Fin24

ANC rejects 'wholesale nationalisation'

2012-09-27 12:09

Johannesburg - The ANC has rejected "wholesale nationalisation" in favour of "strategic nationalisation", according to recommendations from its national policy conference.

The African National Congress called for "transformative state intervention in the economy" which could take many forms.

One form is "state ownership, including more strategic use of existing state-owned companies, as well as strategic nationalisation, where deemed appropriate on the balance of evidence".

"However, [the] conference has rejected wholesale nationalisation."

The recommendations came out of the party's policy conference in June and will be considered at its national conference in Mangaung in December.

The party said the economic transformation it wanted would not happen without bold state intervention.

This included financial regulation and control, including through a state-owned bank, and progressive and redistributive taxation.

The ANC also called for wage policies which promote growth and address poverty and inequality, as well as progressive competition policies.

The ANC favoured state intervention in the minerals sector, with a focus on beneficiation.

"At the forefront of this intervention should be the strengthening of the recently created state mining company, by consolidating state mining assets into a single institution.

Super tax

"This state mining company will expand or contract depending on the balance of evidence, including by partnering with the private sector in strategic mining ventures."

This was the outcome of a debate on the ANC's discussion document Maximising the developmental impact of the people's mineral assets: state intervention in the minerals sector, known as Sims.

Sims is based on an extensive study commissioned by the ANC to find out how best to leverage South Africa's mineral wealth to grow the economy and create more jobs.

The study found that nationalisation of mineral assets was not affordable, as it would cost just over R1 trillion to acquire a 100% stake in all listed and non-listed mining companies.

The ANC said there was broad consensus at the policy conference that the minerals belonged to all South Africans through "state custodianship".

"Exploitation of minerals must optimise the developmental impact, especially job creation, across the economy," the party said.

It called for a greater degree of beneficiation, or transforming minerals into a higher-value product, which could either be consumed locally or exported.

The Sims report suggested introducing state control through the introduction of a 50% resource rent tax, or a super tax, which would kick in only when an investor had made a reasonable return, so as not to deter investors.

The ANC recommendations do not mention a percentage, but said the "state must capture an equitable share of mineral resource rents and deploy them in the interests of long-term economic growth, development and transformation".

It also recommended that the state develop strategies to identify and manage strategic minerals in the national interest.

Expropriation

"Instruments to support beneficiation and competitive pricing of these strategic resources include the use of targeted export taxes."

The ANC said other issues raised in the Sims report could be dealt with by the party's national executive committee.

The willing-buyer, willing-seller principle of land reform would be replaced with the "just and equitable" requirement of section 25 of the constitution, the ANC said.

The party proposed that expropriation without compensation be allowed on land acquired through unlawful means or used for illegal purposes.

However, it also proposed in terms of land: "Keep nationalisation as an option."

The ANC has recommended that the number of provinces be reduced, and that a presidential commission be appointed to review the provinces.

It also proposed keeping the system of separate local government and national elections.

"Election campaigns give the ANC an opportunity to connect with the masses and renew our mandates, so we shouldn't reduce them."

Recommendations made at the policy conference would be taken back to ANC branches for further discussion and input.

They would be presented at the ANC's national conference where they could be adopted as official policy.

This would in turn inform government legislation and policies.

* Follow Fin24 on TwitterFacebookGoogle+ and Pinterest.  


 

Comments
  • claudia.meads - 2012-09-27 12:18

    Just help me here please - they reject nationalization because they prefer nationalization..? I think the picture is beginning to come into focus - the bottom-line, take your money and run..!

      sebenza.vanrooy - 2012-09-27 12:26

      You can only run away with R10.000 per year! bwa ahahahaha! ask your bank manager about the current laws.

      charl.reaper - 2012-09-27 12:28

      @Sebenza it was +-R2mil and there are many ways to move more funds legally, just btw.

      arthur.hugh - 2012-09-27 12:30

      I recall when Juliaas first mentioned nationalisation (without compensation) old Zoomer said they would not even discuss it. Now, slowly but surely, it comes into play. It's like a pimple that appears overnight. One day, suddenly, WHAM. Nationalisation.

      sanda.mnyazi - 2012-09-27 12:31

      So Malema was right, the mines will be nationalized like he was right about Mbeki not finishing his second term in office

      darren.raath.5 - 2012-09-27 12:32

      strategic nationalization: we choose to nationalize :absa,standard,fnb,ned,capitec,boe,anglo,remgro,debeers,reinert,goldfields,harmony,anglogold,implats,bats,sasol,angloplat,massmart,shoprite,pickandpay,mr price,truworths,sappi,naspers,kumba,exxaro,mittal steel.....f.it why dont we just do them all!!!

      derek.gunter.946 - 2012-09-27 12:43

      Surprise surprise the communists are implementing communism... Democra-what?

      larry.piggott1 - 2012-09-27 12:43

      @ Sebenza, if you believe this, you are an idiot. Also, what about incoming Investment? Bwaahaahaa, there goes your job and free access to your works computer.

      Willie - 2012-09-27 12:46

      The picture is undecisiveness on the path of ANC

      sebenza.vanrooy - 2012-09-27 12:50

      In your dreams larry. I know you and some of your own kind, you think that when someone is on the web it is because of the bus and his stinky job rs. How stereo! you lot. And you blame Malema for hating your stupidity. Whether you like it on not, we will do what we deem right with our Africa.Now tsek!

      sebenza.vanrooy - 2012-09-27 12:53

      Charlie, claudia doesn't have 2million including yourself. People with that kind of money do not even know about NEWS24.jou arame kerk muis.

      jacques.smit - 2012-09-27 12:55

      Lol, its going to be a HUGE circus, and i'm going feel so satisfied when these mines/businesses fail! Its a pitty our beloved country will suffer, but at least some of us has the education and experience to go make a living somewhere else when they screw everything up and leave their people jobless.. good example, eskom, look at the MESS there!

      ianon.ym - 2012-09-27 12:55

      Clever - can't Nationalise everything, something has to fund the continued loss-making "STRATEGICALLY NATIONALISED" projects which will be used as a disguise to continue and leagalise their plundering ways ... For those who haven't got your money out yet take Claudia's advice - make a plan.

      shirley.steenkamp - 2012-09-27 12:56

      Basically its the beginning of the end. The road map of the anc is clear.Take,take,take!!!

      charl.reaper - 2012-09-27 13:05

      @sebenza I would love to counter your statement, but i will leave u with this. Im waiting for usa GDP figures to come out so I'm rather going to hit the water and have a surf. Oh and when I come back make sure my car is well cleaned you know how I hate finger marks on it.

      sebenza.vanrooy - 2012-09-27 13:11

      Thank you charlie, madam will be cleaned too -)

      tshifhiwa.vandermunalisi - 2012-09-27 13:18

      Moral of the story, you take Malema’s comments for granted at your own peril.

      brytzishiri - 2012-09-27 13:38

      you cant be that dom, read this: "The ANC has rejected "wholesale nationalisation" in favour of "strategic nationalisation", according to recommendations from its national policy conference."

      mthabisi.mpofu - 2012-09-27 14:14

      "ignorance" of knowledge or an "illusion" of knowledge-i advice u to become an,"ILLUMINATED CITIZEN",then u wuld know the difference btwn knowledge based on either of these,(1)ASSUMPTION,(2)FACT & (3) TRUTH.

      matshobana.siziba - 2012-09-27 15:38

      The dangers of political liberation and indepedence parties in Africa is in believing that they are the only parties that can champion the development of the country they liberated. e.g. ZANU PF (Zimbabwe). ANC is clearly exhibiting such traits. More debate on this like the facebook page http://www.facebook.com/MzansiPolitics

      Steven - 2012-09-28 08:19

      I agree with the principle of enriching the masses, but the only way to really achieve this for generations to come is through education. An educated country will never go hungry. Rather let the private sector do their thing, and use taxes to educate the masses.

      susanna.smit.7 - 2012-09-29 13:13

      Farmkid of about 12 asked me how many babies she should have to get R1000 a month from the government. (She cannot even multiply four by R250 per child!) Now, if that is not nationalization, I don't know...

  • DrGonzoSA - 2012-09-27 12:25

    There is absolutely nothing there that will do anything to help job creation, quite the opposite in fact

      stephen.reeves.908 - 2012-09-27 12:37

      I think there are brains behind all of this that we are too blinded by anger to appreciate. Benefication of goods here will create jobs, and do good things. A super tax will do 2 good things. Mining houses would rather run for longer periods with lower output to avoid the super tax, which would create longer lasting employment, and should they be doing well, it would push them to pay higher salaries or bonuses again to avoid the super tax. Nationalization of assets, land or anything that was obtained through illegal means is a good thing, and already happens through the asset forfeiture unit, so thats a what ever, the crux here is having state back this with a plan of how to turn these assets into jobs. As for the mines, well they have said we have a state mining company, and we will see how it runs, and if it does well we will expand it. Nothing wrong here. I am not pro ANC and hate the MANY MANY MANY shortfalls of the government, but I think we have all (Myself included) been so angered by the rantings of a megalomanic teen that any talk of state intervention in the economy gets our paces running. There seems to be quite a bit here that makes sense.

      arthur.hugh - 2012-09-27 12:41

      That's well and fine as you said, Stereev - however, with this amendment it means they can take anything they want. So heres the equation: LAW (Do as you please) + Corrupt Government (Taking what they want) = stealing anything they want.

      stephen.reeves.908 - 2012-09-27 12:44

      There is no discussion of amendment by the ANC. Only The YL talks of amending sec 25. Unless I've missed something.

      charl.reaper - 2012-09-27 12:50

      @stereev It doesn't work, the idea behind it is a fairy tale. The reason being that the current funds are not being managed correctly. Therefore it is impossible that more funds will make any difference. Manufacturing and industrialization is what we require because we export the raw materials and then purchase back the finished products. However to achieve this the current labor law has to be changed. An example: Catalytic converters are made from platinum. We could technically have the factories here to produce them. However due to the number of possible full working days and % wage increases which are not always based on inflation, then not to mention the cost of laying off a lazy sod that doesn't want to work. It works out cheaper to pay the cost of transporting the raw materials to an eastern european or asian country and manufacture the end product there. Its not rocket science or worse actuarial science, to figure out how to fix the current economic situation. Its terribly sad.

      stephen.reeves.908 - 2012-09-27 12:59

      @charl. You're right in everything you saying, but I don't understand it as an argument to my statement. The state is not talking about stealing or taking or anything like that. They are saying carry on with the current system, and make more of an effort to improve the back end. Benefication is exactly what you and the state are saying needs improvement. And thats kind of what I'm trying to say here. You and the government are on the same page. You just looking at it from different sides.

      charl.reaper - 2012-09-27 13:08

      @stereev The states involvement in the idea is my problem and I dont think they can execute the idea with the best intentions for the people of RSA. I have to go want to catch a surf before usa GDP figures.

      stephen.reeves.908 - 2012-09-27 13:16

      @charl, fair point. (transnet, saa, eskom... education, health etc). So as confirmation, you aren't apposed to any of the ideas, only the current governments in ability to implement it? Benefication is an industry that will cost a lot to start here, so Govt is probably the only way it's likely. Shot for the chat, enjoy the surf.

      DrGonzoSA - 2012-09-27 14:24

      For the mines to be any use to anybody they need to be profitable. Imposing a supertax will simply accelerate the downsizing of mines, leading to lower production and job losses. And potential investors taking their money elsewhere

      claudia.meads - 2012-09-27 14:31

      stereev, DrGonzoSA = 100% correct. It is all superfluous prattle that is as hollow as the ANC cranial cavities. Beneficiation (btw not Benefication(sic))requires EDUCATION. The higher you move up the value stream the greater the competence that is required. All the ANC has managed is illiterate graduates. Equally, how will this benefit masses of deeply illiterate, -uneducated, semi-educated masses that the ANC appeals to..? At best it will generate a few highly skilled jobs (likely plagued by massive low productivity so notably uncompetitive globally). You evidently do not have any formal training in economics - mining operations a enterprises of scale - it has to run at certain throughputs, notably within a certain window to optimise profits. Taxes simply destroy this model and ruin the economics of it all. One of the fundamental reason that state-owned mining co's fail. They simply cannot fathom the economics of it - as it generally is used as a political tool and not an economic one (as in business). All land on earth was obtained through "illegal" means at some point or the other - what is your point, equally what is the ANC's point..?

      stephen.reeves.908 - 2012-09-27 14:41

      @ drgonzo, tax is only paid on profit, and super tax on super profit. A super tax will not in any way alter profitability. Now attractiveness of a market is a different discussion. Aus has gone the way of super tax. South america is nationalizing. And we have HUGE mineral deposits, so I don't think attractiveness will change too much.

      charl.reaper - 2012-09-27 15:07

      @stereev Yes spot on. U will be surprised how easily it would happen if the labor law was changed. Just that alone would make it worth the initial capital layout. Also those type of industries are prepared to pump money and implement changes to the infrastructure around them to better their workers as they know a healthy happy worker works well. So the need for super tax can rather be countered with a % tax break for community infrastructure development. Austerity or stimulus. Tax cuts or raise taxes. These are things are being debated all across the globe. Our problem is that we are not there yet. We also cant get there without the correct foundations to support growth. I sound like a broken record but they need to first correct the basics to attract and more importantly keep current investment here. Wind is perfect so heading out again for another session :) leaving the juniors to work. Markets worldwide shrugging off bad usa GDP figures for now. Surfs up.

      stephen.reeves.908 - 2012-09-27 16:16

      @ Claudia: Apologies for my spelling. You know there is an actual law that states you will make a mistake in your spelling or grammar when you point out someone else's errors? Try find yours and stick to the point of topic. You evidently have no idea what I have studied. Lets attack the merits and demerits of the discussion here and leave my personal education out of this. Read the article and the comments, not what your pessimistic outlook wants to read. My point is, that people like you are so caught up in the negativity of this country, that when positive sentiments and ideas are brought forward you are blinded to them and read and perceive what you want to. Yes, tertiary economies require tertiary skilled labour. But every factory needs workers, cleaners etc. As you are obviously so well educated in all things, you must know of the labour triangle, and the fact that for every skilled individual employed, there are many unskilled labourers required beneath him. So yes, beneficiation will create employment, and keep money in our borders to hopefully create more. I have not read anywhere that the state claims beneficiation is the silver bullet that will heal all South Africa's problems but we need to start somewhere. As for the absolute need for a mine to make a certain profit, that is utter rubbish. They make profits, and pay tax on that. When they make super profits, they should pay super tax.

  • charl.reaper - 2012-09-27 12:25

    Even in the first world countries nationalization would not be in the best interest of their countries. These governments are far better run and administered than any third world country. So why would the South African government be able to pull this off with far less skilled and qualified individuals. There is more than enough funds currently to better the infrastructure of the country, just cause the government cant manage the funds correctly is why we sit with the problems we have. Not due to a lack of funds. Sigh

  • dewalds3 - 2012-09-27 12:33

    Hehehe - Raka is clever enough to take his mask off slowly...

  • mzwandile.dlamanzi - 2012-09-27 12:33

    So Malema only missed the word 'strategic' otherwise he is on the rite track.

  • mzwandile.dlamanzi - 2012-09-27 12:33

    So Malema only missed the word 'strategic' otherwise he is on the rite track.

      abram.spamers - 2012-09-27 13:19

      Malema was going for nationalization without compensation for foreign investors... what was said here (although extremely vague) is still WORLDS apart from that.

  • frank.ford7 - 2012-09-27 12:34

    Read Who Rules South Africa? by Martin Plaut & Paul Holden. I would love to see what Cosatu and SACP say about this. All good and well one part of the alliance saying this - what about the others?

  • KReddy - 2012-09-27 12:35

    And then pigs will fly. Its a way \on how to serve the interests of the anc\. Rather, work with what we have now (which in my opinion is enough due to corruption leakages and underspending with poor man age ment ) before grandious plans are implemented. Will it work with the screwed up management we have whose only wish is for a ticket on the Gravy Train? Nay. ANC please , focus on key underperforming areas such as health, education and job creation. Just pumping easy money will collapse the economy.

  • arthur.hugh - 2012-09-27 12:35

    Read up on Section 25 here: http://www.info.gov.za/documents/constitution/1996/96cons2.htm#25 I am particularly interested in 26. where EVERYONE has the right to housing. Thank you ANC, much appreciated. Please give me my house ASAP. I would like to order: a double story, 4 bedrooms, 2 bathrooms, a foyer, dining room, lounge, open plan kitchen and a garage please. Don't make me take you to court - it's in the constitution, you must give me one.

      arthur.hugh - 2012-09-27 12:38

      Particularly scary is section 25, 4b: "property is not limited to land."

  • larry.piggott1 - 2012-09-27 12:41

    "WHolesale"? what does that mean? Does it mean that they will cherrypick?

  • rinus.groeneveld.7 - 2012-09-27 12:43

    Fewer provinces i.e. merge Eastern and Western Cape to kick the DA out and move 5 steps bakwards. At all cost. Same strategy that they have with Midvaal Municipality - new borders will effectively add enough ANC voters to swing the next election. They cannot afford to have effective Local and Provincial Government structures that outperform anything they do. If you yourself is the only benhmark, you cannot underperform.

      rinus.groeneveld.7 - 2012-09-27 13:11

      *backwards and benchmark .. sorry!

  • denis.dendrinos - 2012-09-27 12:48

    "The Sims report suggested introducing state control through the introduction of a 50% resource rent tax, or a super tax, which would kick in only when an investor had made a reasonable return, so as not to deter investors." So the current taxes are wasted on parties and futile tenders and BMW's and the presidents wives etc etc....... and so now how are these taxes going to help the poor? They will go the same way as all the rest and the people will be no better off. Brilliant!

  • bbooyse - 2012-09-27 12:53

    It's still theft - no matter the scale

  • moleto.lelope - 2012-09-27 12:54

    Our organization is failing us now

  • justin.frittelli - 2012-09-27 12:55

    LOL! Have you ever seen this Government implement a single thing? By the time they have had various conferences, leadership changes, etc etc, we will all be in retirement. I think the jesus returning before they implement any policy statement might apply here. Relax enjoy the sun!

      amanda.victor.92 - 2012-09-28 01:07

      Nah, you have it wrong dude. When it comes to stealing what others have created, then the ANC move at lightening speed. Anything for more free money....

  • sean.bezuidenhout - 2012-09-27 12:58

    Oh my the ANC can barely run the state enterprises it already has, eg SAA, Telkom, Eskom to name a few and they want to run more stuff!!

      long.tom.509 - 2012-09-27 13:12

      yes into the ground

      francois.leroux.779 - 2012-09-27 13:32

      Alexkor is a case in point; making a loss, with all kinds of excuses and promises. The state cannot successfully run even one little mine, and they want more? This is the end. Terug na die hartbeeshuisies

  • osmaseko - 2012-09-27 12:58

    You will hear people on this forum not coming with alternatives but criticising the ANC's idea of nationalization......they criticise as if it's their profession but they are not getting paid for it.

      tommy.jones.754918 - 2012-09-27 13:17

      The alternative is not to nationalize, but wait......how are the comrades going fill their pockets then.

      paul.kershaw.18 - 2012-09-27 13:17

      Osmaseko : Get with it. This ANC led government is being paid to run the country properly and with respect to its taxpaying citizens and those who are not able to provide for themselves. Here is a case of "take what others have built - because we want it" - its a cANCer of the highest form of exploitation and theft.

      ruan.coetzee.547 - 2012-09-27 13:29

      You know what the problem is. The private companies are selling the minerals to other countries in their raw state. They should create industries wich refines the meterials and then sell it as a final product. Then the Goverment can conrtol the amount of raw materials leaving the country.

  • theo.schoeman.71 - 2012-09-27 13:07

    And many people accross the globe still say that Dr Manning dont know what he is talking about... every single word he said about African proofs to be so true its actualy very scary. Watch his video and think whats busy happening in our country !!! http://www.youtube.com/watch?v=17m8OnHC7dQ&feature=related

  • Rooinek007 - 2012-09-27 13:07

    The ANC has no idea how to govern a country. If you read the article carefully, you'll notice that they do not actually mention the revolutionary way in which "strategic nationalisation" is going to benefit the country, the poor, or the country as a whole. Instead they use broad terms that could mean many things. Reading their quoted words is like reading your astrology prediction on the back page of the you magazine, it's vague but detailed. What SA needs is a president or political party that has detailed knowledge as to how SA's economy can grow to accommodate the masses of SAfricans. Why does the ANC never say anything on how the country's manufacturing capability can be improved. Germany is a good example of a country that does not have vast natural resources like SA does, but their economy is one of the world's strongest because they have an enormous manufacturing and exporting capability. No, instead the ANC can only talk about new ways in which to redirect the money made from digging rocks out of the ground, so that the money is directly consumed. SA needs people in government who know how the economy works, and how government should be run. But of course, in order for that to happen, there would have to be democratic consensus for a political party like that to be in parliament.

  • eugene.muller.7 - 2012-09-27 13:10

    Because they want the money and someone else to work for it...

  • long.tom.509 - 2012-09-27 13:11

    all national owned entities are in a shamble,so a good move will be to nationalise more of the economy,this will help South africa to become an economic powerhouse,what do these mamparas smoke?

  • alfie.dunn - 2012-09-27 13:14

    @sebenza...you are a clown and you don't have the faintest idea what you are talking about. Bwa hahahahaha! just ask your bank manager. Your remarks are so stupid and pathetic, and your arguments are without evidence. Instead of making a prick of yourself, read a lot more and then maybe you can voice your opinion in a questionable manner.

  • gerald.parker.3956 - 2012-09-27 13:18

    Let them nationalise the mines. Just imagine the werkas demanding a pay increAse from the government. Cannot complaining about the bosses because the bosses will just increase your tax and where will you now go to to complain

  • seymore.butt - 2012-09-27 13:18

    I will agree to nationalization if they can first show all government departments working efficiently and without corruption!

  • matli.mokoena - 2012-09-27 13:27

    if mines delivered on what they promised our country many many years ago, there would be no need for nationalisation today... So government needs to intervene.

      matli.mokoena - 2012-09-27 13:35

      u can give me a million dislikes, but the reality is that mines hav taken more than they hav given to the communities.

      DrGonzoSA - 2012-09-27 14:30

      Go tell that to Patrice Motsepe

  • wikus.terblanche.7 - 2012-09-27 13:39

    Ok so from tomorrow, im letting go of my maid, my gardener, not giving money to the guy on street as i do everyday. Think ill get my budds to do the same.. No more job as i will have to start looking after myself.. Ill tell them to get there cheq from Julius or Zuma or Sebanza seeing he has alot of Goverment funds..

      matli.mokoena - 2012-09-27 13:47

      dnt kid urself, u dnt hire a maid and gardener cos u tryna create employment, ur just lazy.

  • breinlekkasie.dodelikegif - 2012-09-27 13:40

    Can the ANC please deliver my share of gold at my home address?

  • sphala - 2012-09-27 13:43

    Nationalization is not the problem, and please stop threaten us with this imbecility mind of yours, \inventors\ \inventors\ my foot, we just not applied our mind because there are retard leadership to create a framework for a mining and we end up failing to transform the mining industry, cause we rely on tawdry migrant labour... With primary machinery, low-skilled,we excavate but because of lack of secondary machinery and skilled labour, give it to others to process for us, by doing that we are exporting jobs.....Nationalization is the way to go, and we will continue fighting for that....ANCYL4life

      DrGonzoSA - 2012-09-27 14:33

      Should you not address the problem of a lack of skilled labour before nationalising. Who will manage these nationalised mines? Have a look at Aurora as a good example of what happens when a mine is sold/given to people who dont know what to do with it

      sphala - 2012-09-27 15:35

      Dr Gonzo SA use your brain man, think out of the box, first we nationalize 80%, 30% to improve our standard education, it will also giving us opportunity to free education just like other european countries, and 50% to the poeple of South Africa, come on Dr, think out louder, I don't want to say much...please!!!

  • Kalari - 2012-09-27 13:45

    That is why nothing happened in Africa prior to the white mans arrival. Total lack of the capability to make decisions.

      lwazi.sibiya.10 - 2012-09-27 14:16

      Go back to where you came from and make those capable decisions there. Leave us alone or can't you?

  • Vince.York - 2012-09-27 13:54

    Next on the ANC hit list is all those sun bathers in the Bahamas and other world resorts that are lounging back resting on the proceeds of slavery and apartheid of the past 6000 years, because they have exhausted the remaining South African 'cash cow' whites' pockets and massive "ahem!" guilt and desperately need to bolster up some more easy money. Limpopo has also virtually declared itself a separate crime state nation from the balance of SA with the kingdom of the squandering zulu's following suit soon as well.

  • mzwandile.magagula.37 - 2012-09-27 13:55

    Why doesn't the government simply establish industries that will add value to the minerals before exporting them, rather than push the nationalisation debate? That will solve the problem and benefit everybody.

      DuToitCoetzee - 2012-09-27 14:21

      It is a good idea to pressure companies to process a certain % of these minerals before it gets exported. It will create jobs, but than the labor laws must be more flexible to compete with outside's cheap labor. If not, the buyers will move on to other world wide suppliers. Everything you find in SA you can find in other countries as well. Maybe not so much of some, but if too expensive the seek for more in other countries will increase. More will have food, but less will have cars.(method of illustration) In the long run the jobs will even increase and there-fore the salaries as well because of the need for more workers, but one will go through the "poorer" times first. Do you think COSATO and its followers will understand and allow it? Do you think the "fat cats/backhanders" can live without investors/buyers of raw materials polishing their hands?

  • joe.irwin.50 - 2012-09-27 14:18

    Playing with words again. Does this party, sorry movement, have any idea what they are doing?

  • mthabisi.mpofu - 2012-09-27 14:25

    "ignorance" of knowledge or an "illusion" of knowledge-bcome an ,"ILLUMINATED CITIZEN",then u wuld know to differentiate btwn knowledge based on,(1)ASSUMPTION,(2)FACT & (3)TRUTH.It wuld seem that on both ends of the spectrum for those that are pro & anti-nationalisation,noone of u understands well the workings of the architecture of the global financial system.

      DrGonzoSA - 2012-09-27 14:34

      Perhaps you would like to give us some examples of countries where nationalisation of mines has been successful

      kuno.tschumi.5 - 2012-09-27 15:05

      @mthabisi... well some of us do understand the architecture of the global financial system. however i think the problem is that the government has no idea about it. we have state owned enterprises and i don't think one of them runs smoothly or makes money. they all in shambles. so why not clean up the existing mess before you create new mess. let the companies which run successfully keep on doing their job and use the taxes they pay for what they should be used for, not to fill their own pockets.

  • DrGonzoSA - 2012-09-27 14:28

    Of course it won't be wholesale, they will only nationalise the best bits. Therefore adding more swill to the trough. At the end of the day whatever government policy is in place is meaningless if the funds are simply siphoned off by corruption. Address corruption first, then economic policy

      ken.grimblegrumble - 2012-09-27 14:56

      What is really stupid is that they haven't named the sectors to be nationalized. Notice to investors of the world, bring your investments but be warned, you may be in for a horrid surprise.

  • sphala - 2012-09-27 15:09

    If one has to check your level of intelligence put an article concerning Expelled ANCYL President Julius Malema, bunch of cretin will comment but now we talk Nationalization minority respond, because your all dumb but claiming pedagogy, I'll will debunk you one day.....watch the space....mxm disgrace, am the next Malema basop!!!

  • richard.m.morema - 2012-09-27 15:20

    We are all going to be supprised about ANC Goverment, before they acted as if they won't discuss the issues raised by Malema, now they focus on those issues like Nationalization of mines and land expropriation without compesation, now is option and now they want adopt it.

  • ochirimanyemba - 2012-09-27 15:40

    I think Nationalisation of mines z not the best option as far as the economy z concerned.

  • herman.booysen2 - 2012-09-27 19:06

    It still amazes me how they always want to "just have", its one's human right, this is why nationalisation so popular as the perception is that they will also have. But what is really amazing I the fact that everyone else (private sector etc.) always need to take the risk and then are not entitle to any attractive rewards. The "just want to have's" want it for themselves. The outcome will always be an pull -out until there is reward again.

  • thechrisberryshow - 2012-09-27 19:17

    cool, well I reject the ANC, so we are now even.

  • derrick.vanniekerk - 2012-09-27 22:56

    the whole idea of super tax is ridiculous! I mean, they are basically saying, you better not be successful cause we gonna take more from you. There is no incentive left for a business to be successfull ?

  • darrell.e.hines - 2012-09-28 05:08

    Wow! To be honest, these policies are well over due, thank you God! This is how you take your wealth back that was stolen! Good policies, thank you Jesus!

  • Steven - 2012-09-28 08:17

    I agree with the principle of enriching the masses, but the only way to really achieve this for generations to come is through education. An educated country will never go hungry. Rather let the private sector do their thing, and use taxes to educate the masses.

  • greg.quinn.353 - 2012-09-28 08:30

    Sounds like a recipe for disaster.

  • denny.cray - 2012-09-28 10:32

    "This included financial regulation and control, including through a state-owned bank, and progressive and redistributive taxation." These people are insane. Do they think we currently do not have *enough* regulation? Legal compliance costs in South Africa are already through the roof. I tried counting all the laws our small business was impacted by - I stopped counting at around 26. As for progressive and redistributive taxation - we already have that too! There are already 2.5 grant recipients for every 1 taxpayer. How much more must you choke taxpayers? What ratio will finally satisfy you? 10 to 1? 100 to 1?

  • mlungisi.kunene - 2012-09-28 12:06

    Lets look at the real shareholders to these companies confronted with tension..soon we will realize that the wealth is no longer with the whites only but our privileged black entrepreneurs or BEE made business wo/men some if not most holding positions within high levels of the government or should i say ANC...these guys know the plight of the people but they are silent so longer as they get their dividends. We (masses) need to overhaul this system.

  • mlungisi.kunene - 2012-09-28 12:13

    What have i just said: The ANC and some well connected individuals now stand to benefit from the value of the remaining shares – over R950-million – in another instance of the ruling party acting as both player and referee. The party has hit flak in the past for investing through its front company, Chancellor House, in areas where government has a say. http://mg.co.za/article/2012-09-28-00-anc-stands-to-benefit-from-r1bn-capitec-bank-bonanza

  • pages:
  • 1