Durban – Two business forums have differing views about the South African National Roads Agency Limited (Sanral) awarding contracts to foreign owned companies.
While the Federation for Radical Economic Transformation has revealed that it has written to Sanral seeking clarity on the appointments, the Delangokubona SA Business Forum welcomed the appointment of the Chinese companies.
Sanral board announced this week that it had awarded four tenders worth more than R8 billion.
Three of the contracts went to China Communications Construction Company Ltd (CCCC) and China State Construction Engineering Corporation (CSCEC) in joint ventures.
In a statement from Delangokubona, the forum’s Nathi Mnyandu said while they were sad that given the economic crises the country was experiencing, major projects were awarded to foreign companies, they had not benefited in any way when local companies got big contracts.
“Let us give the Chinese a chance because we get nothing from local big businesses anyway. The Chinese have been in this country for a very long time so they deserve to be given a chance,” the statement said.
Approached for comment yesterday, the Federation for Radical Economic Transformation’s secretary-general, Robert Ndlela, said it would make its position clear once it had received a response from Sanral confirming that it written to the agency.
“Delangokubona is our affiliate but they are autonomous (and) hold their views and we will formulate ours once we have that response,” Ndlela said.
Sanral in a statement on Wednesday defended its decision to appoint the Chinese contractors, pointing out that the process had been adjudicated by the Development Bank of Southern Africa.
The agency stressed that South African law did not prohibit any foreign company from doing business in the country. In addition, it said, it was the quality of a bid that won a tender and not the nationality of the bidder.