Lunch : Friday 15 November 2013
Ms Dawson said it was pleasing to report that the end of year lunch was fully booked. Donations received
from JF Hillebrand SA (Pty) Limited, Hazmat Trainaid cc and Rayson Shipping ensured that participants
would enjoy free table wine and a gift. All six SAAFF-KZN Life Members had accepted an invitation to
attend, as had the Chairman and Chief Executive of SAAFF.
10.3
2014 Annual General Meeting
Following discussion, it was agreed that:
10.3.1 The 2014 SAAFF-KZN Annual General Meeting should be held on Tuesday, 25 March;
10.3.2 The AGM should be a breakfast session, commencing at 08h00, in the Waterman Room, Durban
Country Club;
10.3.3 Professor Trevor Jones should be invited as Guest Speaker.
11.
MEMBERSHIP MATTERS
In the absence of Ms Burke, the secretary reported as follows:
Applications for Membership Approved
GT Services (Associate Member)
Reddy Cargo Services (Harbour Carrier): awaiting ratification by SAAFF National
Renwood Carriers cc (Harbour Carrier): awaiting ratification by SAAFF National
Sydtrans cc (Harbour Carrier):
awaiting ratification by SAAFF National
Applications for Membership being processed
Brunel Logistics SA (Pty) Limited (Full Member)
Basfour 3698 (Pty) Ltd t/a Interlogix (Full Member)
Nu-World Logistics (Pty) Limited (Full Member)
Page 5 of 8
12.
DIVISIONAL REPORTS
12.1
Airfreight Division
Mr Moodlayiar’s update on airfreight activities covered the following:







12.2
The appointment of a new Customs Manager at KSIA
Acquittals were being processed satisfactorily by the KSIA Customs Task Team
A consignment of drugs had been intercepted at KSIA
The SAA trucking tender had not yet awarded.
A charge had been imposed for after-hours collection from SAA.
The decision by Swissport to close for two weeks over the festive season had not been well
received and was under discussion.
The next Airfreight Division meetings with KSIA Customs, SAA, Dube Trade Port and Emirates
were scheduled to be held on the morning of Thursday 05 December 2013.
Harbour Carriers Division
12.2.1 Mr Martin drew attention to the annual embargoes on abnormal loads during the festive season. In some
areas these might be two to three weeks and members were advised to ensure contingency plans were in
place. Application for special permission to move abnormal loads during the period could be made, provided
applicants were prepared to carry the cost involved.
12.2.2 Summarising other issues addressed in recent weeks, Mr Martin advised that the Division’s Vice-Chairman,
Gert Viviers, had been involved in a wind survey conducted at DCT Pier 1 Expectations were that the
outcome would be discussed at a meeting taking place the following week. DCT Pier 2’s performance was
adequate at the moment, and no issues of import had arisen from latest consultations held with Port
Security.
12.3
Warehouse Division
Mr Worman confirmed that no concerns from Warehouse Division members had been reported to him. A
Liquid Bulk Forum participant had an issue with SARS regarding Section 26. Attorneys had been
approached for legal opinion and a meeting arranged with SARS. It transpired the problem was a systems
one and was not related to Section 26.
13.
FINANCE MATTERS
13.1
Financial Position as at 31 October 2013
The financial statements as at 31 October 2013, circulated to Executive Committee representatives in
advance of this meeting, were noted and approved.
13.2
Accounts for Payment
Payment of the following accounts was ratified:
14.10.13
14.10.13`
Durban Country Club
Room Hire & Catering 03.10.13:Excom Mtg
VAT
Durban Country Club: balance of amount due
iro Golf Day 04.10.13.
Scorer
Catering: 96 @ R65.00
40 @ R60.00
Page 6 of 8
R 1400.00
R 1228.07
R 171.93
R 8940.00
R 300.00
R 6240.00
R 2400.00
14.10.13
14.10.13
14.10.13
24.10.13
SAAFF National
Registration Fee D Moodlayiar
Gala Dinner: D Moodlayiar, D Watts
@ R550.00 each
VAT
R 6156.00
R 4300.00
R 1100.00
R 756.00
E Ntshangase: refund of claim for 2
Gautrain Trips-SAAFF Congress
D Moodlayiar Refund Claim
2 Gautrain Trips
Taxi
2 days parking KSIA
R
R
R
R
250.00
R
482.00
262.00
60.00
160.00
L Dawson: donation from Hazpak Training
for gifts for yearend lunch 15.11.13
R 2000.00
24.10.13
J Otto: Consultancy fee October 2013
R 7500.00
31.10.13
Bank Charges
Monthly account fee
Value added services
04.11.13
DH Watts
Consultancy Fee: October 2013
Refund of KSIA parking-2 days iro
SAAFF Congress
Refund of cost of 2 Gautrain trips –
SAAFF Congress
R
R
R
67.00
55.50
11.50
R12394.23
R11984.23
R
R
160.00
250.00
13.3 2014 Budget
The draft 2014 SAAFF-KZN budget was tabled for consideration. It was agreed that the Chairman, Mr D
Watts and Ms L Dawson should prepare a final version on the basis of suggested amendments proposed
at this meeting and forward same to Mr McGregor prior to circulation to the Executive Committee for
approval and onward transmission to the SAAFF Chief Executive.
Action, Mr M Sodalay, Mr D Watts & Ms L Dawson
13.4 Additional Bank Signatory
It was agreed that, in addition to Mr M McGregor and Mrs J Otto, Mr Watts should be appointed an
authorised signatory in respect of online banking with FNB.
14.
GENERAL
14.1 Cross Border Road Transport Agency
Mr Watts reported that progress had been made in dealing with CBRTA operations against South
African truckers carrying cargo locally between terminal, depot and bonded warehouse pending
over-border export. Both SAAFF and a member had obtained legal opinion indicating that the
action CBRTA was taking was outside the mandate given to it by the Act. As the result of a letter
sent to the Agency by the member’s lawyer, CBRTA operations in this regard had been
suspended. SAAFF’s legal adviser was being requested to communicate with CBRTA’s Head
Office outlining the Association’s position, in support of Shepstone and Wylie’s letter.
Page 7 of 8
15.
DATES OF 2014 MEETINGS
15.1 Executive Committee Meetings (2nd Tuesday of the month)
21 January, 11 February, 11 March, 08 April, 13 May, 10 June, 08 July, 12 August, 09 September,
14 October, 11 November.
15.2 2014 Annual General Meeting
Tuesday 25 March.
This concluded the proceedings and the Chairman declared the meeting closed and wished those present a
peaceful and joyous Festive Season and prosperity in 2014.
CONFIRMED:
CHAIRMAN:____________________________________________
Page 8 of 8
DATE:____________________