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Competition Commission Grants Abalone Farmers Association Conditional Exemption

May 4, 2022

Department of Trade, Industry and Competition

The Competition Commission has granted the Abalone Farmers Association of South Africa (AFASA) a conditional exemption.

The trade, industry and competition department published the conditional exemption in Government Gazette 46288 in terms of the Competition Act.

A conditional exemption for six months was first granted in 2018 and extended a number of times with the last extension ending on 31 March 2022.

According to the department, this was done to “allow for the development of an industry plan that will facilitate transformation in the abalone sector and ultimately achieve the outcomes or objectives of the Competition Act”.

A conditional exemption has now been granted for five years from 1 April 2022 to 31 March 2027.

The exemption allows AFASA to engage in meetings and communicate on prices and market conditions as competitors in the abalone industry.

Meanwhile, in Gazette 46300, the department published an application by Sensient Technologies South Africa (Pty) Ltd to create a temporary rebate facility for the importation of onion powder.

In its application to the International Trade Administration Commission, Sensient Technologies South Africa (Pty) Ltd claims that the current 20% duty in place meant to protect SACU manufacturers is not necessary given that there are no domestic manufacturers.

Representation is invited within four weeks of the date of publication.