South Africa seeks to halt used rail track exports to curb theft

South Africa’s trade minister proposed new regulations to prohibit the export of used rail tracks and increase restrictions on copper-product shipments as the government tries to combat theft and vandalism of public infrastructure. 

Trade and Industry Minister Ebrahim Patel proposed banning the export of the rail tracks until Dec. 15 and limiting the sources of copper that can be used to produce semi-finished products for export, so the source of the metal can be more easily verified when issuing permits. 

Exporters are shipping ferrous scrap rail tracks that may have been stolen, using a loophole in measures that currently prohibit scrap-metal exports, Patel said a request for comment published in the Government Gazette on Wednesday. 

The theft and export of copper cables and other infrastructure has been a major contributor to power cuts and disruptions on rail lines that hamper transportation by companies such as Kumba Iron Ore Ltd. and Exxaro Resources Ltd. 

Genesis Analytics has estimated that copper theft cost the South African economy more than 46 billion rand ($2.6 billion) in 2020-21, according to the notice.