South Africa Key Facts 1 Size: 1 219 090 km2 Key economic sectors: Mining services and transport, energy, manufacturing, tourism, agriculture Population Total: 52 982 000 Official languages: English, isiZulu, isiXhosa, isiNdebele, Afrikaans, siSwati, Sesotho sa Leboa, Sesotho, Setswana, Tshivenda, Xitsonga Government: Constitutional multiparty, 3-tier (local, provincial, national) democracy Currency: Rand (ZAR) Time Zone: GMT +2 hours Value-added tax: Levied at 14% Provinces: Western Cape, Eastern Cape, KwaZulu-Natal, Northern Cape, Free State North West, Gauteng, Mpumalanga Limpopo Capitals: Pretoria (administrative), Cape Town (legislative), Bloemfontein (judicial). The Constitutional Court is located in Johannesburg. Transportation: Well-developed roads, rail and air facilities. Public transport in major cities include the Gautrain and the Bus Rapid Transport System. Telecommunications: World-class infrastructure. Internet access is widely available. Health: Top-quality healthcare is available throughout the country, although more basic services in the rural areas. Inoculations are only required for those travelling from yellow-fever areas. Malaria precautions are necessary in some areas. Graebel Relocation administers high-quality relocation and mobility services in 165 countries. Insights and tips from South African partners are offered to help prepare and cope in the new host country. With its modern, well-diversified economy, South Africa is a prime target of both foreign and local companies that seek to expand their operations. DRIVING, TRAFFIC CONGESTION The cities of Johannesburg, Durban and Cape Town are spread over large areas. For example, Johannesburg spans 198 kms by 150 kms; and highest population areas are on its outskirts. Each city has a highway system with arteries to the major suburbs. Any accident on the system can cause massive backups – up to 12 kms long – which in turn, cause long delays for all commuters. With the volume of cars, 16-seater taxis (which operate on their own rules and can create major traffic interruptions) and trucks, the peak traffic times (0700 – 0930 and 1600 – 1900) consistently experience major traffic congestion. On a good day, travelling 30 kms during peak traffic will take at least two hours. Other than trains, which routinely experience delays, and the taxis, which also get caught in the traffic congestion, there is no reliable public transportation service. The majority of the workforce struggles to get to work on time each day. An average worker’s travel day starts at 0400 to arrive at the workplace by 0730 – 0800, if lucky. Flexibility on arrival times is key Planning appointments must account for possible delays. The distance to be covered means extensive time spent on the road. In downtown Johannesburg, the “Double Decker” is a 2 km highway, stacked one on top of another, that runs through the centre of the city. Both layers are routinely congested during peak traffic with top speeds of 5 – 10 kph. Sandton, a popular destination city for many Graebel clients, experiences much the same traffic issues. Once you leave the highways, the roads become two-way traffic and conditions are not much better. The main thoroughfare through Sandton, Rivonia Road, is a dual carriage way; however, in true South African style, the emergency lane is used as a travel lane during heavy traffic, so an accident creates a major traffic problem. Peak traffic in Cape Town Continued next page > COUNTRY PROFILE : South Africa Baker’s Dozen Customer Satisfaction Rating s 2015 Winner RELOCATION 1. Source: Pocket Guide to South Africa 2013/14
Capitals: Pretoria (administrative), Cape Town (legislative), Bloemfontein (judicial). The Constitutional Court is located in Johannesburg.
Transportation: Well-developed roads, rail and air facilities. Public transport in major cities include the Gautrain and the Bus Rapid Transport System.
Telecommunications: World-class infrastructure. Internet access is widely available.
Health: Top-quality healthcare is available throughout the country, although more basic services in the rural areas. Inoculations are only required for those travelling from yellow-fever areas. Malaria precautions are necessary in some areas.
Graebel Relocation administers high-quality relocation and mobility services in 165 countries. Insights and tips from South African partners are offered to help prepare and cope in the new host country.
With its modern, well-diversified economy, South Africa is a prime target of both foreign and local companies that seek to expand their operations.
DRIVING, TRAFFIC CONGESTION
The cities of Johannesburg, Durban and Cape Town are spread over large areas. For example, Johannesburg spans 198 kms by 150 kms; and highest population areas are on its outskirts. Each city has a highway system with arteries to the major suburbs. Any accident on the system can cause massive backups – up to 12 kms long – which in turn, cause long delays for all commuters. With the volume of cars, 16-seater taxis (which operate on their own rules and can create major
traffic interruptions) and trucks, the peak traffic times (0700 – 0930 and 1600 – 1900) consistently experience major traffic congestion. On a good day, travelling 30 kms during peak traffic will take at least two hours.
Other than trains, which routinely experience delays, and the taxis, which also get caught in the traffic congestion, there is no reliable public transportation service. The majority of the workforce struggles to get to work on time each day. An average worker’s travel day starts at 0400 to arrive at the workplace by 0730 – 0800, if lucky.
Flexibility on arrival times is key
Planning appointments must account for possible delays. The distance to be covered means extensive time spent on the road.
In downtown Johannesburg, the “Double Decker” is a 2 km highway, stacked one on top of another, that runs through the centre of the city. Both layers are routinely congested during peak traffic with top speeds of 5 – 10 kph.
Sandton, a popular destination city for many Graebel clients, experiences much the same traffic issues. Once you leave the highways, the roads become two-way traffic and conditions are not much better. The main thoroughfare through Sandton, Rivonia Road, is a dual carriage way; however, in true South African style, the emergency lane is used as a travel lane during heavy traffic, so an accident creates a major traffic problem.
Peak traffic in Cape Town
Continued next page >
country profile: South Africa
Baker’s DozenCustomer Satisfaction Ratings
2015 WinnerRELOCATION
1. Source: Pocket Guide to South Africa 2013/14
COUNTRY PROFILE: SOUTH AFRICA
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The information contained in this document represents the current research and assessments as provided by of Henry Mead, Glenscare South Africa on the issues discussed as of the date of publication. This document is for informational purposes only and does not serve as an endorsement of products nor providers. Graebel cannot guarantee the accuracy of any information presented after the date of publication.
Since the Customs process is paperless, clearing Customs is simpler. Straight-forward commercial entries pose little problem. Household goods and personal clearance are more complicated. The DA304, P1160 forms and affidavits require interaction with Customs officers and can be very difficult. Imports are the most challenging, especially for returning residents, as the period of time out of the country to qualify for duty-free status is strict.
Problems may arise when you deal with an individual Customs officer, as no two will interpret a situation the same. An effort is made to limit contact with Customs officers, to minimise potential deceptive practices. As with most government departments, bureaucracy prevails and nothing is ever simple.
There is not much difference between Air and Sea shipments when dealing with customs.
TIP: When your shipment is going through customs, patience and a cool head are required when dealing with officials – the concept of public servant doesn’t exist.
SERVER/NETWORK/POWER
South Africa has not planned well for its growing power needs. Major power outages occur with increasing regularity, which has a major effect on the economy. Private generators are becoming a necessity.
In contrast, the country has very strong cellular phone and Internet networks. South Africa is possibly the most technologically-advanced country in Africa, however, power issues also affect the reliability of its cellular and internet networks.
AIR & SEA TRANSPORT
• Air carriers issuance of airway bills (AWBs). There are very few problems clearing or exporting airfreight shipments
through customs. Other than the required DA304, P1160 forms and returning residents’ affidavits for imports, the process is the same as for sea or road consignments.
• Air shipment difficulties. Space availability on some routes is the only problem for consignments. South Africa has the largest airport hub in Africa, so it experiences high freight volume, including a high volume of perishable cargo.
• Durban, one of the busiest seaports in Africa, is operated by the government, and the bureaucracy affects productivity. Major delays can be experienced as with most ports in this country. Cape Town and Port Elizabeth experience wind and bad weather that will often close the harbours for days. Problems – whether port handling or weather – will delay anchored vessels. Expect stack and off-loading dates to change regularly.
• Inbound containers to Johannesburg are moved onto unit trains. There is no schedule for this activity, so planning deliveries is always last minute. The standard operating procedure is to position containers for off-loading. It may take from 1-10 days to disperse a container’s contents. Containers are brought into the warehouse only if required to avoid double-handling and redelivery charges.
TIP: Advanced scheduling of deliveries can be a problem. Until the container is retrieved, the third parties, notorious for giving out wrong information, are in control.
• Strikes are currently a common practice as unions are battling each other for power. This has a negative effect on the overall economy and productivity.
Aerial view of Cape Town, South Africa
Continued from page 1
Despite these challenges, South Africans are resilient and always find a way to resolve issues.
South Africa offers a good standard of living, caters to many cultures, and has much to experience and enjoy:
• From popular bush game viewing, camping, a wide variety of sports, excellent theatre, music and dining — you’ll find some of the best in the world.
• Cape Town is one of the most beautiful cities in the world and no visit to South Africa is complete without going there.
• Cape Town and Durban have a more relaxed view of life, whereas the pace in Johannesburg is much faster — in keeping with most big cities around the world.
Learn more about South Africa: www.theodora.com/wfbcurrent/south_africa/index.html
