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Broad-Based Black Economic Empowerment Act, 2003 (Act No. 53 of 2003)

Notices

Application for Market Access Permits for Agricultural Products in terms of the World Trade Organisation (WTO) Agreement for 2022

7. Compliance to B-BBEE criteria in terms of AgriBEE Sector Code

 

7.1 Verification

 

7.1.1 Permits issued for products in terms of the WTO are subject to the Agricultural Black Economic Empowerment (AgriBEE) Sector Code published 8th of December 2017 under Section 9(1) of the Broad Based Black Economic Empowerment Act No. 53 of 2003 (as amended to BBBEE Amendment Act No. 46 of 2013). The AgriBEE Sector Code was published in Notice no. 1354 of Government Gazette No. 41306 of 08 December 2017. The AgriBEE Sector Code is also available on the departmental website https://www.dalrrd.gov.za; publications/Government Gazette/Notice no.36035.
7.1.2 The B-BBEE criteria for issuing permits in this application is in terms of Section 6 of the B-BBEE Amendment Act, 46 of 2013.
7.1.3 The validity of the B-BBEE certificates issued by the accredited verification Agencies (Accredited by SANAS) is 12 months from the date of issue. The list of accredited Verification Agencies is available on the SANAS website (https://www.sanas.co.za)

 

7.2 Scope of application

 

7.2.1 The scope of the AgriBEE Sector Code shall include any Enterprise which derives more than 50% of its turnover from the following:
• The primary production of agricultural products;
• The provision of inputs and services to Enterprises engaged in the production of agricultural products;
• The beneficiation of agricultural products whether of a primary or semi-beneficiation form; and
• The storage, distribution, and/or trading and allied activities related to non-beneficiated agricultural products.

 

7.3 Exemptions

 

7.3.1 According to the AgriBEE Sector Code, enterprises with an annual turnover of less than R10 million qualifies as Exempted Micro Enterprises (EME). EME’s will enjoy a deemed B-BBEE recognition level of either level of level 4 (as defined in the Amended AgriBEE Sector Codes) the sufficient evidence of qualification as an Exempted Micro-Enterprise is a Sworn Affidavit or CIPC issued certificate annually confirming the Annual Total Revenue/Allocated Budget/Gross Receipts of R10 million or less and level of percentage of black beneficiaries must be attached to the application form submitted to the Department.

 

7.3.2 A Qualifying Small Enterprise (QSE) is an Enterprise with an annual turnover between R10 million and R50 million and it qualifies for BEE compliance measurement in terms of the AgriBEE QSE Scorecard. A QSE must comply with five of the elements of the AgriBEE Sector Code for the purpose of measurements , and this certificate must accompany the application form.

 

7.3.3 Large Enterprise is enterprise with an annual turnover exceeding R50 million.