Some opposition parties reject DTIC's budget over multi-billion rand lottery operator licence
Parties have raised questions over new operator Sizekhaya Holdings's alleged links to Deputy President Paul Mashatile's sister-in-law.
The conflict was exposed by amaBhungane, which revealed that one of the co-owners of Bellamont Gaming was the twin sister of Mashatile's wife.
ALSO READ:• Incoming lottery operator Sizekhaya Holdings commits to giving IP to govt once licence expires
• Some opposition parties want Minister Tau to publicly disclose details of Sizekhaya Holdings, National Lottery contract
• Newly-awarded national lottery licence operator Sizekhaya Holdings' ties to ANC questioned
• KZN businessman Tembe denies claims of 'cronyism' after Sizekhaya secures lottery licence
Opposition MPs used Friday's budget debate to condemn the perceived conflict of interest, with the Economic Freedom Fighters (EFF) calling the lottery the African National Congress's 'cash cow'.
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IOL News
5 hours ago
- IOL News
Steenhuisen expresses optimism about collaborating with Minister Parks Tau to counter the looming 30% tariff
DA leader John Steenhuisen says the tariff announcement by US President Donald Trump will signal the end of the African Growth and Opportunity Act, which gives South Africa duty free access to the US for more than 6,000 products, including goods in the automobile, agricultural and textile industries. Image: File Agriculture Minister John Steenhuisen on Tuesday said he was looking forward to work with Trade, Industry and Competition Minister Parks Tau to seek a way to avoid the US 30% tariff for the agricultural sector. Presenting the department's budget in the National Assembly, Steenhuisen noted that US President Donald Trump sent a letter to a number of countries, including South Africa, announcing his intention to persist with the 30% tariff on South African goods and produce exported into the US from August 1. 'While we can breathe a sign of relief that this tariff did not come into effect as it was due tomorrow, it does give us an opportunity to use the next few weeks to be able to try to negotiate a way forward to prevent this,' he said. 'Whilst not explicit, the announcement will signal the end of African Growth and Opportunity Act, which gives South Africa duty free access to the US for more than 6000 products, including goods in the automobile, agricultural and textile industries,' Steenhuisen added. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ The minister also said the agricultural sector remained particularly exposed in areas of citrus, wine, nuts and table grape. 'Now more than ever it highlights the need for urgent reforms in South Africa so that we can ensure our economy meets the requirements of our trading partners around the world. 'I look forward to work with Minister Tau and others in the coming weeks to urgently seek a ways through this impasse and to ensure we avoid a 30% tariff for our agricultural sector,' he said. Steenhuisen said the South African agriculture stood at a crossroads. 'On one side, we see the extraordinary potential of this sector to generate jobs, contribute to the gross domestic product (GDP) growth, strengthen exports, and revitalise rural economies. On the other side, we confront persistent risks: Climate shocks, high input costs, bio-security failures, land degradation, weak infrastructure, and uneven access to markets and finance,' he said. 'There is also a human reality behind the figures of smallholder farmers locked out of opportunity, of families facing food insecurity, of veterinary professionals overburdened and under-resourced, and of a nation that too often reacts to crisis rather than prepares for it.' Steenhuisen said the budget was grounded in the 2025-30 strategic plan articulated on seven strategic priorities. These were partnerships for growth, a modern and progressive legislative environment, improving market access, providing effective farmer support, strengthening biosecurity and disaster preparedness. Steenhuisen further said they were implementing the 2024-2029 National Food and Nutrition Security Plan that was coordinated with the departments of health, education, social development, and environment. ANC MP Dina Pule said the budget continued to prioritise food security initiatives from community and school nutrition guidance to commission food production schemes while also easing the cost of living by expanding the free food basket food. 'Food security is not achievable without active inclusion of our thousands of small-scale and subsistence farmers across the country.' Pule urged all to support the budget, saying it was truly a budget for security and inclusion because the food security and farmer support programs received the largest allocation from the vote. In rejecting the budget, MK Party's Andile Mngxitama said over 15% of the nation was without food security. 'However, this sector, which is white agriculture, is produced for export markets. Our people eat heads and feet of chicken. The much praised white agricultural sector can't produce enough chicken to feed the nation. The state has created a conducive environment for exports to thrive. That is why the minister is lamenting the fact that Trump has imposed those tariffs,' said Mngxitama. He also said the budget vote does not contribute to dismantling the apartheid and colonial agricultural sector. EFF MP Kenneth Montwedi said the budget failed to appreciate the challenges faced by the agricultural sector and did not bring any tangible solution to addressing such. He said the country was in a man-made crisis of foot and mouth disease because the minister dropped the ball and dissolved a multidisciplinary team established by former minister Thoko Didiza. 'We must locate the current challenges of foot and mouth disease right on the doorstep of the Minister of Agriculture,' Montwedi added.
Daily Maverick
17 hours ago
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Trump slaps 30% tariff on South African exports to US from 1 August
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IOL News
a day ago
- IOL News
Rand weakens as Trump extends tariffs on emerging economies, escalating trade tensions
Trump also reiterated previous warnings of imposing tariffs of up to 100% on BRICS nations should they abandon the US dollar in bilateral trade, and further warned other countries against joining the alliance. Image: Mauro PIMENTEL/AFP The rand weakened to its lowest in nearly two weeks against the major currencies on Monday as global risk was seen to have escalated following US President Donald Trump's tariff threat. On Sunday, Trump announced an extension to the tariff deadline, pushing it to the beginning of August while imposing an additional 10% tariff with 'no exceptions' on countries aligning with the policies of BRICS—a bloc of emerging economies comprising Brazil, Russia, India, China, and South Africa. Trump also reiterated previous warnings of imposing tariffs of up to 100% on BRICS nations should they abandon the US dollar in bilateral trade, and further warned other countries against joining the alliance. The expanded BRICS bloc now encompasses 11 countries, representing 43% of the global population, 32% of the world's land area, and approximately 35% of global GDP, which makes these tariffs even more impactful. On Monday, BRICS currencies, along with emerging markets, came under pressure. The rand weakened by 1.15% to R17.79 against the US dollar, 0.9% to R20.90 against the euro, and 0.9% to R24.20 against the British pound, marking its lowest level since June 27. According to Investec's chief economist, Annabel Bishop, the rand's decline was attributed to rising uncertainty surrounding global trade. She stated that after briefly nearing the key resistance level of R17.50 against the US dollar last week due to the dollar's weakness, the renewed tariff threats compelled a rebound of the dollar, thereby pulling the rand lower. 'The ongoing uncertainties around global trade, with high levels of protectionism (including tariffs) negatively impacting globalisation and global growth, has caused some market concerns, seeing US dollar strength on some safe-haven purchases,' Bishop said. 'The additional 10% BRICS tariffs would add further drag to SA's export competitiveness, and this has added to rand weakness, with the universal extension to early August not currently expected to see SA return to prior Agoa status.' The impact of the tariffs is expected to weigh heavily on South Africa's export competitiveness. The rand's further depreciation comes despite prior efforts by South Africa to negotiate better terms with the Trump administration over trade relations. In fact, the country had already faced a 10% tariff along with an additional 30% duty on certain imports prior to a temporary pause for negotiations. Trade, Industry and Competition Minister, Parks Tau, recently said there was still room for engagement with the US regarding trade protectionism. South Africa has submitted a draft Framework Agreement to address American concerns over non-tariff barriers, as well as trade deficits, but has yet to receive a response. This Framework aims to resolve long-standing access issues while promoting investments on both sides. Nigel Green, CEO of global financial advisory deVere Group, said Trump's fresh threat to slap an additional 10% tariff on any country backing the BRICS alliance was accelerating a decisive shift among global investors — one that's moving capital, attention and confidence away from the US. 'Tariffs were once a bargaining tool. Now they're a permanent threat. That changes how markets view American reliability. We're seeing a structural reassessment of US exposure,' Green said. 'The message from BRICS is to build around the US, not with it. That's a direct consequence of Trump's strategy, and it's setting the stage for a less US-centric world economy.' Meanwhile, the BRICS Leaders Declaration on Sunday said the multilateral trading system has long been at a crossroads. It said the proliferation of trade-restrictive actions, whether in the form of indiscriminate rising of tariffs and non-tariff measures, or protectionism under the guise of environmental objectives, threatened to further reduce global trade, disrupt global supply chains, and introduce uncertainty into international economic and trade activities, potentially exacerbating existing economic disparities and affecting prospects for global economic development. 'We voice serious concerns about the rise of unilateral tariff and non-tariff measures which distort trade and are inconsistent with World Trade Organisation rules (WTO),' read the Declaration. 'In this context, we reiterate our support for the rules-based, open, transparent, fair, inclusive, equitable, non-discriminatory, consensus-based multilateral trading system with the WTO at its core, with special and differential treatment for its developing members.' BUSINESS REPORT
