BEE a Factor in EU Treaty!

December 6, 2016


At a time when many companies are considering a BEE 'Gap Year', the need for a BEE Certificate is becoming critical for many others in ways that were not foreseen.


A good example is the recently signed SADC - EU Economic Partnership Agreement (EPA), which provides for the export of South African agricultural products to the EU under a Tariff Rate Quota regime.

To benefit from the treaty, interested companies must apply for the permits that will be issued on a "first come first served" basis until agreed quotas are reached.


The permit allocation will take into account a number of variables such as tax clearance certificate, technical compliance with EU rules and the B-BBEE status of the applicant. The Government is beginning to drive BEE compliance wherever it can. The exporter's BEE level is now a significant factor in their ability to continue exporting to the EU as they had been doing under the previous treaty (Trade, Development and Cooperation Agreement - TDCA).


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