Parliament must review new "undesirable" businesses list

17 July 2014

The DA will write to the Minister of Trade and Industry, Rob Davies, and demand that he clearly explain the reasons behind the limitations placed on corporate visa applications in relation to various business undertakings. 

We will also request that Portfolio Committee of Trade and Industry review this list and its impact on our economy.

The Ministry of Home Affairs, following consultations with the Department of Trade and Industry, is now set to revoke corporate visa applications so far as they relate to an undertaking to participate in the hospitality industry, exotic entertainment, fast - food outlets and franchises and the cosmetic and beauty industry. 

This is yet another measure that will make it difficult to invest in South Africa and therefore limit growth and job creation.

While there may be a need to limit access to the country where there is a genuine negative impact anticipated, this cannot be done without much interrogation. 

It makes little sense, for example, to make all foreign security personnel undesirable - especially given the number of private security companies which offer a valuable service to South Africans.

Minister Davies must explain what criteria was used to determine the "undesirability" of these business undertakings and also provide answers as to - 

What study from the Department was done to determine the economic impact of their decision on these industries; 

A full briefing on the Regulatory Impact Assessment undertaken; and

What engagement, if any, was conducted with role-players within these industries. 

Should the minister fail to furnish a suitable response within a week, we will call on the Chairperson of the Parliament's Portfolio Committee on Trade and Industry, Ms Joanmariae Fubbs, to summon the Minster, per parliamentary rule 138, to appear before the committee to account. 

Minister Davies' latest move, which seems to have occurred at a whim, is destined to threaten investment within these industries - particularly hospitality which is a key job driver in the economy. 

In the midst of a slowing economy, we cannot afford to recklessly throw away opportunities to create employment for the unemployed. 

The DA will continue to keep the executive to account and fight to job opportunities for all South Africans.

Statement issued by Dean Macpherson MP, DA Shadow Deputy Minister for Trade and Industry, July 17 2014

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