Sugar Act, 1978 (Act No. 9 of 1978)Sugar Industry Agreement, 2000Chapter 7 : South African Sugar Association and Disposal of Crop179 - 181. Exports |
| 179. | There is no obligation on any mill, including a sugar beet mill, to export or provide for export that quantity of sugar that is represented by its export quota allocated in terms of clause 177. |
| 180. | Each mill shall in respect of each year provide and deliver to Sasexcor for export the quantity of sugar produced by it and which it does not sell on the local market. Sugar provided for export shall, unless the South African Sugar Association otherwise determines, comprise only bulk raw sugar and it shall otherwise comply with the terms and conditions as are or may be determined by the South African Sugar Association. |
| 181. | Sasexcor shall acquire from the respective mills all the sugar to be so exported and ensure that it is exported, according to the following provisions— |
| (a) | Each mill shall in each year sell or ensure the sale to Sasexcor and Sasexcor shall purchase all sugar which the mill concerned is obliged to provide for export; |
| (b) | The prices payable by Sasexcor shall be determined by the South African Sugar Association from time to time in order to comply with the provisions of Chapter 6; |
| (c) | Payment for sugar purchased by Sasexcor shall be made to the respective mills when the proceeds of each sale are received by Sasexcor: Provided that— |
| (i) | all export sugar delivered by mills in any one month, the proceeds of which are not received during the succeeding 90 days from the end of that month shall, on the expiry of the said 90 days, be financed by Sasexcor to the full extent of the estimated value at which export sugar is to be paid for by Sasexcor and the South African Sugar Association shall at the same time finance Sasexcor to the full extent of the estimated value of the proceeds which Sasexcor will pay for the sugar in accordance with the provisions of clause 186; |
| (ii) | in the case of sugar sold in respect of which the proceeds are not received by 31 March in each year Sasexcor shall finance mills and the South African Sugar Association shall finance Sasexcor in accordance with the provisions of paragraph (i) until payment is received; and |
| (iii) | a mill which, as at the end of the year concerned, has not delivered in full to Sasexcor sugar to the full extent of its export obligation, shall not be entitled to receive payment in terms of the foregoing provisions in respect of the shortfall until the shortfall has been so delivered; |
| (d) | The sale and delivery to Sasexcor of sugar to be purchased by it shall be deemed to be effected immediately prior to delivery to the buyer to whom it is re-sold on condition that any export sugar unsold as at 31 March in any year shall be purchased by and delivered to Sasexcor on that date and the South African Sugar Association shall in turn purchase from Sasexcor, at a price to be agreed between them, any such sugar; |
| (e) | Sasexcor shall bear no risks or other liabilities or obligations in respect of any of the sugar purchased or sold by it and the South African Sugar Association shall accordingly indemnify Sasexcor and hold it harmless against any claim which Sasexcor may be compelled in law to meet, subject to any right of recovery which the South African Sugar Association or Sasexcor may have as against any mill or other person; and |
| (f) | The South African Sugar Association shall be responsible for ensuring that Sasexcor performs its functions in terms of this agreement. |