According to reports, the customs division of the South African Revenue Service (SARS) is considering imposing reference price guidelines for specific leather, clothing and textile items.

The guideline price would replace the invoice price as a way of combating under-invoicing, which is said to be rife, and to clamp down on counterfeiting and the influx of cheap goods.

Counterfeiting is a major problem in South Africa; the value of confiscated clothing and textile goods has reached R31 million ($4.2 million) so far this year. However, there are fears the proposed measures will harm legitimate traders and add to costs.

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