Indeed, only South Africa has actively and continuously used rebates to support and support industries and other development projects. The entire automotive industry in South Africa relies on discounts, in fact the Gautrain and the infrastructure of the 2010 World Cup also benefited from discounts. So far, Namibia has received only discounts on wheat and dairy products. A wheat rebate in Sacu was introduced in 1996 as a result of South Africa`s wheat deregulation initiative. In Glencore Operations SA (Pty) Limited/Commissioner for the South African Revenue Service, the applicant filed an appeal against SARS with the High Court to dismiss its internal complaint. The internal complaint was filed against the Commissioner`s decision not to allow certain rebates on diesel fuel purchased and used in the mining industry, as required by law. ITAC is the de facto institution that manages the tariff system in Sacu. In other words, any discounts, inconveniences, increases or reductions in tariffs are part of the ITAC processes, since they are mandated to represent the Sacu Collective Agreement Board in accordance with the 2002 sacu agreement. The determination of this purpose does not apply to shipments, quantities or categories of products, unless prior authorization from the governments of Botswana, Lesotho, Namibia and Swaziland has been obtained for the application of these provisions for each shipment, quantity or class of goods. The importation of goods under this rebate is subject to a certificate and other conditions issued by ITAC, the governments of Botswana, Lesotho, Namibia, Swaziland and; I would say that in the absence of such a body, Namibia is not making coordinated efforts with The South African ITAC to use the trade policy instruments available to stimulate and promote the country`s industrial base. The main objective of the rebates is to encourage new investment in manufacturing, create jobs and increase economies of scale in both the domestic and export markets.
The importation of certain goods applies, as summarized below, to a rebate of import duties and/or an exemption from VAT when these products are imported according to the emergency situation by Covid-19. The 10 growth strategies of the sector, which the government prioritizes as key industries for the development and development of value chains, are likely to benefit the most. However, an in-depth analysis of the use of rebates in Namibia should be carried out to determine opportunities for the private sector. The graph (see PDF chart) is a guide to determining whether the importation of certain products is eligible for import discounts and/or VAT exemptions. South Africa announces VAT exemption and reduced tariffs on imports of essentials For industrial rebates, companies should apply directly to ITAC, as they have a specific mandate to manage Sacu tariff systems, as well as Namibia`s lack of national customs authority to coordinate rebate and customs procedures with ITAC. Reducing import duties and exempting “critical supplies” Namibia has also requested a sugar reduction facility, as the current sugar trading regime in Sacu Namibia does not allow the development of downstream industries.