New labelling requirements for textile goods

As from 14 April 2007, new labelling requirements will come into effect in South Africa which requires textile goods, from carpeting through to clothing and footwear to have applied to them in a conspicuous and legible manner in a permanent way, an indication of the country from which the products originated.  If the goods were made in South Africa from imported greige fabrics, even if they were dyed, printed or finished in South Africa, labelling will have to be applied to the goods to indicate that the goods were dyed, printed or finished in South Africa from imported fabrics.  Products made in South Africa must now also state that they are made from imported fabric, if this is the case.  In terms of the amended regulations to the Merchandise Marks Act, reconditioned, rebuilt or remade goods must clearly indicate in a legible and conspicuous manner that they have been reconditioned, rebuilt or remade.

Where products have only been assembled in South Africa, it will be necessary to state this.  It will not be legal to state that a product is made in South Africa, if it is only assembled in this country from imported fabrics or textiles.

The regulations also require anyone selling textile items in South Africa to add care and fibre content labelling as set out in the National Standards (old SABS) The regulations extend to all textile goods covered in the Harmonized System Tariff Chapters 42 � 43, 50 65 and comply with standards for international.

In terms of the Merchandise Marks Act, if there is no compliance with the regulation set out in the Government Gazette Notice, an offender, which could include a business, could find itself facing a fine of up to R5 000 per article to which the offence relates and / or 3 years imprisonment on a first conviction and R10 000 per item and / or 5 years imprisonment on a second conviction.  These penalties are severe.

The regulations have primarily been enacted to give the Government the means to take action against cheap imports coming into the country, which are not properly labelled and identified.  It is understood that Customs officials, together with the police, who are mandated to seize offending goods in terms of the Merchandise Marks Act are presently being trained to enforce the provisions of the amended regulations.

The “new” regulations replace those published in April 2005 under Notice 657 of 2005, which has been repealed with effect from 14 December 2006.  These earlier regulations were challenged before the World Trade Organization by the European Communities and the USA on the basis that they did not comply with the TBT (Technical Barrier to Trade) Agreement.  The regulations are significantly less onerous than the previous regulations and are to be welcomed.