Petrochemical giant Sasol should be re-nationalised, the Food and Allied Workers Union said on Tuesday.

"While welcoming the confession by Sasol on its involvement in cartel activities, we are disgusted that they do so with basic commodities affecting the poor, such as paraffin, and in input supplies that are used for the production of staple food, such as agricultural chemicals," the union said.

It was responding to Sasol's application to the Competition Commission for leniency after it found evidence of price-fixing during an internal review.

Fawu said Sasol's actions only reinforced its view that the corporation — and its chemicals division in particular — should be re-nationalised.

"Sasol is an important input supplier to fertiliser manufacturing and fertiliser is the single biggest production cost item for farmers," Fawu said.

Turning to the milk cartel issue, Fawu said it welcomed dairy processor Lancewood's decision to co-operate fully with the Competition Commission.

However, the union said the size of Lancewood's administration penalty — R100 000 — was disappointing.

Sapa

RSS
Digg
de.li.cious
facebook