South Africans will be subject to several changes in terms of visa application procedures, rules and benefits, starting from February.

Due to the implementation of the Updated Schengen Visa Code, adopted by the EU Council in June 2019, all representative missions of the Schengen Countries located abroad are obliged to apply the new rules, including the ones in South Africa.

The Schengen visa is one of the most famous visas in the world, and one of the best to have.

Granting to its holder the possibility of traveling to 26 European countries, 22 of them part of the European Union, the number of Schengen visa applicants has been steadily increasing every year.

Currently, travellers from 104 countries and entities need to obtain a visa to enter the EU for stays up to three-months within the Schengen Zone.

Below BusinessTech looked at some of the most notable changes and what they will mean for travellers.

Price increases

The most notable change is increased prices for all Schengen visa applicants.

The fee visa is expected to increase from €60 (R958) to €80 (R1,277) per application. In addition, children over the age of six will now have to pay €40 (R638) instead of the previous lower fee of €35 (R559) per application;

Longer stays

Travellers who frequently visit the Schengen area will now be able to stay for longer periods of time, subject to certain criteria.

This criteria includes applicants who are arriving from a country with a good economic status and those who can show that they have a genuine intention to leave.

Should these criteria be met, applicants may be eligible to receive multiple-entry visas for five years

Longer application times

The new rules also permit South Africans to submit an application up to six months in advance of their trip, instead of the current three-month window.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email info@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: [1], [2].

The South African government has published its Draft National Youth policy for 2020 – 2030, outlining its plans to get more young South Africans into education and employment opportunities over the next 10 years.

The document states that youth unemployment has reached ‘crisis proportions’ in South Africa and remains one of the major challenges facing the country today.

“South Africa’s unemployment rate is high for both youth and adults; though, the unemployment rate among the youth currently stands at an alarming 56.4% and is considered to be one of the highest globally,” it said.

“Against this background, it is clear that the major contributor to poverty, inequality, and unemployment amongst the youth in South Africa is the low level of educational attainment and skills.

“The latest national data from Stats SA (2018) shows that of the 10.3 million persons aged 15-24 years, 32.4% (approximately 3.3 million) were not in employment, education or training, with females constituting 35.3% and males 29.6%.”

Other statistics that point to a failure in the education system include:

  • About 52% of 24-year-olds in the country have completed Grade 12, compared to 70% in most developing countries;
  • A million young people exit the schooling system annually, of whom 65% leave without achieving a Grade 12 certificate;
  • Half of those who exit the schooling system do so after Grade 11, either because they do not enroll in Grade 12 or they fail Grade 11.

Plans to fix the problem

To address the issues in South Africa’s education sector, the policy document outlines a number of proposals which should be introduced by 2030.

Below, BusinessTech outlined the proposals for each sector.

Schools 

  • The Department of Basic Education, in partnership with private providers, should support learners who need a ‘second chance’ to pass matric. The Department of Higher Education, Science and Technology should also provide young people who have left school with the opportunity to complete their education to enable them to compete in the open labor market;
  • All schools should be encouraged to have an anti-racism policy that supports small freedoms such as allowing African children to wear natural Afros to schools;
  • All South African learners must learn an indigenous language. Sign language should also be progressively introduced in all schools;
  • Basic computer literacy should be included in the school curriculum;
  • Practical subjects such as entrepreneurship, technical skills and handwork (art) need to be introduced to the curriculum help those who are not inclined to proceed to higher education;
  • Schools in rural areas should be able to use local farming land for practical or experiential learning in agriculture. Local farmers can mentor learners;
  • Existing incentives to attract young people to the teaching profession should continue until at least 2020. This means that teacher salaries should be competitive.

Post-school

  • The number of TVET colleges should be expanded to increase the participation rate to 25% and the graduation rate 75% by 2030;
  • Government should introduce a new community college framework designed for youth who did not complete their schooling or who never attended school and thus do not qualify to study at TVET colleges or universities. This will offer tailor-made qualifications to meet the needs of the youth;
  • The government should progressively introduce free education for poor learners until undergraduate level and increase the funding options available to support students at the post-secondary level who are academically successful but unable to complete their study programs due to financial hardships;
  • All higher education institutions (colleges, universities) must introduce foundation programs for learners in transition from the basic to higher education learning environment. These foundation courses should include soft skills development to help students cope with university demands;
  • All government departments including municipalities should have internship programs, which should be monitored in terms of numbers and quality;
  • Every qualification at university should be coupled with an experiential component to ensure graduates have experience when they qualify;
  • The BRICS virtual university must be established to facilitate the use of Information and Communication Technology (ICT) for educational purposes and promote access to education, particularly for females;
  • Based on feasibility studies, agricultural colleges and schools of excellence must be established in each province and agriculture faculties must be introduced and/or strengthened in universities and TVET colleges.

To view the full policy, click here.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email info@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: [1], [2].

Amanzimtoti on the South Coast of KZN is fast becoming an investor hot spot as it prepares to become the site of a massive new automotive park.

Gavin Parkins, a commercial and industrial agent at Seeff Amanzimtoti, said the town is expected to receive a boost when building commences of the KZN Automotive Supplier Park (ASP) in Illovo. Completion of the project is predicted as early as August 2022, he said.

The ASP model has been used with great success in three previous locations in South Africa, Parkins said. “The Gauteng Provincial Government/AIDC Automotive Suppliers Park in Rosslyn Pretoria North servicing Nissan and BMW, Ford South Africa, National, Provincial and Local Government initiated Tshwane Automotive Special Economic Zone (SEZ) in Pretoria and the Sunnyridge Automotive Supplier Park in East London.

“These initiatives resulted in thousands of personnel being relocated from areas across South Africa to create centralised automotive industrial zones servicing the local motor manufacturers. “These developments have not only created massive employment opportunities, but have also impacted the local economies in a very positive way.”

Parkins said that the R11 billion Dube Trade Port Auto Suppliers Park in Kingsburgh will service Toyota, MAN Trucks and Volvo Automotive – the largest development of its kind in South Africa. Once completed the 1,000 Ha project is anticipated to create more than 25,000 new jobs and also includes the construction of thousands of new affordable homes. Over a five year period it is anticipated that thousands of families will relocate to the area from areas where automotive suppliers are currently situated. As was experienced in East London, there will be a huge surge in demand for residential housing once the Auto Supplier Park commences operations, Parkins said.

Property boost

This sudden demand for thousands of homes will certainly have an effect on local property prices that have lagged behind national performance for the past three to five years, he said. However, he noted that there is limited supply in the local areas and such a sudden spike in demand will further affect pricing.

“On commencement of the project in the latter half of 2020 developers will be more confident in the potential of a rapid upturn in residential demand and it is advisable than savvy investors try to get their hands on vacant land earlier rather than later, before the inevitable price increases.” Parkins said that investors should turn their focus to areas like Kingsburgh, Warner Beach, Doonside, Amanzimtoti, Illovo and Winklespruit that are the residential suburbs closest to the expected ASP development.

“Over the past years prices in the new residential developments of Amanzimtoti have stagnated and retail development has been the primarily property development in the region. “More recently however there have been noted improvements in the residential market with rising prices and improved demand. “Low levels of residential development have however left a supply shortfall, but hopefully this will be corrected soon.”

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email info@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: [1], [2].

The Trump administration is changing a key exemption to America’s trade laws to make it easier to penalize about two dozen developing countries including China, India and South Africa. The announcement means that South Africa has effectively been removed from a list of nations that can receive preferential trade benefits and is now likely to attract higher import duties and levies to the US market.

It may also see the manufacturing sector losing billions of rand in revenue. Speaking to IOL, the National Association of Automobile Manufacturers of South Africa (Naamsa) said the move was a tragedy for the industry and economy as all preferential treatment was crucial.

“The US has been one of South Africa’s top export destinations and trading partners for the past three decades,” said Naamsa executive manager Norman Lamprecht. “In 2019, a total of 12,437 vehicles were exported to the US along with automotive components to the value of R4.8 billion.”

More changes incoming?

South Africa is also facing another US-related change due to the draft Copyright Amendment and Performers’ Protection Bills. The proposed legislation is a point of significant controversy because it could damage South Africa’s trade relations with the US as it is seen to violate terms of the Generalised System of Preferences (GSP) under the US Trade Act.

The Office of the United States Trade Representative is now holding public hearings in Washington D.C. on South Africa’s eligibility for the GSP program. The country’s eligibility for the GSP program has been called into question as a result of the passing of the Copyright Amendment Bill in parliament last year.

If South Africa loses its GSP eligibility, the country will potentially lose up to R34 billion in export revenue, the Copyright Coalition of South Africa (CCSA) has warned. The office of the United States Trade Representative said in October 2019 that it would review South Africa’s eligibility to participate in its GSP based on a petition it had received. The GSP is the largest and oldest US trade preference program.

It is designed to promote economic development by allowing duty-free entry into the United States for 3,500 products from the 119 designated beneficiary countries and territories. To remain eligible for these advantages, beneficiary countries must comply with 15 statutory eligibility criteria that are important to US interests, including taking steps to afford internationally recognized labor rights, providing adequate and effective protection of intellectual property rights, and assuring equitable and reasonable access to its markets.

“Coupled with the threat of losing our Generalized System of Preference (GSP) over the Copyright Amendment Bill and the distinct possibility that the US Congress will not renew the African Growth and Opportunity Act (AGOA), South Africa is heading towards a perfect trade storm with the United States which will cost us billions of rands and thousands of jobs,” said the DA’s Dean Macpherson.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email info@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: [1], [2].