THOHOYANDOU – A Thohoyandou industrialist, Mr Peter Evans, has decided to relocate to the United Kingdom, because of what he describes as unreasonable levies and government inflexibility.

His business, known as Ventech Enterprises, has been manufacturing and supplying ethanol-driven fruit ripening machines for many years. Evans claims impractical regulations and exorbitant levies on the purchase of ethanol, have forced him to halt all his import and export operations.

"Despite repeated requests to the authorities concerned to reconsider their policies, I have been unable to receive a satisfactory response. To comply with the requirements of the Department of Customs and Excise, I will have to spend R100 000 to provide security, which I do not have, and build a special warehouse costing R120 000 to accommodate 10 to 20 drums of alcohol per year. I would also have to employ a fulltime clerk", Evans said.

"Previously, I was manufacturing voltage protection devices, but after 15 years with a 100 % service record, new legislation forced me to close down that activity, as I did not have the R200 000 necessary to obtain SABS approval".

He was now unable to test any of his machines, as he could no longer afford to pay the required duty of R40 per litre for every supply of ethanol he purchased. "I have a large export enquiry for Costa Rica for ripening machines, which I cannot execute," he explained.

Evans says he has no choice but to move his manufacturing business to the UK, where the purchase of ethanol would present no problems.

"If farmers here are still prepared to pay the exorbitant tax on ethanol, they will also have to pay more for my machines if we have to export them back from the UK," he pointed out.

Evans said he would be passing on all the details of his unfortunate experience to the Confederation of British Industries (CBI), "to prevent other British investors from making the mistake of opening manufacturing enterprises in this country". No comment on the issue could be obtained from the Department of Inland Revenue in Pretoria.