Times Of Swaziland: GOVT TROUBLED  BY ‘FISH AND CHIPS’ INVESTORS

GOVT TROUBLED  BY ‘FISH AND CHIPS’ INVESTORS
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BY MUSA SIMELANE on 19/03/2014 04:41:00


LOBAMBA – Government is still troubled by the issue of foreign ‘fish and
chips’ investors as they are not what it had targeted initially.
From the beginning, government’s intention was to bring in foreign investors
in the country who would create an array of job opportunities for citizens in
big industries. Government would also derive revenues from taxation, it was
intended.
However, to some extent the contrary has happened, as some investors have only
ventured into businesses which Swazis are also active in.  Minister of Commerce,
Industry and Trade Gideon Dlamini, in Parliament yesterday, acknowledged that
there has been an outcry from the local business sector due to the influx of
‘fish and chips’ investors.
“We are aware of the dissatisfaction that exists in locals over this, but at
the moment there is a law that specifically addresses the issue of such
investments. The Empowerment Bill, however, is expected to deal with such when
it becomes law,” Dlamini told senators during the portfolio committee debate
in Senate.
Senator Chief Kekela, in his submission, challenged the minister to shed light
on such investors because they had become a point of frustration to Small and
Medium Enterprises (SMEs).
“You have these investors from the Asian community in groceries in every
region of the country, even in rural places. They sell Simba chips, fat-cakes
and tinned fish, yet they are the so-called investors. My question; can’t it
be Swazis only trading in such?” enquired the senator.
He also submitted that there was a need to have a law that compelled foreign
investors to engage in a joint venture with local businesspeople.
Senator Moi Moi Masilela was concerned why liquor selling outlets were not
allowed to operate 24 hours like retailers? The minister responded that the laws
that govern liquor sellers are different from those of retailers. As for
compelling foreign businesses to be in a joint venture with locals, he said it
would be addressed in the Empowerment Bill.
Senator Michael Temple wanted to know how much revenue was being collected from
factory shells, something which the minister responded by saying that factory
shells were not profit-oriented. He said they were chiefly there to attract
investors who must pay rent. Government also targets to gain revenue from
taxation of investors and employees.