AliExpress considers €550 million fine imposed by the European Commission disproportionate

The head of state recalled that one of the tasks is to curb inflation by increasing the supply of goods and services in the market.

Inflation Control Goals

Regional governors aimed for inflation not to exceed 3% from January to June. However, except for the Samarkand region, no other region managed to achieve this goal.

Meat Price Situation

It was noted that the price of meat increased by 6-8% in April-June. In connection with this, 300 billion sums were allocated to cover the costs of air transport of imported meat. Entrepreneurs from the capital and Tashkent region brought 1300 tons of meat by air transport, but other regions did not show sufficient initiative in this matter.

Requirements for Supply Planning

The head of state emphasized the need for regional governors and responsible persons to re-examine the meat balance by regions, as well as to develop a clear plan regarding when and from which country a specific quantity of meat should be purchased.

The video selection meeting, dedicated to reviewing the results achieved in the first half of the current year and plans until the end of the year, continues under the chairmanship of the President.

Experts warn that South Africa's drive to modernize production through digitalization could undermine the country's reindustrialization goals if workers do not receive appropriate information and skills.

Context of Modernization

The country is accelerating its production modernization strategy, but concerns are arising that the focus on digitalization ignores the need to equip workers with the necessary knowledge to operate in more advanced manufacturing environments. This warning came after the Manufacturing Indaba event, where digitalization was recognized as one of the key pillars of South Africa's reindustrialization strategy.

Priorities and Concerns

Deputy Minister of Trade, Industry and Competition John Steenhuisen named digitalization as one of three central elements for restoring the country's industrial base, alongside diversification and decarbonization. Nevertheless, there are concerns that discussions around Industry 4.0 are too heavily focused on robotics, artificial intelligence, and automation, while overlooking the personnel who maintain these systems.

Comments indicate that professional training discussions mainly concern curricula and equipment, whereas existing factory employees receive significantly less attention. Indaba participants noted that the discussion of this pillar often boils down exclusively to robotics, AI, and automation on the production line, and conversations about workforce readiness revolve around curricula, while frontline employees working in modern factories are rarely mentioned.

Infrastructure and Economic Challenges

This problem is exacerbated by South Africa's attempts to reverse decades of production decline while implementing large infrastructure investment programs that will require a significant increase in technical specialists. Minister of Electricity and Energy Kgosiyenso Ramokgopa highlighted the scale of this task, noting that the planned expansion of power lines worth 430 billion rand will require a large number of skilled technical workers.

According to analysts, implementing this program requires 'a significant number of technical people' at the peak of construction, while acknowledging that developing such skills from scratch will take years, which the program simply does not have. The urgency of the situation is underscored by the long-term decline in the contribution of manufacturing to the South African economy. Manufacturing's contribution to South Africa's GDP has fallen from 22% in 1994 to approximately 12% today, demonstrating that the country cannot wait for future talent while continuing to insufficiently inform those it already has.

Focus on Current Personnel

Instead of focusing only on graduates entering the sector, manufacturers are advised to invest in current production line employees, providing them access to up-to-date information, digital tools, and continuous on-the-job training. The comment asserts that technology alone is insufficient to revive South Africa's industry.

It is emphasized that digitizing machines is just one, perhaps even the simplest part of the process. The real revival of industry will depend on how quickly the people managing these digital machines receive the necessary information to keep them running. As manufacturers increasingly implement artificial intelligence, automation, and smart factory technologies to boost competitiveness and productivity, the success of South Africa's overall reindustrialization strategy will likely depend less on the complexity of the equipment and more on the effectiveness of supporting the workforce that operates this equipment.

South Africans living abroad have been warned that they may still be required to file tax returns with the South African Revenue Service (SARS), even if they have resided overseas for many years.

Tax Residency Conditions

The warning was issued by John-Paul Fraser, Head of Cross-Border Taxation Group, and Vivian Cox, an expatriate tax consultant from Tax Consulting South Africa. They noted that many expats mistakenly believe that moving abroad automatically exempts them from the South African tax system, but this is often not the case.

According to the Tax Administration Act 2011 (Act No. 28 of 2011), the requirement to file a return depends on several factors. These include the expat's tax residency status, the nature and source of their income, and whether they maintain financial interests in South Africa.

Increased SARS Scrutiny

The consultants emphasized that as SARS continues to strengthen its compliance capabilities and increase oversight of offshore structures and international income, expats should take the opportunity to review their filing obligations and ensure they understand whether they are required to submit a return.

Physical relocation abroad does not automatically terminate a taxpayer's relationship with SARS. The key issue is whether the individual has formally ceased their tax residency in South Africa. If this has not happened, SARS may continue to consider the person a South African tax resident, which entails ongoing obligations to report worldwide income and assets.

Important Aspects for Taxpayers

Tax Consulting South Africa pointed out that for expats who are still recognized as South African tax residents by SARS, the following aspects may be relevant for complying with tax legislation: income from foreign employment, offshore investment portfolios, interests in foreign trusts or companies, foreign bank accounts, and international pension structures.

The organization added that foreign income and offshore assets remain important factors for taxpayers who have not terminated their tax residency in South Africa. It was also noted that South Africans abroad should not assume that income thresholds or automatic assessments by SARS automatically remove the need to file a return. Although SARS may issue such assessments based on sufficient third-party data, offshore income and international assets are not always fully reflected in its records.