By Neo Kolane
The minister of trade and industry, Thabiso Molapo, yesterday denied allegations that all imported vehicles into Lesotho shall not be above eight years for both dealers and individuals.
Molapo maintained that car dealers and individuals are still allowed to purchase import cars until the issue has been solved and agreed upon.
He described the information posted on both social media and mainstream media making this claim as ‘false’.
He said they are still in talks with relevant stakeholders as to what is the way going forward.
The government has increased the motor dealer annual license fees from M600 to M300, 000; this fee will be paid in two instalments of M150 000 twice in year.
The announcement was made by One-Stop Business Facilitation Centre (OBFC) director Monaheng Monaheng to the Car Clearing Agents Association of Lesotho (CCALL) in a letter dated March 16 2021.
The letter details the guidelines on issuance of import permit for second-hand vehicles.
The quota for each motor dealer will be 250 units per year, subject to review upon exhaustion before year end. A roadworthiness certificate will be obtained in Lesotho by motor dealers before sale to customers.
“The motor dealer license fee will be M150, 000 twice in a year. All vehicles imported into Lesotho will not be above eight years for both dealers and individuals and all clients make payment into the dealers’ local bank account.”
Molapo stated that the talks began in September when the Import Car Dealers Association of Lesotho (ICDAL) has called on government to rather action against car dealers who are involved in corrupt practices, than adopt a heavy handed approach to the entire business.
This after the ministry of trade and industry’s plans to put a temporary moratorium on the issuing of car dealership licenses were exposed last year.
After a leaked internal memo to this effect triggered a backlash, the ministry moved swiftly to do damage control by claiming it is close to completing investigations on more than five foreign dealers who were found to be operating with the same license.
Molapo said some of the owners of these businesses are based in their countries and only deploy unqualified and incompetent workers in Lesotho to run their businesses.
Molapo said they have had cases of multiple dealers using one license to trade, which left the legitimacy of their business in doubt.