PAPER: Lost in Translation. B-BBEE Impact on Quota Allocations

The meaning of broad-based black economic empowerment (BBBEE) has seemingly got lost in translation. Institutional power by the state has been dampened, and the constitutive power is firmly in the hands of industry despite the state-led process of BEE. The combination of these two factors has resulted in a disproportionate amount of bargaining power held by larger companies upstream and downstream.

This is a typical scenario in many industry sectors and especially South Africa’s commercial fishing industry. With the allocation of new fishing rights on the horizon, large fishing companies in the hake deep sea trawl sector (in this case) should be concerned. The line of thinking that is prevailing in the science, research, and government communities is that these companies must prepare to work with a much smaller share the pie.