SA Exporters Need to Understand Mozambique’s New Custom Regulations

South Africa's Foreign Economic Representative (FER) to Mozambique, Mr Matome Kgowedi urges South African companies to strive for a comprehensive understanding of Mozambique's new customs regulations as an initial step prior to commencing with the exporting of goods and services to the country. Kgowedi expressed this sentiment on the backdrop of the 54th Feira International de Maputo (FACIM) trade fair that is currently underway in Maputo, Mozambique.

The Department of Trade and Industry (the dti) is hosting a South African Pavilion in FACIM that is housing twenty-three local businesses that are showcasing locally-made goods and services.

The new custom regulations I am referring to concern the inclusion of Portuguese labels on imported consumable products and the fortification of main staple foods such as maize meal, cake flour and cooking oil. The other key custom regulation requires that exporters of spirits, wines and tobacco attach duty stamps and tax sales on their products. Compliance to these will ensure for a smooth and uninterrupted flow of South African made goods into Mozambique, said Kgowedi.

Kgowedi also stressed on the importance of conducting due diligence when identifying partners in Mozambique.

Past experience has shown that South African businesspeople are neglectful of this key element when implementing their business seeking strategies. Most assume that because of our proximity to Mozambique, our cultures of doing business will often be similar. When they arrive here it's a culture shock for them and they end up disappointed and grow despondent. It is also important to understand the local legal framework when they enter into agreements with potential partners in the country, he said.

Local companies on show at the South African Pavilion in FACIM cut across the sectors of energy, infrastructural development, agriculture, agro-processing and tourism.

With this being my sixth FACIM in this position, I can say this has been by far the most successful showing in terms of getting feedback from exhibitors and in terms of secured trade leads. This can be attributed to the type of companies we have brought over because they speak to the needs of this country. The other aspect that made the South African Pavilion a success is the business-to-business meetings that we had organised prior to FACIM. We ensured that our companies met with key decision makers of local companies that were in positions to make key decisions,

Kgowedi signed off by advising businesses to always strive to make use of the South African Embassy as their first port of call upon arriving in a foreign country, as that enabled them to intervene when the situation is still salvageable.

The South African Pavilion was voted as the Best National Pavilion in 2017, while Kama Industries, a Johannesburg-based company producing audible and visual signalling devices was voted the Best Exhibitor at FACIM for the same year.

Source: Department of Trade and Industry

[related_post themes="text" id="15148"]