Tyre prices could increase public transport fares

The National Taxi Alliance (NTA) has criticised domestic tyre manufacturers for applying to the International Trade Administration Commission of South Africa (ITAC) for an increase in tyre import tariffs.

The NTA says this will lead to an increase in the cost of public transport.

Taxis have already been forced to increase fares as a result of the recent fuel price increases.

The road transport and freight industries, as well as the Tyre Importers Association, are also opposing the application.

The NTA’s spokesperson Theo Malele says, “We really feel that this is going to be adding more pressure on us, even though our bottom lines are already squeezed. That will increase by 41% and you know a taxi on average would actually get two sets of tyres per year and we’re currently spending R10 000 per set of tyres.”

“So, the local manufacturers want to make more money by asking government to increase these duties. So, we are strongly opposed to that.”

Below is the full interview with Theo Malele:

Fuel price hike impact

In June, the National Taxi Alliance said the high petrol price, as well as the costs associated with vehicle maintenance, contributed to the increase.

They said that talks were in the pipeline with government to try and find an amicable solution to their plight.

The NTA proposed that taxi fares should increase by between 25% and 30% but said it is the discretion of taxi associations to decide how much they want to increase the taxi fares.

They said that the high costs of vehicle finance instalments, petrol prices and maintenance costs have contributed to the increase.

The NTA said they have been trying to absorb the costs to avoid the increase but they can no longer afford to contain the costs.

The video below discusses taxi fares:

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Source: SABC News (sabcnews.com)