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JPRS-SSA-87-028

30 MARCH 1987

Sub-Saharan Africa Report

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JPRS-SSA-87-028

30 MARCH 1987

SUB-SAHARAN AFRICA REPORT

CONTENTS

INTER-AFRICAN AFFAIRS

African Petroleum Producers Association Meets

(NEW NIGERIAN, 28, 29 Jan 87; DAILY TIMES,

28 Jan 87) 1

Draft Statute Ratified, Provisions 1

Statute Signed by Majority of Attendees 2

Egypt, Libya Agree To Work for Association's Survival 2

Study Urges Reevaluation of Industrial Priorities

(Sebastien Laborie; JEUNE AFRIQUE ECONOMIE, Dec 86) 4

ANGOLA

West Accounts for Over 80 Percent of Foreign Trade

(0 JORNAL, 30 Jan-5 Feb 87) 10

Briefs

'Independent Democrats' Message 13

GUINEA-BISSAU

¥ieira's Visit to London Assessed

(Fernando de Sousa; DIARI0 DE N0TICIAS, 20 Dec 86) 14

Briefs

French Influence Increases 16

MOZAMBIQUE

Red Cross Storage Bins Go Up With Swedish Help

(THE HERALD, 9 Feb 87) 17

-a -
NAMIBIA

Palestinian Women's Union Official Stresses Solidarity

(NOTICIAS, 20 Feb 87) 18

Chissano Calls for Austerity in Maputo Speech

(NOTICIAS, 3 Feb 87) 20

Labor Minister Discusses Salary Increases, Taxes

(Aguiar Mazula Interview; NOTICIAS, 2 Feb 87) 23

New Executive Councils To Be Restructured

(NOTICIAS, 5 Feb 87) 27

New Beverage, Tobacco Prices Announced

(NOTICIAS ,5 Feb 87) 29

Sofala Highway Rehabilitation Project Underway

(Izequiel Guazai; NOTICIAS, 5 Feb 87) 31

Water Resources Institute To Be Created Soon

(NOTICIAS, 5 Feb 87) 33

Light Industry Secretary Explains Economic Rehabilitation Program

(Francisco Caravela Interview; NOTICIAS, 20 Feb 87) ..... 35

Food Aid for MNR Victims in Manica

(NOTICIAS, 30 Jan 87) 42

Breakdown by Province of People Needing Emergency Aid

(THE ARGUS, 18 Feb 87) 44

Tete Refugees Find Shelter in Moatize Railway Yard

(Omar Ahmid; THE SUNDAY MAIL, 22 Feb 87) 45

Sussundenga Farmers Get Ready for Harvest

(NOTICIAS, 4 Feb 87) 46

New Collective Farming Methods Introduced in Inhambane

(Bento Niquice; NOTICIAS, 5 Feb 87) 49

Briefs

Italy To Finance Agriculture 52

Tete Expecting Higher Incidence of Famine 52

SWAPO Claims West 'Plundering' Uranium

(PANA, 6 Mar 87) 53

Police Confirm SWAPO Members Lashed to Vehicle

(Umtata Capital Radio, 6 Mar 87) 55

- b -
NIGERIA

Nujoma Claims RSA Escalates Violence

(Harare Domestic Service, 6 Mar 87; SAPA, 6 Mar 87) 56

Interview With ZBC 56

Interview With ZIANA 56

SWATF, SADF, SWAPO Report Attacks, Casualties

(Various sources, various dates) 59

SWATF Statement 59

SWAPO Press Release 60

SADF Statement 61

Police Commissioner Vows Inquiry Into Beatings

(SAPA, 9 Mar 87) . 62

Whites Visit Zimbabwe To Observe Majority Rule

(SAPA, 10 Mar 87) 63

Babangida Opens Annual Army Staff Training Conference

(Nkem Agetua; NEW NIGERIAN, 27 Jan 87) 65

Aikhomu Announces Donation to Non-Aligned Africa Fund

(NEW NIGERIAN, 27 Jan 87) 66

UN Panel Resettles, Integrates Refugees

(DAILY TIMES, 31 Jan 87) 67

Subsidy To Be Removed from Crude Oil, Price Increase Expected

(SUNDAY TRIUMPH, 1 Feb 87) 68

Bank Manager on Central Bank's SFEM Intervention

(NEW NIGERIAN, 28 Jan 87) 70

Survey Blames SFEM for Drastic Drop in Standard of Living

(Bukky Wilson; SUNDAY NEW NIGERIAN, 1 Feb 87) 71

National Directorate of Employment Launched

(NEW NIGERIAN, 31 Jan 87; DAILY TIMES, 31 Jan 87) 72

Programs of New Directorate Highlighted, by

Suleiman Dangana 72

Guaranteed Loan Scheme Established . 73

Abuja Plot Holders Told To Develop or Relinquish

(Ibrahim Biu; NEW NIGERIAN, 31 Jan 87) 74

Briefs

Equatorial Guinea Cadet Training 75

New Airline Services Abuja 75

- c -
REUNION

ZAIRE

Briefs

Preparing for Elections

New Right-Wing Daily Planned

Construction Industry Recovers

76

76

76

Briefs

Agricultural Agreement With Portugal 77

ZAMBIA

Kaunda Offers To Mediate in Namibian Conflict

(Brendan Seery; THE STAR, 6 Mar 87) .. 78

ZIMBABWE

Senator Urges Retaliation for Machel Death

(SAPA, 6 Mar 87) 79

Briefs

Surplus Maize Storage Costs

Coffee Production,Earnings Increase

80

80

SOUTH AFRICA

AFRIKANER/GOVERNMENT

CP Deputy Leader Rejects HNP Cooperation Proposals

(Johannesburg Domestic Service, 3 Mar 87) .

Treurnicht: Elections Too Near for CP-HNP Unity

(SAPA, 5 Mar 87)

Briefs

Black ID Backlog Denied

Aliens Act Arrests

1986 Deportations

Trespassing Arrests

SADF Denies Chissano Claim

81

82

84

84

84

84

85

BLACKS

Briefs

Transkei President Banishes Four

Black Ownership of TV

Ihkatha Blamed for Violence

Black Housing

Arrests of Black Strikers

86

86

86

86

87

d -
SOCIOPOLITICAL/OTHER

Country To Face 'Long-Term' Refugee Problem

(THE ARGUS, 11 Feb 87) 88

Kruger Park Gets 300 Refugees Per Month

(Dirk Nel; THE STAR, 9 Feb 87) 89

University Heads Concerned About Coercion on Campus

(SAPA, 4 Mar 87)

ECONOMIC

90

Wits Students Protest SADF Presence at Turfloop

(SAPA, 4 Mar 87) 91

PFP Will Not Withdraw in Independents Favor

(SAPA, 3 Mar 87) 93

SABC Suspends Employee Standing as PFP Candidate

(SAPA, 5 Mar 87) 94

Court Hearing Emergency Detainees' Appeals

(SAPA, 3 Mar 87) %

Schwarz Blames Unemployment for Rising Crime

(SAPA, 5 Mar 87) 98

Commentary Discusses Realities of Reform

(Johannesburg Domestic Service, 5 Mar 87) 99

Briefs

Survey Shows Decline in NP Support 101

1,624 Apply To Change Race 101

Universities Limit Election Appearance 101

Children in Prison 102

PFP Warns Voters of 'Right-Wing' 102

NRP Leader Urges Black Participation 102

Country Losing Skilled Professional, Management Talent

(SAPA, 2 Mar 87) 103

U.S. Norton Abrasives Firm Announces Disinvestment

(SAPA, 4 Mar 87) 105

Commentary Notes 'Second Thoughts' on Disinvestment

(Johannesburg Domestic Service, 6 Mar 87) 106

Statistics Reveal Decline in White Incomes

(SAPA, 4 Mar 87) 108

- e -
Manufacturing Activity Continues To Improve

(SAPA, 4 Mar 87) 110

AMCHAM To Administer Sullivan Principles

(SAPA, 4 Mar 87) Ill

Briefs

Increase in Manufacturers' Profit 112

Supermarket Workers Win Wage Increase 112

Retail Trade Figures Show Increase 112

New Oil Find Not Viable 113

Mobil Oil Group Will Not Divest 113

f -
AFRICAN PETROLEUM PRODUCERS ASSOCIATION MEETS

Draft Statute Ratified, Provisions

Kaduna NEW NIGERIAN in English 28 Jan 87 pp 1, 3

[Text]

INTER-AFRICAN AFFAIRS

OIL ministers and heads of

delegations to the inaugural

meeging of the African

Petroleum Producers'

Association (APPA) on Monday in Lagos resolved that the

association's draft statute be

ratified by member coun*-

tries' governments, and not at

the conference venue,.sources

said.

The sources told the News

Agency of Nigeria (NAN) that

the agreement followed observations by some member

countries that the statute required closed scrutiny.

They said the delegations,

under the chairmanship of

Alhaji Rilwanu Lukman,

Nigeria's Petroleum

: Resources Minister, decided,

that the association should

have a permanentsecretariat.

The association's council of

ministers would decide at

their subsequent meetings on

the siting and mode of funding

the secretariat.

The delegations also agreed

to use English as the medium

of expression at meetings, but

made provision for the use of

interpreters by delegations

which so desired.

The sources said the delegations resolved to elect APPA

president in advance of any

meeting, but designated Alhaji Rilwanu and the Congolese Oil Minister, Mr:

Rodolphe Adada, as chair—

man and alternate chair

man respectively in the interim,

pending the ratification of the

statute by member countries.

The statute provides for the

election of the host country's oil

minister as the president,

another oil minister as alternate

president.

Meanwhile, Egypt and Libya

have pledged to co-operate to ensure the survival of the African

Petroleum Producers' Association (APPA) in spite of their

political differences, Dr. Hussein

Abdallah, senior under-secretary

in the Egyptian Ministry of

Petroleum, has said.

Dr. Abdallah, whose country

has spur relations with Libya

because of itsrenewal of ties with

Israel, told the News Agency of

Nigeria (NAN) that although

"there might be conflict in

politics, in technical aspects

never".

He said at vaiwus occasions,

African experts had always constituted a unified bloc.

The official said Egypt was in

total support of any activity

geared toward African unity and

mutual co-operation, and that his

country had given assistance to

such countries as the Sudan,

Burundi and Somalia on

petroleum-related matters.

Dr. Abdallah said his delegation would not sign the draft

statute of APPA at the current

conference, explaining that the

Egyptian government would

need to carefully study the document.

Dr. Abdallah expressed' the

hope that Egypt would join the

association at a later date. "After

the government might have

studied the document, hopefully

we can come later and sign," he

said:

On whether the non-attandance

of the Egyptian oil minister was

not deliberate because of the

presence of the Libyan delegation. Dr. Abdallah said the

minister had a "slipped disc" and

had notified the chairman of APPA, Alhaji Rilwanu Lukman.
Statute Signed by Majority of Attendees

Kaduna NEW NIGERIAN in English 29 Jan 87 pp 1, 3

[Text] FIVE ofthe nine member countries of the African Petroleum

Producers; Association (APPA)

have signed^ the> statute of the

association while three others

merely initialledit:

Egypt which attended- the inaugural conference in Lagos

neither signed the statute nor the

resolutions because- of its

observer status..

According to the' country's

head of delegation; Dr. Hassein

Abdallah, his country didnot participate in the two preliminary

meetings which produced the

technical details of the1 associa^

tibn's» formation and as such

would1; need' tune -toi study the

details.' He; however; expressed nis

country'ssupport for(be association and its willingnessito join in •

the future.

Conference chairman, Nigeria's

Petroleum Minister, Alhaji

Rilwanu Lukman, explained that

the delegations which did notsign

the statute wanted to get the for*

mal. approval of their, governments todo'so.

A conference communique

stated that the statute'itself: has

to be formally ratified by the

various governments, according

to prevailing laws of the land..

Mr. Belkacem Nabi; Minister

of Energy, Chemicals and

Petroleum. Industries of.Algeria,

was elected as the first president

of the association, while Mr.

Pedro De Castro Van Dunerii

(LOY) Minister for Energy and

Petroleum of Angola was elected

alternatepresident.

Alhaji Rilwanu said on Tuesday that the countries which produced the presidency would provide initial secretarial services

for the association until further

notice.

He repeated his earlier statement that APPA would work in

full cooperation with the

Organisation of Petroleum Exporting Countries (OPEC) and

expressed confidence in the actions so fartaken by the organisation to stabilise the oil market.

The next meeting of the APPA

will hold in Algiers, on July 20.

Egypt, Libya Agree To Work for Association's Survival

Lagos DAILY TIMES in English 28 Jan 87 pp 1, 13

[Text]

EGYPT and Libya will

co-operate to ensure

the survival ofthe African

Petroleum ProducersAssociation (APPA) tar

spite of then-, political

differences. Or. HusseinAbdallah, senior under?

secretary in the Egyptian

Ministry of. Petroleum,

has said in Lagos.

Dr. Abdallah, whose

country has sour relations

with Libya because of its

renewal ofties with Israel,.

told the News Agency of

Nigeria (NAN) that

although "There might be

conflict in politics but in

technical aspects never".

He said that at various

occasionsin the continent,

African experts had

always constituted aunified bloc.

The official said that

Kgypt was in total

support of any activity

geared' toward African

unity and mutual cooperation and that, his

country haä given

assistance to such

countries as the Sudan-,

Burundi and Somalia on

p et r o 1 eu m -r el a t ed

matters. - Dr. Abdallah said that

his delegation would not

sign the draft statute of

APPA at the current

conference, explaining

that the Egyptian

Government would, need

to carefully study the
document. because ofthe presence of

~ Dr. Abdallah expressed- theLibyandelegation, Dr.

the hope, that Egypt Abdallah said that the

would join the associa- minister had a "slipped

. tion as a later date. "Alter. disc" and hadnotified the

the government might chairman of APPA,

have studied .the Alhaji Rilwann Lnltman.

document; hopefully- w* &„„„ dose to um

can come later and sign. confershadearlkr «aid

^ u .u _•. ^ that following the

\iD«i^ST S ThT objections *

,tta Ubyaa

Z^m°L£Z djjj« over the

wS? not deliberate f^;^*^

agreed to be dnwignsted

observers.

They disclosed that

Algeria. Libya an Gabon

— there ofthe four African OPEC members in

APPA — were eager to

get the association off the

The other potential

members „ of APPA are

Cameroun, -Congo, Benin

angola, Egypt an OPEC

member, Gabon;

/9274

CSO; 3400/205
INTER-AFRICAN AFFAIRS

STUDY URGES REEVALUATION OF INDUSTRIAL PRIORITIES

Paris JEUNE AFRIQUE ECONOMIE in French Dec 86 pp 90, 93, 95-97

[Article by Sebastien Laborie: - "Industry Faced With a Choice"]

[Text] Industry in Sub-Saharan Africa is in trouble. It is going through

a profound crisis that could put the region even further behind in the process

of industrialization. The limitations of industrial policies adopted in the

past were revealed by the world crisis in the 1980's, during a period when

competition between enterprises intensified.

A study completed in 1986 by experts with the SEDES (Economic and Social Development Studies Company) and Ministry of Cooperation officials enables us to

better evaluate the industrial situation countries of Sub-Saharan Africa and

outline future prospects. (Footnote 1) (Christine Brochet and Jacques

Pierre: "Industrialization of the Countries of Sub-Saharan Africa. Case

Studies of Ten Countries (Cameroon, the Ivory Coast, Gabon, Ghana, Kenya,

Niger, Nigeria, Senegal, Zaire and Zimbabwe)." SEDES-Ministry of Cooperation

Paris, 1986)

The countries of Sub-Saharan Africa began the industrial development of

their raw materials for export rather late, with the exception of certain

nations such as the Ivory Coast, Mauritius or Zimbabwe. The very clear

specialization of their industries in certain consumer goods (agro-food industries, textiles-clothing, common consumer equipment) resulted in a very

weak intersectorial integration. Marked phenomena of dependency resulted' in

almost incompressible imports of semi-finished products, intermediate goods

basic equipment and spare parts. The nearly general underutilization of existing production units is a well-known fact, but what are the causes? A poor

initial evaluation of projects, excess production capacity, maintenance problems , and so on.

The structural and regional concentration of industry is accompanied by control of the latter by a few large enterprises: national companies or subsidiaries of foreign firms, depending on the country's investment system, generally located in capitals or ports (Abidjan, Dakar, Douala, Nairobi, Lagos).

These large enterprises have mainly become involved in the solvent market of

the wealthier groups of the population. The weakness of the system of small

and medium-size enterprises is noteworthy in all the countries. This phenomenon now poses a major problem confronted with the demographic explosion,

accompanied by rapid urbanization.
In addition, the African industries suffer from a lack of competitiveness

confronting competition from the countries of Southeast Asia in particular.

This limits exports of manufactured goods to regional markets (the CEAO,

ECOWAS, the SADCC [South African Development Coordination Conference]). This

lack of competitiveness is mainly linked to the inadequacy of management and

organization methods, the high cost of excessive expatriate personnel, the

poor quality of products and the poor planning of projects.

By the end of the 1970's, the reversal in the world market for the main raw

materials resulted in growing negative payments balances due to the marked

dependency of African countries on one or two products for the obtention of

their foreign exchange receipts (coffee and cacao for the Ivory Coast, peanuts

for Senegal, uranium for Niger, copper for Zaire and Zambia and bauxite for

Guinea).

International limitations, plus the highly negative effects of the increase in

the dollar and interest rates exposed the structural weaknesses of national

economies (decline in agriculture for food, growing public debt, the excessive

size of many projects).

The crisis affected all productive sectors, particularly industry. The consequence: A very clear decline in industrial production has been obvious in all

countries since the early 1980's.

Three factors explain this evolution: first of all, the contraction of

domestic and regional markets linked to the reduction in public investments

and the drop in purchasing power of the people; second, the blockage, because

of the scarcity of foreign exchange, of imports indispensable to the proper

operation of existing enterprises; and finally, the lack of competitiveness

of African products on major export markets in terms of both price and quality.

The crisis has particularly affected public and parapublic enterprises.

Facing a rapid growth in their foreign debt, most Sub-Saharan African countries

have been forced, under the supervision of the International Monetary Fund

and the World Bank, to undertake restrictive austerity and rehabilitation

programs as the condition for obtaining a rescheduling of their debts. At the

present time, this restriction is one of the main obstacles to their industrial

development.

Three tendencies would mark their evolution: the complete reorganization of

national companies and/or joint ventures, accompanied by a process of generalized privatization; priority granted to the rehabilitation and maintenance of

existing units; and emphasis placed on the sector of small and medium-size

enterprises and industries (PME and PMI), with a clear halt in the construction of major industrial complexes.

These tendencies fit into an overall movement of the disengagement of the

state, accompanying the definition of new industrial policies.

Facing these limitations, new specializations should appear, based on the

double need to gradually achieve national or regional food self-sufficiency and

have more room to maneuver in terms of foreign exchange, either through a reduction in imports or an increase of exports of manufactured products.
«

These are the main conclusions that emerge from the study by Christine Brochet

and Jacques Pierre. Detailed monographs have been completed of ten countries

considered to be a representative sampling of nations in the region, based on

certain criteria (production and manufacturing value added, industry's share

of the GNP, rate of growth of industrial sector). Appendices group the main

enterprises by sector and draw up a list of the main Industrial projects.

Sectorial specializations vary quite clearly between agricultural countries

(Cameroon, the Ivory Coast, Ghana, Kenya or Senegal) and those having mining

revenue, such as Niger and Zaire and/or oil income (Gabon and Nigeria). Only

one country seems to be an exception: Zimbabwe, which at the time being

has a relatively more diversified and prosperous industry.

Without going into the details of the conclusions of each monograph, it is

interesting to emphasize the specificity of certain experiences. The following

are brief summaries of the lessons that emerge from studies on the Ivory Coast,

Gabon and Niger, countries with very different primary vocations and having

achieved different levels of industrial development.

With fertile land and good climatic conditions, the Ivory Coast has based its

development on export agriculture (coffee, cacao and later, palm oil and

cotton), the gradual diversification of national productive sectors and an

opening to the outside. This policy has enabled it to begin an industrialization process initially oriented toward the domestic market by substituting nanational products for imported consumer goods (agrofood industry, textiles,

chemical and oil products). Starting in 1970, the creation of a new generation

of industries permitted the development of local resources for the purpose of

export (launching of six sugar complexes, palm-coconut plantation plan, integrated textile units, wood industries).

The industrial sector, which is largely dominated by agro-food industries

(40 percent of the turnover of industry), has experienced very rapid growth

(up about 14 percent annually)until the end of the 1970's, mainly due to the

contribution of foreign capital. The Ivory Coast, which has the largest industry in French-speaking Black Africa, is in third place in Sub-Saharan Africa

regarding the level of the manufacturing industry, behind Nigeria and Zimbabwe.

However, since the beginning of the 1980's, it has been going through a difficult phase, mainly linked to the reversal of the world coffee and cacao market,

which has forced the government to gradually revise its development policy,

given an increasingly imbalanced financial situation. The world crisis has

brought to light certain weaknesses in the country's development: programs

that are too costly or too big, problems managing national firms, a growing

imbalance in the financial situation, the exclusion of certain strata of the

population, and so on. The failures of the sugar program made it necessary,

for example, to close the Serebou and Katiola complexes in April 1984 and

reorganize the entire sector.

Industrial activities have been greatly upset, resulting in difficulties for

many local units (contraction of the domestic market; underutilization of

production capacities; problems of maintenance and the supply of spare parts;
a slump in industrial investments; a decline in the performance of industry on

export markets) and a decline in industrial production (down 3.9 percent in

1982, 14.9 percent in 1983 and 5 percent in 1984). The growth in the foreign

debt and worsening of the deficit in the balance of payments forced the Ivory

Coast to negotiate with the Clubs of Paris and London for a rescheduling of

its debt. It was accompanied by the adoption of a policy of austerity since

1983 and the launching of a structural adjustment program (PAS), accompanied

by a new industrial policy. The Ivorian Government thus made the decision

to bring about a complete reform in the system of industrial incentives in

1984-1985, with a revision of customs duties and the establishment of a new

investment code.

The goal pursued is revival of growth in the industrial sector, by encouraging

the creation of competitive industries. The launching of this reform will

profoundly modify the industrial policy of the Ivory Coast in the direction of

greater priority granted to small and medium-size enterprises, a regional

decentralization of industries outside of Abidjan and greater openness of the

Ivorian economy to the outside. This will also force all Ivorian enterprises

to reorganize.

Gabon's case is also instructive. Starting in the 1970's, oil has been the

basis for the country's economic boom. Although declining since 1977, crude

oil production still exceeded 8 million tons in 1985. The oil sector thus

largely dominates Gabonese industry and its economy in general (45 percent of

the GNP, 85 percent of all exports, 65 percent of all budget receipts). Three

companies, two of them French, provide nearly all production, but the most

marked feature is the domination of ELF-Gabon [Gasoline and Lubricants Company

of France], in which the state holds only 25 percent of the capital. ELF-Gabon,

which largely leads Gabonese enterprises in turnover (over 450 billion CFA

francs in 1985), has nearly 70 percent of Gabon's oil production. Outside of

its exports, it supplies crude to the country's only refinery, located at Port

Gentil, since the buyout of COGER [Gabon ELF Refinery Company] by SOGARA

[Gabonese Refining Company]. The turnover of the new company is over 65 billion CFA francs, putting it in fourth place among Gabonese enterprises, behind

two other enterprises in the oil sector, PETROGAB and Shell Gabon.

These few facts emphasize the preponderant weight which oil revenue plays in

Gabon's economy and largely explain the financial problems that the country

has experienced since the reversal of the oil market in 1982 and the increasingly difficult conditions of local oil operations, given the gradual exhaustion of

the deposits.

The drop in foreign exchange receipts has resulted in a rapid increase in the

public deficit, forcing the Gabonese Government to adopt an austerity budget in

1986. In order to prepare for the post-petroleum period, the adoption of a

3-year program for 1986-1988 should permit a gradual diversification of productive sectors. Industries to be developed with priority are those permitting

the upgrading of natural resources and for which there is a local market (without excessive protection), a regional market (UDEAC [Customs and Economic Union

of Central Africa] and even CEAO countries) or outside market (particularly

industrialized countries): agriculture and agro-industry, fishing and derived
industries, forestry and wood industries, mining resources processing industries (particularly manganese).

Gabon thus tries to set up a development policy that reduces its dependency

on the fluctuations of the world oil market and therefore, its fragility,

seeking to increase the participation of nationals in industry through the

promotion of local PME's and by developing its considerable natural resources.

In Niger, the industrialization process has been marked by the development of

uranium deposits at Arlit by SOMAIR [Air Region Mining Company] in 1971, then

that of the Akouta deposits by COMINAK [Akouta Mining Company] in 1978, the

mining sector being largely dominant in industry.

The development of uranium mining has thus radically transformed the traditional aspects of the Nigerien economy, characterized by structural handicaps

(low population density, a country that is two-thirds desert and totally

landlocked in the center of Black Africa, vulnerability to climatic conditions),

Niger has thus become a country with mining income specializing in monoproduction of uranium (nearly 70 percent of total exports, 41 percent of the

government's public receipts). This radical modification of the economic

structure made it possible to launch a rapid process of growth until the beginning of the 1980's (up 8.6 percent on the average between 1976 and 1980),

thanks to the quintupling of world prices between 1974 and 1979. But this

growth was accompanied by increasing dependency on the world uranium market.

This limitation greatly explains the economic and financial crisis that Niger

has experienced since 1981. The fourth-ranking producer in the world, it

has endured the full impact of the collapse in world prices and the rapid

decline in the demand of industrialized countries relating to the halt in

nuclear programs.

These difficulties were heightened by the drought in 1983-1984. Nigeria's

decision to close its borders in April 1984 forced the government of President

Seyni Kountche to adopt an austerity policy. The interim consolidation program

(1984-1985), completed by a 3-year investment program (1986-1988), represents

a pause in the development of the Nigerien economy, whose top priority over

the years ahead will be food self-sufficiency.

If a certain financing effort helping the industrial sector continues, it is

accompanied by a reorientation of investments. In the mining sector, it is

aimed at attenuating the vulnerability of the Nigerien economy vis-a-vis the

world uranium market by a process of diversification (particularly tin ore,

development of coal deposits).

In the manufacturing industry, which is embryonic, two tendencies should mark

prospects of evolution: the rehabilitation and modernization of existing units

and emphasis placed on development of the PME's and handicrafts in order to

meet the consumer needs of the local market.

However, uranium remains the basis of Niger's long-term development and its

main industrial asset, with reserves estimated at 214,000 tons. In the
immediate future, Niger will have to continue to accept great dependency on

foreign aid, given the burden of servicing its debt, while awaiting a resumption in the demand for uranium, which will not come before the mid 1990's.

These three examples point up the diversity of situations and the benefit of

a detailed approach in order to discern future prospects of industry in

Sub-Saharan Africa. In conclusion, one must emphasize the dominant weight

of Nigeria, given its wealth of agricultural and mining resources and the

importance of its domestic market.

The economic attraction exercised by this giant has consequences on the economies of bordering countries. Part of their food production (niebe, sorghum)

is sold to this English-speaking country which, particularly because of the

existence of a "parallel market," offers attractive prices. Likewise, the

highly unequal potential of the markets have in the past largely blocked the

import substitution process based on foreign capital in smaller neighboring

countries. This imbalance has been strengthened by the closing of borders

decided by Nigeria in April 1984, although they were reopened in April 1986.

For the years ahead, the orientations followed by this country in its development and particularly industrialization policy will have a great impact on

the economies of countries in the region. These major trends discerned by

the study cited make it possible to indicate the top priorities that will guide

guide the industrial policy of nations in the region over the years to come.

With the top priority being food self-sufficiency, industries linked to agriculture should enjoy a new boom: agriculture for food, industrial grain processing, the canning of fruits and vegetables, the fishing industry, but

also industries making it possible to improve the productivity of land

(farm machinery, fertilizers, pesticides, and so on). In short-range terms,

the demographic explosion and urbanization will bring about an increase in

the demand for consumer goods.

11,464

CSO: 3419/94
ANGOLA

WEST ACCOUNTS FOR OVER 80 PERCENT OF FOREIGN TRADE

Lisbon 0 JORNAL in Portuguese 30 Jan-5 Feb 87 p 1 (EXPORTACAO)

[Text] Since 1983, Portugal has been the number one supplier of food products,

consumer goods, and equipment to the People's Republic of Angola (PRA), surpassing the United States as the number one exporter to that south African

country. U.S. exports to Angola are comprised essentially of products intended

for the oil industry companies.

Despite the political relationship it has maintained with the Eastern countries since the proclamation of independence on 11 November 1974, the PRA's

current trade relations with the Western countries represents more than 80

percent of its foreign trade.

A study prepared recently by the Portuguese Foreign Trade Institute v (ICEP) in

connection with the (FILDA) International Fair and revealed by the magazine

EXPORTAR last October indicates that among the official Portuguese-speaking

countries, the PRA is undoubtedly the one with which Portugal has maintained

the greatest volume of trade exchange following the independence of that

country, and the trade balance has always been favorable.

Portugal Already the Ninth Customer

Considering the total figures for Portuguese exports, in 1982 and 1983 Angola

was Portugal's 11th best customer, moving to 10th place in 1984, and 9th in

1985. in 1984, only the United Kingdom, the Federal Republic of Germany,

France, the United States, the Netherlands, Spain, Italy, Sweden, and BelgiumLuxembourg were better customers of Portugal; while countries such as Switzerland, the USSR, Japan, and Canada were positioned below the PRA.

Following independence, Portuguese exports have been increasing at a good

rate, with the exception of the drop that occurred in 1982 for reasons connected with import restrictions imposed by the Angolan authorities.

A significant decrease is expected for 1986 which will affect not only trade

relations with Portugal but also with the other countries. This drop is due

to the financial difficulties caused by the reduction of Angolan revenues

owing to the drop of the price of oil.

10
The Portuguese-Angolan trade balance has been presenting favorable balances

for our country even though the amounts are characterized by a sharp irregularity. This irregularity stems essentially from the highs and lows of our

exports, specifically after 1981, when they reached 13.8 million contos,

falling to less than half the following year (6.7 million), then rising_

spectacularly to 11.1 and 22.7 million contos in 1983 and 1984, respectively.

There was also an appreciable increase in 1985 (26.4 million contos), but a

substantial drop is predicted for this year as shown by the 6.7 million contos

recorded for the first half of the year.

Spectacular Jumps in Imports

At the same time, our imports of Angolan products took an enormous jump from

1983 (1.5 million contos) to 1984 (5.6 million contos), and an even more

spectacular jump in absolute terms in 1985, when they reached almost " »£"<»

contos. In the first half of this year, they had already reached 6.2 million

contos, which could mean that if the trend of the first 6 months is maintained,

1986 can close with a practically balanced Portuguese-Angolan balance ot

trade, which would be a first-time occurrence.

The most prominent products in the area of Portuguese exports have been cotton

textiles, food products, medicines, footwear, and some electrical equipment.

In 1985, third place in these exports went to iron or steel manufactures and

parts/with an exported value of 1.3 million contos, showing a very significant increase compared to 1983 (in eighth place with 269,000 contos) and

1985 (in 11th place with 549,200 contos).

On the other hand, Portuguese imports are primarily concentrated on two products: coffee and oil.

Angola Intensifies Economic Cooperation

Basically, there have been three countries that have led in trade relations

with Angoia for several years: Portugal, the United States, and France; the

first, because of the economic and industrial relations already existing

before independence which were maintained; the others, especially because of

the positions of American and French companies in the oil industry.

Brazil has succeeded in penetrating the Angolan market with its advantages of

a common language, geographic proximity, and low production costs In^addition to that, as a result of the Capanda project, Brazilian companies have

been supplying many other adjacent areas-civil construction, prefabricated

ho^s TraLportatLn, agro-food products and agricultural e^ip-nt services,

and equipment items-which will cause a short-term increase m the export li

gures from that country to Angola. Many of.these supplies -re negotiated on

the basis of counter-trade agreements involving Brazilian purchases of oil

from Angola.

11
On the Angolan export side, the United States is in first place and will

ahead of the other customers because more than 50 percent of the Angolan crude

oil is exported to that country. It is followed by the United Kingdom (crude

oil and diamonds),Spain(crude oil), and Brazil (crude oil).

Exports to the Socialist countries are almost nonexistent, with the exception

of coffee sold to the German Democratic Republic and Poland.

Portugal's Tirade Balance With the PRA:'1983-85 (in Millions'öf Contos)

1983 1984 1985*

Tons Cöntös Tons Cöntös Tons Contos

Exports (FOB) 80,827 11.1 109,294 22.7 86,284 26; 4

Imports (CIF) 6,657 1.5 106,614 5.6 336,645 14.0

Trade Balance 9.6 17.1 12.5

Coverage Rate '(%) 740 413 189

Source: INE/ICEP *Provisional figures

8711/6662

CSO: 3442/85

12
ANGOLA

BRIEFS

'INDEPENDENT DEMOCRATS1MESSAGE—A message from the "Independent Democrats,"

the principal signer of which is Franco de Sousa, the cofounder of the MPLA

and today an exiled dissident, gave rise to an exchange of viewpoints on the

struggle for peace and human rights in that country. The "Independent

Democrats" are a small Angolan clandestine group whose activities.have been

reported by SEMANARIO. The message was addressed to representatives of the

"Patriots' Appeal for Peace in Angola" and was sent to all member-states of

the United Nations and the Vatican. It is the first time that a contact

has been established between the proponents of this course inside and outside the country. Certain observers admit that this may be the first step of

a bloc that may fill the gap of the levels of the population that do not

identify with either of the sides at war. [Lisbon SEMANARIO in Portuguese

31 Jan 87 p 52] 8711/6662

CSO: 3442/85

13
GUINEA-BISSAU

VIEIRA'S VISIT TO LONDON ASSESSED

Lisbon DIARIO DE NOTICIAS in Portuguese 20 Dec 86 p 10

[Article by Fernando de Sousa: "Bissau Seeks To Reinforce Cooperation with

Europe"]

[Text] The private visit to London of Guinea-Bissau's president, Joao

Bernardo Vieira, was carried out in a very discreet fashion, but it appears to

have been successful in allowing him to meet with several businessmen and

potential investors, and to furnish them with data regarding the economic and

political situation in his country.

Joao Bernardo Vieira had already been to Paris and Brussels, ostensibly for

purposes of "relaxation," according to him, but his time there was devoted to

a series of meetings.

Guinea-Bissau is not one of the more often discussed countries within

political and financial circles in London, perhaps because it is considered to

have less to offer than other African countries, or because it is viewed as

more under French influence.

Recent death sentences decreed there received British press coverage for

Guinea-Bissau that could not have been pleasing to Guinean authorities.

President Vieira wanted to clarify some recently passed Guinea-Bissau

legislation which liberalized several of its economic sectors, and also to

explain his country's present political situation.

He met with representatives of several international economic groups based in

London, and discussed a broad range of topics, from construction and the

infrastructure to agriculture, tourism, and several industrial sectors. The

meetings were organized by Raja Makaran, a Lebanese who is director of an

investment firm in London, and maintains a large number of contacts within

Guinea-Bissau; it is likely that he will soon be named honorary consul of that

country to Great Britain. Subsequent to the meetings, Raja Makaran said that

he regarded the possibilities of having developed an interest in Guinea-Bissau

among British financial circles as "excellent."

14
Joao Bernardo Vieira also met in London with the assistant under-secretary of

state for cooperation, Anthony Reeve, with whom he discussed possibilities

for the development of economic relations with his country. A meeting with

more highly placed authorities was not possible due to the shortness of lead

time under which the contacts had been made.

Since its independence, Guinea-Bissau has made modest attempts at bilateral

cooperation in the areas of scientific support, foodstuffs, and economic

development. President Vieira wants to extend these as a means of counterbalancing the alleged French influence within Guinea-Bissau's part of Afrxca.

It should be noted that Vieira met with President Mitterand and Prime Minister

Jacques Chirac when he was in France.

Those meetings appear to have had practical results, involving bilateral

cooperation projects between Paris and Bissau in the area of telecommunications.

It is possible that a television station will be installed, initially with a

closed circuit to Bissau, but with the ability to broaden coverage later to

the rest of the country. Consideration is also being given to mining projects;

studies carried out by French technicians show that there are high quality

minerals there, according to President Vieira. During the Paris visit,

discussions were also held regarding financial assistance in dealing with

Guinea-Bissau's balance of payments deficits.

The French influence, however, will not act as an impediment to a widening of

Great Britain's cooperation with Guinea-Bissau. Bilateral relations were

recently reinstated through the presentation of credentials in London of the

first Guinean ambassador to the court of Saint James, Bubacar Türe, who also

represents his country in the EEC and in other western European countries.

In an interview on the BBC during his London visit, President Vieira

emphasized that the fact that he had not visited Portugal on this trip did not

mean that there were any problems in his relationship with the Portuguese

government. He said that he had bypassed Lisbon only because airline connections to there did not fit with the rest of his trip, adding that he wants to

visit Portugal in the future; he said that he wants to "express appreciation

to the Portuguese government for the understanding it showed during recent

renegotiations of Guinea-Bissau's debt payments." He mentioned the criticism

he had received from "some quarters".in Portugal with regard to death sentences

in his country, but emphasized that the criticism had not come from the

government. With regard to that issue, Vieira said that he understands such

criticism, but disagrees with it, saying that, "to a certain extent, the

criticism weighs heavily on the Guinean government, since Portugal is the

country that knows Guinea-Bissau best." He added that, "What was done in ^

Guinea-Bissau was not impulsive, but in accordance with the law of the land.

12857/12851 /

CSO: 3442/69

15
GUINEA-BISSAU

BRIEFS

FRENCH INFLUENCE INCREASES—In Guinea-Bissau, the most notable event of 1986

was the so-called "October conspiracy" against the established government, and

the sentencing of those involved, of which 12 were given the death sentence;

six of those sentenced were later pardoned, and the others were executed,

despite the appeals of various worldwide agencies that the death sentence be

commuted. Among the appeals was that of the president of Portugal Mario

Soares, and his prime minister, Cavaco Silva, both of whom later refused to

meet wxth a special envoy sent by the Guinean president, Nino Vieira; the

envoy went to Lisbon expressly to explain the reasons for Guinea-Bissau's not

having responded to the appeal. This, in turn, caused the president of

Guinea-Bissau, for the first time on one of his European trips, during which

he made an official visit to France, not to stop in Lisbon as he has always

done. And this led to a perhaps exaggerated negative reaction in Portugal to

the executions. During the course of last year the financial condition of the

country worsened, and there was a notable increase in the French influence in

Guinea-Bissau's economic, financial, and cultural sectors. Also notable was

Portugal s inability to play an equally influential role. [Text] [Lisbon

TEMPO in Portuguese 31 Dec 86 p 20] 12857/12851

CSO: 3442/69

16
MOZAMBIQUE

RED CROSS STORAGE BINS GO UP WITH SWEDISH HELP

Harare THE HERALD in English 9 Feb 87 p 5

[Text]

THE Red Cross societies of Mozambique and

Sweden have started building Mozambique's

first three warehouses to store food, clothing

and vehicle spares, says Cde Heitor Fernandos, a member of the Mozambique Red Cross

Society.

The warehouses are

being built in Maputo,

Belra and Nampula. as a

move to ease the distribution of relief materials to

the people.

Cde Fernandes, who

was attending last week's

föur-day Red Cross meeting for Southern Africa

in Harare, said at the

weekend that the Mozambique Red Cross Society,

in conjunction with the

government were doing

their best to prepare tho

country for disasters. Including those caused by

the South African-backed

MNR.

Apart from the war,

Mozambique was greatly

affected by the drought

«is well as floods, resulting in an 'Increase in

displaced persons into

surrounding countries.

In addition, the country's Ministry of Health

and the Red Cross Society,

had this year embarked

on a blood donation programme« So far, Cde

Fernandes said, a lot of

blood had been donated in

Maputo and blood-banks

were being established in

other towns.

He praised the Norwegian Red Cross Society

for proposing the disaster

preparedness programmo,

adding that it was of

paramount Importance to

Mozambique.

"We are busy training

flrst-alders, constructing

buildings, repairing vehicles and strengthening

the fleets."

As a boost to the Mozambique Red Cross disaster preparedness programme, Italy donated 25

trucks last year, ono of

them a mobile workshop.

"We are concentrating

on rehabilitation programmes to those people

who have been liberated

from the MNR. Our goal

is to make, these people

self-sufficient and as a

result, we established

three soap factories in the

Zambezla Province last

year as well as training

the people on how to run

the factories," he said.

Besides jproviduig food,

clothing, blankets, tents

and water to the people,

the Red Cross was providing education on proper

sanitation to the youths

to try and prevent diseases.

/9274

CSO? 3400/204

17
MOZAMBIQUE

PALESTINIAN WOMEN'S UNION OFFICIAL STRESSES SOLIDARITY

Maputo NOTICIAS in Portuguese 20 Feb 87 p 8

[Excerpts] The assistant secretary general of the Palestinian Women's General

Union, Mrs Yassine Zalia, said in Maputo that during her delegation's stay in

our country, she found Mozambican women deeply involved in all the struggles

of the peoples, including the struggle of the Palestinians themselves.

In her view, the battle Mozambican women are waging is against the common

enemy—imperialism, South African racism and Israeli Zionism.

The head of the Palestinian delegation made these statements just prior to her

departure following the visit she paid to our country at the invitation of the

Organization of Mozambique Women (OMM).

Defining the purposes of her delegation's visit to our country, Yassine Zalia

said that it was intended first of all to strengthen the friendship existing

between the two organizations.

On the other hand, another purpose was to offer condolences to the women of

Mozambique, and to Mrs Graca Machel personally, in connection with the death

of President Samora Machel.

Another of the purposes of the visit was to congratulate President Joaquim

Chissano, through the OMM, on his election to the highest office in the

nation.

"In the talks we had with ou Mozambican comrades, we encountered warmth,

understanding and friendship. We depart with greater courage and

determination to pursue the struggle to put an end to the difficult situation

in which our Palestinian people find themselves at present," Yassine Zalia

said.

Speaking about her organization, she defined the Palestinian Women's General

Union as the main base of the Palestine Liberation Organization for mobilizing

and organizing Palestinian women wherever they may be in the struggle being

waged by their people for the recovery of their territory, which the Zionists

have occupied.

18
The head of the delegation said that this organization is pursuing social

projects in all of the Arab countries and in the refugee camps, where the

majority of the Palestinian people are presently living. She added that the

organization has 15 branches in various Arab countries, where the women are

engaged in work in support of the struggle to recover their usurped lands.

"Our struggle is no different from that of other peoples who are fighting for

their liberation. We are in the trenches with all of the women of southern

Africa, the SWAPO, the ANC and the Front Line countries, because in the

struggle we are waging, the enemy is the same—imperialism, YassmeZalia

said.

Concerning the role of Palestinian women in opposing the war sponsored by

Israel, Yassine Zalia said that alongside their sisters and husbands, they are

doing significant work in support of education and the combatants.

Palestinian women, who also bear arms in the militia, are fighting in the

trenches with the men dedicated to the struggle to liberate their fatherland.

The Palestinian Women's General Union delegation is traveling to several

countries in southern Africa, and is at the present time paying a similar

visit to Zimbabwe, at the invitation of the women in the ZANU. According to

the head of the delegation, this visit has the same purpose as that to the

OMM, to strengthen relations between her organization and the ZANU-FP section.

5157

CSO:3442/102

19
MOZAMBIQUE

CHISSANO CALLS FOR AUSTERITY IN MAPUTO SPEECH

Maputo NOTICIAS in Portuguese 3 Feb 87 p 8

[Text] President Joaquim Chissano said that the present time must be characterized by much work and few speeches so that we may be able correctly to

implement the provisions of the Economic Rehabilitation Program announced

recently by our government. The chief executive of the Mozambican nation

made this statement when he addressed a crowd gathered before the Party Committee headquarters building in the capital, which the chief of state visited

yesterday. In a direct, instructive, and communicative speech, President

Chissano exhorted the population of the capital to produce everywhere possible

as a conscious participation in substantially increasing food production, the

major contribution of which is made by the family sector together with the

cooperative sector.

President Joaquim Chissano arrived at Party Committee headquarters on Angola

Avenue in the capital at about 0930 hours on the second scheduled day of a

visit to the city of Maputo for the purpose of familiarizing himself with the

political, economic, military, and social situation of our country's principal city.

Accompanied by the secretary for administration and cadres of the FRELIMO

Party Central Committee and by the minister of Construction and Waters, the

president was received by the first secretary of Maputo City, Jorge Rebelo,

and the other members of this party organ.

It is the first official visit the chief of state has made to the city of

Maputo. Last Sunday he was in Inhaca Island, where he listened to the many

problems affecting the inhabitants of that insular segment of the capital.

The basic message left by President Chissano in.his open dialogue with the

population of the capital was that the time is very difficult, and asking

each of us for greater courage and determination.

The chief of state reaffirmed the principle that it is necessary for us to

eat little every day with the certainty that tomorrow will be better, rather

than fill our belly one day and have nothing to eat the next.

20
"The results of the Economic Rehabilitation Program are not easy and its

results cannot be felt from one day to the next. It will take some timebetween 3 and 4 years—and then each will begin to feel the first effects:

when your child will be able to enroll in school, when it will be possible

to obtain an aspirin in the hospital—which you cannot do today, or when your

child will be able to buy a pencil in a bookstore," explained President

Chissano in his speech to the people of the capital gathered in front of the

Party Committee headquarters on Angola Avenue.

The large crowd, comprised mainly of women members of their organization,

listened attentively to President Joaquim Chissano's words and all understood

that the only way for us to get out of this situation of poverty is for each

at his work place to produce more and more, and better and better.

Chissano reaffirmed that it is not the principle of the FRELIMO Party or the

state to undertake mass dismissals of workers from their jobs but to find^the

most correct way of utilizing the cadres we have on the basis of each one s

know-how and capabilities.

The chief of state called attention to the possible emergence of demagogic

and opportunistic attitudes that will do everything to denigrate the main

objectives on which the program for the rehabilitation of our economy are

based.

The City in Which We Live

In the restricted meeting that President Chissano had with the various levels

of the City Committee, a report was heard analytically and systematically

describing the main political, ideological, military, and social problems

faced by the capital.

Presented by its first secretary, Jorge Rebelo, the report was not only an

enunciation of the problems of a city of about 1 million inhabitants but,

with the same realism, it also indicated ways to solve those problems.

Problems came to light related to the utilization of the popular militias _

as paramilitary forces in support of the FPLM in the noble struggle to liquidate the armed bandits of the racist Pretoria regime.

Speculation, lawlessness, and juvenile delinquency were other points included

in the City Committee report presented to the chairman of the FRELIMO Party

and president of the People's Republic of Mozambique, Joaquim Chissano.

After the presentation of the report, there was a discussion period regarding the document during which President Chissano and some secretaries of the

urban districts and the ODM's spoke.

In summary, it became clear to all that the central organs of the party, the

state and the Armed Forces of Mozambique are aware of the seriousness of

some problems as well as of the methods correctly to solve them.

21
The active participation of women in the people's militias and in other

tasks was also one of the points on which the participants at the meeting

agreed unanimously.

The principle of divestiture of duties by some party cadres and leaders who

also hold positions at other levels of the party and ODM organs was also

discussed at yesterday's meeting.

8711/6662

CSO: 3442/86

22
MOZAMBIQUE

LABOR MINISTER DISCUSSES SALARY INCREASES, TAXES

Maputo NOTICIAS in Portuguese 2 Feb 87 p 3

[Interview with Labor Minister Aguiar Mazula; date and place not given]

[Text] Labor Minister Aguiar Mazula gave assurance that the new wage organization approved in the framework of the Economic Rehabilitation Program will

not cause any mass dismissal of workers. He warned, however, that it is

necessary for us to be vigilant against the demagogic utilization of these

new measures to isolate capable national cadres under the false justifiestion of rationalization of the labor force, which the present government order

essentially recommends.

Question: Assuming the existence of some deficit-operating enterprises, where

are they going to get the money to guarantee the 50-percent wage increase for

their workers?

Answer: As you gentlemen reporters know, the government has been working on

economic rehabilitation measures. This process compelled the adoption of some

preventive measures in the area of organization and led the government to

ask the state organs to rationalize the labor force. The principle of the

new wage organization derives from that measure of rationalization of the

labor force which, incidentally, few sectors have done. When you ask me

where the state is going to get the money, I believe the answer is simple, _

because we all know that the state gets the money through taxes. The economic

rehabilitation measures also seek to establish new tax mechanisms to reinforce the general state budget. At the same time, the economic rehabilitation measures seek to rehabilitate production in both the industrial and agricultural sectors. We are hopeful that, if we succeed in implementing them

we shall be able to check the situation of economic imbalance and thereby

advance toward the harmonious development we all desire.

Question: With the introduction of those measures, does it mean that the

4/80 has ended?

Answer: Obviously the 4/80 has already disappeared.

23
Question: As far.as the recommendations of the economic measures being announced by our government are concerned, will there be a reduction in the

labor force in some sectors? Is there already at the outset some policy

anticipating the consequences that the application of these measures may have

and what sort of placement the state will find for that surplus labor force?

In this particular case, how is the Ministry of Labor coping with that question?

Answer: Perhaps beginning by correcting the language a little. What has been

talked about until now is a policy of rationalization of the labor force.

We appealed to the state apparatus and to the other sectors to rationalize the

labor force. Rationalization presupposes management of the labor force because all of this rationalization will be managed by the state and the party.

It is not the objective of the party and the government to undertake mass dismissals of the workers but to.find solutions for the reassignment of those

workers to other sectors. Obviously, this is a complex process and we have

to.be realists. The war that is imposed on us prevents us from taking decisive steps in the execution of our development projects. To the degree possible, and with the support of the international community, we will try gradually to find the solutions for these cases because it does not seem to us a

priori that it is a matter of the mass dismissal of workers. The first process we are going to use will be the so-called process of compensation of the

labor force; that is, we are going to permit the movement of the workers to

the jobs where there is a labor shortage. The other criterion will be to

seek their better placement in the agricultural sector.

Perhaps to calm you gentlemen reporters a bit, it is necessary to understand

that the situation must be correctly analyzed. When we say that there is a

surplus labor force at the company level, we have to take into account, on

the one hand, the migration from the countryside to the cities due to the war

situation that is imposed on us and, on the other, the surplus due to the

disorganization of our companies. We are thinking of resolving that problem,

moving the persons who do not have any occupational skill, because many

times it is the majority of those workers that swells our companies. Because,

as we discussed in the People's Assembly, we have problems of shortages of

cadres: cadres directly linked with production, skilled workers, management

cadres; and there is going to be a need for even more cadres. So that it is

necessary properly to solve this question. It is also true that perhaps there

may arise cases in which companies, adopting demagogic attitudes, may proceed to undertake unnecessary reduction. In the case of agriculture, I will

give you an example: about 2 or 3 years ago, the cashew sector rationalized

its labor force.in Angoche by finding other solutions. In this case, the

workers themselves agreed to wait until conditions were created in terms of

greater production rates, in terms of greater capacity for the purchase of

technology by the company itself.

Question: Still somewhat related to this question, there is naturally the

question of the Mozambican emigrants who work in South Africa. As has been

alluded to recently, some of those miners will not have the opportunity to

24
renew their contracts. I would like to know a little about the feeling of the

minister of labor because it seems to be the agency most directly linked to

this process. How is their later integration anticipated if it is not possible to renew their contracts in South Africa?

Answer: Perhaps it might be appropriate to provide a little history. In

October of last year, the South African Government unilaterally decided to

cancel the recruiting of new workers. I say unilaterally because, according

to the accord, that cancellation should have been made by mutual agreement

There should have been a prior communication and we did not receive any. 01

course, this measure created some problems at the company level for companies

that absorbed the Mozambican labor force in South Africa and obliged the

South African Government to revise some positions taken previously. This means

that the South African Government, which had intended to expel all Mozambican workers, will not be expelling them gradually. Our workers m South Africa

are distributed over a scale of eight groups. Thus, in an internal ^asure

taken later by South Africa-also without the prior knowledge °^he Mozambican side-it was decided to retain the Mozambican workers included between the

fourth and eighth groups, and established tight restrictions with regard to

the workers included between the third and fourth groups. This means that,

on the average, we are going to have to absorb more than 30,000 persons into

our economy. I also wanted to mention that at the present time we have an

average of 60,000 potential mine workers who will not be able to work m tne

mines of South Africa. Now, how to resolve the problem.

Here we have two problems. The first is as follows: as you know, since our

independence, the existing agreements provided that the South African GovernmentP

would constantly maintain an average of 110,000 to 120,000 workers Today we have an estimate of about 63,000 workers, which means that at the out

set we have a deficit of 60,000 workers with a mining tradition and experience

who are unemployed. To those 60,000, we are going to have to add pother

30,000, which means that we will have 90,000 workers. It is a very difficult

problem for our economy, We have already appealed to the international community and I, personally, have already informed the director of the ILO. A

communication about the impact of those South African «»»««^^^

has also been sent to the United Nations. We hope that the international

community"will support our efforts to incorporate those workers i« «-"

cultural projects. It is obvious that at the beginning it will not be very

easy to find a positive answer to these problems.

Question: How should some companies that are not now in a position to provide

the wage increases to their workers proceed?

Answer- I have just read a document that establishes the general principles

of the"country's new wage organization. But underlying these -asures there

is a regulation and, according to this regulation, there naturallywill not

be any immediate wage increase for the companies that "* « ? °

C

*f^J^^

At the most there may be a wage Increase after a rationalization of their labor

force.

25
Question: In these cases, how should the company directors act? Will there

have to be coordination with the OTM or other organs? How is it going to be?

Answer: I think they will have time to read the wage organization [measure]

because, on the one hand, its objective is to restore the autonomy of the

companies. Decisionmaking power has to be granted to company directors.

That is why the communique speaks of a systematic, change in administration and

management methods. We have to see how far all of the state's action extends

and where the action of the company directors begins. Because we have some

problems that are partly the result of the war imposed on us, but there are

other problems of administration, of the organization of some companies. To

respond directly to this question, we fear that there might be an extremely

economical spirit in which a company director may rationalize the best cadres

we have. That is why we are talking about rationalization, because we

acknowledge the intervention of the party, the intervention of the state itself. This means that the hearing is going to take into account an analysis

made at the company level, on the one hand, and by the unions, on the other.

8711/6662

CSO: 3442/86

26
MOZAMBIQUE

NEW EXECUTIVE COUNCILS TO BE RESTRUCTURED

Maputo NOTICIAS in Portuguese 5 Feb 87 p 1

[Text] President Joaquira Chissano announced yesterday that the executive

councils would be restructured to transform them into operational leadership

structures, according to a report by the AIM [MOZAMBIQUE INFORMATION AGENCY].

The chief of state said that work was underway at the national level for the

purpose of restructuring the executive councils.

President Chissano was speaking at a working meeting which he held with the

government of the City of Maputo yesterday following a 4-day visit to the

country's capital. The chief of state was accompanied by Julio Camino,

minister of construction and water, and Fernando Vaz, minister of health.

The meeting was not intended to provide any guidelines for the executive

council. Its purpose was to allow the chief of state to familiarize himself

with the functioning of that government body.

At President Chissano's request, Alberto Massavanhane, chairman of the

executive council of the City of Maputo, and other members of the capital s

government presented a detailed explanation of the difference between the

executive council and the former city council, now abolished. The executive

council consists of 18 directorates representing ministries.

The executive council governs an area totaling 700 square kilometers with 96

neighborhoods inhabited by about 1 million people. The annual growth rate is

6 percent, 4 percent of which is the result of urban migration.

According to the AIM, the review of activities by the executive council since

1983 reveals problems and shortcomings due in particular to three specific

factors.

The first factor is the lack of material resources for using urban services to

maintain the city. Moreover, there is also only a small crew of sweepers, who

number 400 in all.

The resources available to the former city council have either deteriorated

with no possibility of replacement or have been diverted to other sectors for

27
other purposes. It should be emphasized that in the colonial period, those

resources were used only in the paved section of the city.

The second factor is the galloping and uncontrollable increase in the urban

population during the period following national independence.

Maputo had a population of about 300,000 in 1975, but it is now a city of 1

million inhabitants, most of whom have peasant backgrounds and are therefore

ignorant of environmental and living customs in big cities.

It was indicated that the Administration of State-Owned Buildings (APIE) has a

backlog of 33,000 unsatisfied applications for rental housing on file.

The third and final factor to be mentioned was the fact that the executive

council had been set up with no clearly defined duties and areas of authority

and has been engaging in activity incompatible with the character of a

governing body that was conferred on it when it was raised to the status of a

provincial government. Because of that, it has not been able to carry out the

same duties and exercise the same authority as the former city council.

The administrative apparatus of the executive council covers eight urban

districts, whose administrators, according to the AIM, are still uncertain of

their status and have themselves been functioning as employees.

President Joaquim Chissano upheld the need to synthesize the experience gained

with executive councils, cities, and communal neighborhoods over the years.

Following the meeting, the chief of state was greeted by the members of the

executive council at a ceremony held in the building's auditorium.

During that ceremony, President Chissano was presented with a sculpture, a tea

cart, a piece of fine bedroom furniture, and a check for 500 contos to be used

to strengthen defense capability.

Outside the building, President Chissano was greeted by many people who had

gathered there upon his arrival at the Executive Council Building. Several

cultural groups performed for the chief of state.

11798

CS0: 3442/87

28
MOZAMBIQUE

NEW BEVERAGE, TOBACCO PRICES ANNOUNCED

Maputo NOTICIAS in Portuguese 5 Feb 87 p 1

[Text] New sales prices for soft drinks, beer, and processed tobacco will go

into effect throughout the country today, according to notices delivered to

this newspaper yesterday from the National Wage and Price Commission and the

Ministry of Trade.

Soft drinks in Group I (Fanta, Coca-Cola, Pepsi-Cola, ginger ale, tonic water,

and club soda) will now be sold to the public for 210.00 MT [meticals] (for a

1-liter bottle), 168.00 MT (family-size bottle), 70.00 MT (.5-liter bottle),

and 48.50 MT (.25-liter bottle).

Soft drinks in Group II (Citrus, lemonade, strawberry, and Baia) will be sold

to the public at the following prices (listed in the same order): 150.00 MT,

120.00 MT, 50.00 MT, and 35.00 MT.

Soft drinks in Group III (mineral water) will now cost the public 122.50 MT

for a 1-liter bottle and 35.00 MT for a .25-liter bottle.

Beer prices to the public will now be as follows: for .28-liter NR bottles:

135.00 MT for 10-percent light beer, 142.50 MT for 12-percent light/dark beer,

and 165.00 MT for 16-percent special beer; for .30-liter bottles (prices

listed in the same order): 127.50 MT, 135.00 MT, and 156.00 MT; for .75-liter

NR bottles: 255.00 MT, 270.00 MT, and 315.00 MT; for .60-liter bottles:

240.00 MT, 255.00 MT, and 300.00 MT; and for 1-liter bottles: 345.00 MT,

367.50 MT, and 420.00 MT.

The Secretariat of State for Tourism, in coordination with the Ministry of

Trade, will set the prices to be charged by hotels and similar establishments.

In the case of processed tobacco, sales prices to the public per pack will be

as follows: Vitoria: 405.00 MT; Palmar, FN, Polana, GT, Comodoro, and LM:

255.00 MT; Nilos: 225.00 MT; CB, Beira, MC, D. Carlos and 365: 240.00 MT;

Caravela, Suaves, and Tipo-Raro: 135.00 MT; Havana, Cometa, Tam-Tam, Kwekwero,

Orrera, and Ceumar: 120.00 MT; and Almirante (pipe tobacco): 660.00 MT per

pouch.

29
The price of processed tobacco for sale to the public will be shown on the

packaging (or pack of cigarettes), and in cases where the price is not so

shown, the product must be sold at the former price.

At the next opportunity, we will publish complete price lists for these items.

Those lists will also include the ex-factory prices and the sales margins

allowed for warehouses and retailers.

11798

CSO: 3442/87

30
MOZAMBIQUE

SOFALA HIGHWAY REHABILITATION PROJECT UNDERWAY

Maputo NOTICIAS in Portuguese 5 Feb 87 p 3

[Article by Izequiel Guazai]

TTextl A general program for rehabilitating Sofala's main highways is

underway V that province under the aegis of the Provincial Directorate of

Construction and Water. The project, which is being financed in part by the

Beira Corridor Program, covers National Highways 1 and 6. Highway 1 connects

Maputo and Beira, while Highway 6 links Beira with Machipanda on the frontxer

with Zimbabwe.

Adelino Ribeiro, provincial director of construction and water, said a few

days ago that the construction work underway on National Highway 1 was

practically complete, with the section between Inchope and the Save River

having been repaired. The work is being done by CETA Structures Leveling

and Asphalting Building Company]-a Mozambican enterprise that does major

civil construction jobs—and began in July of last year.

The cost of the work was estimated at about 50,000 contos, an amount which,

according to Adelino Ribeiro, had to be diverted from other projects in the

same filld because specific financing could not be obtained for this project

despite the contacts made.

National Highway 1, which links the cities of Maputo and Beira over a distance

of more thin l!oo6 kilometers, is an important road link for the movement of

products.

National Highway 6

Another highway included in the rehabilitation program currently underway in

the province Z National Highway 6 between Beira and Machipanda Mentioned

among the stretches of that road to be repaired is the section that runs from

Shamizua on the outskirts of Beira to the Dondo District. It includes the

Pungue Lowlands, where temporary repairs are already underway.

The plans, which have already been worked out by a team of Canadian

technicians involved in road construction, call for raising some sections of

31
the road about 80 centimeters and installing culverts to permit the rapid

runoff of rainwater in rainy weather.

Contacts being made by the construction sector as part of the Beira Corridor

Project may have favorable results leading to completion of the work before

the end of this year.

Adeline Ribeiro also said: "As far as investing in this rehabilitation program

is concerned, we have already identified a number of countries interested in

financing this construction work, which will undoubtedly contribute greatly to

increased security for vehicle traffic to and from the city of Beira."

In the meantime, the first phase of work in the Pungue Lowlands for repairing

the section of National Highway 6 between Mafambisse and Tica—a distance of

about 30 kilometers—has been completed.

According to the Sofala director of construction and water, the work done in

that zone does not provide the final solution to the problems on that stretch

of road, which have been making road traffic immensely difficult during the

rainy season and sometimes even interrupting it.

"But the work that has been done there will be able to withstand the flow of

rainwater during the period of heaviest precipitation," noted our source, who

emphasized the cooperation shown by the Central Section of the CFM [Mozambique

Railroad] in providing some of the rock used in the construction work.

Beira Will Have Maintenance Enterprise

The Sofala Provincial Directorate of Construction and Water, in coordination

with the Executive Council of the City of Beira, is studying the possibility

of setting up an enterprise to repair and maintain roads in the capital of

Sofala Province.

According to statements by Adelino Ribeiro, provincial director of

construction and water, the activities of that future enterprise will also

include repair and maintenance of the storm ditches, which, because they are

poorly maintained, cause the roads to flood and, as a result, to deteriorate.

Establishment of an enterprise for that purpose was pointed to by Adelino

Ribeiro as the solution that should be adopted to straighten out the problems

affecting the city of Beira's main arteries.

11798

CSO: 3442/87

32
MOZAMBIQUE

WATER RESOURCES INSTITUTE TO BE CREATED SOON

Maputo NOTICIAS in Portuguese 5 Feb 87 p 8

[Text] A project supervised by the National Commission for UNESCO to create

a Water Resources Institute in Mozambique has already entered its final stage.

This program is directed by the National Directorate of Waters financed by

the United Nations Development Program (UNDP).

Dr Carlos Machili, secretary general of the National Commission for UNESCO in

Mozambique, who revealed this fact, added that the present phase of the task

of creating this middle-level educational establishment in our country involves

the overall evaluation of this important project.

During the interview, Carlos Machili also referred to other assistance projects by the National Commission for UNESCO, such as education in the area of

population, financed by the United Nations Fund for Population Activities

(UNFPA). This agency also finances another maternal-infant health project,

in charge of the Ministry of Health.

These projects are implemented with the technical support of UNESCO technical

specialists. This agency has aided the projects it is carrying out in our

country, through three types of financing:

—Financed by funds from other UN agencies;

—Financed by the fund of UNESCO itself, which in technical terms are known

as regular programs and participation programs;

—Fiduciary funds, which consist of money grants by a particular government

to UNESCO for the implementation of a project in any country.

In the interview, Carlos Machili also spoke of other processes that are also

in charge of the National Commission for UNESCO. Such is the case of the

incorporation of Mozambique Island as the cultural heritage of mankind.

With regard to this subject, our interviewee added:

33
"We sought to see if UNESCO can help us in the preparation of this great national heritage. Our objective is to see that that heritage will be not only

Mozambican but become a cultural heritage of mankind because of its historic

importance and the cultural values that it harbors.

Dr Carlos Machili stressed, however, that this process will take some time

because it has to go through inevitable bureaucratic processes. He gave

assurance, however, that at the proper time Mozambique Island is going to be

submitted as a candidate for recognition as a cultural heritage of mankind.

It should be noted that the National Commission for UNESCO in Mozambique was

created in 1980 and is presided over by Minister of Education Graca Macbel,

with Fernando dos Reis Ganhao as vice-chairman. This commission is also

comprised of representatives of the Ministries of Culture, Information,

Construction and Waters, and democratic mass organizations.

For implementation of the programs agreed with UNESCO, this commission has an

Executive Secretariat headed by a secretary general. This Executive embraces

several specialized areas, the important ones being education, culture and

information, human and cultural sciences, and natural sciences and technology.

Dr Carlos Machili, secretary general of the National Commission for UNESCO

added that one of the immediate objectives of the Executive that he heads is

to open a documentation center soon or in the course of this year, since we

have between 3,000 and 4,000 volumes of a technical nature which we will

place at the disposal of the public as soon as we are organized.

Since last year, the People's Republic of Mozambique has had a permanent

delegation operating at UNESCO headquarters in Paris.

With regard to the objectives and functions of this organ, Carlos Machili

said:

"Since last year, relations between Mozambique and UNESCO have been served

by another organ that is extremely important: the permanent delegation to

UNESCO. Within UNESCO, we have an office headed by the ambassador of Mozambique to France, who is also the ambassador extraordinary and plenipotentiary

of Mozambique in UNESCO. Everything that we decide as a government we send

to the permanent delegation, which in turn submits it to UNESCO and follows

up the process for the speedy adoption of decisions favorable to Mozambique."

UNESCO, the United Nations Educational, Scientific and Cultural Organization,

was created in 1946. The People's Republic of Mozambique has been a regular

member of UNESCO since 1976.

8711/6662

CSO: 3442/86

34
MOZAMBIQUE

LIGHT INDUSTRY SECRETARY EXPLAINS ECONOMIC REHABILITATION PROGRAM

Maputo NOTICIAS in Portuguese 20 Feb 87 p 3

[Interview with Secretary of State for Light Industry Francisco Caravela; date

and place not given]

[Text] Secretary of State for Light Industry Francisco Caravela stated that

the Economic Rehabilitation Program (PRE) involves above all a new method of

economic management, requiring the use of the tools of economic management,

cost accounting in particular. In an exclusive interview granted to NOTICIAS,

Francisco Caravela emphasized that the managers must necessarily develop in

terms of competence, using economic mechanisms in order to be able to find

their way in the new situation. The following is a transcript of the entire

interview with the secretary for light industry and food.

[Question] Mr Secretary, since the PRE is designed primarily to reactivate

the family farm sector, it should, in the medium time range, improve the

supply of raw materials for the light and food industries. Will there not,

however, be an interval in which the enterprises in this sector, not as yet

having the raw materials to process, will have tremendous difficul ties in

dealing with the increase in their costs? How do you see this situation?

[Answer] Perhaps I should begin with a little explanation of some basic

questions concerning the PRE. This is a program we have drafted for execution

during the next 3 or 4 years. It is aimed basically toward two fundamental

goals. The first is an increase in our domestic material production,

consumer, food and nonfood goods in particular. The second major goal of the

program is a reduction in the centers of financial imbalance from which our

economy has suffered for some years. This means that with the increase in

material production, with some measures in the economic sector to promote

national production, together with measures of a financial nature having to do

with prices and wages, the result will be that this whole program will

constitute a united whole producing growth in the entire national economy.

To achieve this, it is really necessary to establish which are the main

branches involved in material production, and therefore great priority is

given in this connection to increasing farm production. In this agricultural

area, the family sector takes on basic importance, because it is there that

the largest part of our population is engaged. The second reason for its

35
importance is that from the foreign exchange and cost point of view, it

consumes less, and because of the volume or quantity of goods it can produce,

it is more important than our other sectors.

This is a little of what our past experience has taught. Therefore the

agrarian policy in this area gives priority to the family sector. And it has

another special aspect which is also very important. It is seen in the fact

that this is the sector which can produce an increase in farm production with

the least cost, while the business sector, both state and private, needs

another type of investment, another kind of dynamism, which may come more

slowly. Therefore the family sector can achieve much more rapid growth, and

this is the task assigned to it within the context of the economic

rehabilitation measures.

The question which arises is whether farm production in the family sector will

respond in the medium term, and also how the industry which depends on and

consumes our domestic raw materials will function in this period before family

farm production increases. I should say that the path chosen means that it is

the family farm sector which will respond most quickly, because we cannot wait

for the medium time range to achieve results. It must begin to produce

results now. Therefore, all of the philosophy in the agrarian policy

contemplates this precisely. If we had chosen another type of strategy, then

we might have had important results only a few years from now. Therefore,

regarding this time gap between the present and the medium time range, the

farm sector will have to respond beginning this year, the following year, and

2 and 3 years from now.

The truth is that in the first year, it will not have the capacity to respond

or to supply all the raw materials our industry needs. This is because it

also has another role to play, which is producing supplies for domestic

industry and also surpluses for export. Thus it has a great role to play

within the context of the economic rehabilitation measures. For a time, our

domestic production will not be increasing fast enough to meet all of the

needs of industry, particularly the food industry and the textile industry,

which uses cotton fiber, and other sectors which use products on the various

processing levels for this basic raw material, cotton. Until this sector can

fully satisfy the needs of our domestic industry, the plans within the PRE

itself call for channeling foreign resources on a priority basis so that this

key sector can also supplement its needs with imported resources. To this

end, a whole series of actions is planned on the government level to obtain

foreign financing. What the program calls for within the economic measures is

a series of priorities for obtaining the resources the country does not have,

so that the program can be fulfilled in its totality. The family and

industrial sectors, particularly the industrial sector, constitute a cycle

which is being ever more fully completed, because when the family sector

produces and reacts to the economic and financial measures in the PRE, this

will mean an increase in production and will make the factories in this sector

viable. And this will mean that the state is in a position to produce larger

quantities of consumer goods which the peasants themselves need, thus

completing the cycle increasingly and truly allowing us to launch a process of

accumulation, of creating wealth for the later steps in the development of our

economy.

36
[A:

us

[Question] Generally speaking, what are the prospects for the sector in the

short, medium and long range?

nswer] In general terms, the PRE represents a certain program of work, let

say, for these 3 or 4 future years. In reality, it begins with the whole

past, which we cannot forget, with the economic reality, the domestic and

international situations and the relationship with all of these things, which

come basically from the colonial era. The role which the light and food

industrial sector must play is basically to complete this cycle which

encourages and gives content to farm marketing.

Therefore the basic aspect of the program is agrarian production. Light

industrial production will provide a basic impulse so that the farm sector can

fully carry out the mission assigned it by the Economic Rehabilitation

Program. In terms of industrial philosophy schemes, it is based fundamentally

on the medium time range, on a program of recovery for the enterprises

themselves and rehabilitation in its specific sense. In other words, it is

not a program which calls for great investment for expansion or innovations to

increase the installed capacity in the country.

Essentially, it is designed to rehabilitate the currently installed capacity,

and naturally, therefore, to increase its use, which is at present at a rather

low level. Thus the proper use of this capacity will make it possible to deal

successfully with three important aspects. First, the raw material, of which

greater quantities are needed, while secondly, there is the technical

rehabilitation of the industrial park, which, as is known, is diversified and

has various origins. This creates many problems in stock handling, spare

parts and maintenance, and in fact it requires substantial foreign resources

to equip even that portion which is inoperative, so that technically it will

be truly usable. If this is not done, we run the risk of having the raw

materials but not being in a technical position to ensure that the factories

can efficiently process and use these raw materials.

Apart from these two important aspects, there is another which is crucial to

the process. That is the question of trained cadres, skilled workers,

technical cadres, related to the burdensome heritage the country has received

from the colonial era. As is known, it is necessary to train good engineering

cadres, good economists, in order to make possible proper operations, good

systems of preventive maintenance, proper repairs and good schemes for the

economic and administrative management of the enterprises. Therefore, within

these programs for rehabilitation, the investments for the rehabilitation of

the enterprises and factories, there is a very important component, which is

the training of various types of skilled personnel for this sector. This is

also important, because to the extent that we are successful in this program,

we will reduce the foreign exchange needs of the country, for truly the

country has been spending a great deal on hiring foreign technical aid.

It should be stressed that in recent years the problem has even become

somewhat more serious, because even the middle-level workers have been leaving

the enterprises, either because of wages or because of other types of lures,

which allow them, let us say, to survive under the speculative system, since

wages as such can now be regarded as satisfactory. The very recovery of

37
production in the enterprises itself will make a great contribution, for in

the industrial sector, a worker can be very good, but if instead of working on

his machine for 8 hours, he on ly works 2 because there are no raw materia Is,

after a certain time he no longer has the same skill as he had when he worked

full time. Therefore, increasing the use time for equipment, in and of

itself, when properly administered by the enterprise management, will ensure

that these workers regain greater skills.

It is obvious that this alone will not suffice, because there are the

technical-vocational training plans which are basic to any increase in the

capabilities of our workers. Generally speaking, these are the strategic

goals within the rehabilitation program for this sector. Retraining from the

technical point of view is needed for the management of our industrial

enterprises. To achieve this, certain other types of support are necessary,

and the whole national complex and the state apparatus itself must be

available for the task, which involves new schemes for relations among

businessmen, facilities for support in training and a certain innovative

activity in technological terms. All of this will ensure that our industry,

even before it can be totally autonomous, because it depends heavily on

imports, can have some more solid national foundations, such that it can

further complete itself. This is necessary because the relations between two

domestic enterprises are very often only possible through a third country,

through imports.

There are even actions planned for this purpose in the complementary aspect of

the industrial chain itself, particularly in the production of spare parts,

the production of components which can be used by other enterprises, thus

reducing imports. Again, another extremely important measure involves

incentives, the creation and development of local industries, meaning the

industries of smaller size and capacity. These will essentially be installed

in zones which are potential producers of the raw materials these industries

will use, processing them in the rural sector. From this we can achieve

savings in transportation costs, and this production will basically be

consumed by the local population centers. This is an extremely important

measure, and it implements one of the directives established by the Fourth

Congress of the FRELIMO Party.

[Question] What role will the light and food industries play in combating

speculation and, in general, in stabilizing prices?

[Answer] To answer this question, I would go back to what I said earlier,

that is that the goals of the PRE are to increase domestic material production

and to reduce the monetary and financial imbalances which the country now has.

Secondly, it means that in practice, we must know what this imbalance is and

how it is manifested. As we al 1 know, a limited social stratum, particularly

in the cities, is able to buy a large part of the fund of goods the country

has the capacity to make available. This small social group, which has large

sums of money saved up, does not produce this wealth. Therefore this is

fictitious purchasing power, because it is purely monetary, but it exerts

tremendous pressure on the entire economy, thus throwing a whole series of

things out of balance. For example, speculation develops because of this

precisely. Speculators can purchase large quantities of goods diverted from

38
the normal distribution circuits, and by selling them on the blackmarket at

speculative prices, they reproduce this tremendous monetary mass. They are

basically diverting the income of the working and producing strata, whose

members do not have very high income, and who are also unable to find the

products they need in the economy's legal distribution circuits.

The elimination of this problem depends fundamentally on the economic bases,

that is the material production of the country. The goods offered to the

people must increase so that from a physical point of view, the people will

feel ever less need to have recourse to speculation, because they will

increasingly find the products they need available on the official market. On

the other hand, it is necessary to limit the sources which finance speculation

and, although it does not seem so, it is really the workers who finance

speculation, many of them unaware of it. But it is the wages they receive,

their income, which makes it possible. Apart from other politicaladministrative measures, the PRE is basically designed to combat this black

market and to broaden the official market steadily.

And let us say that here it is not only light industry which will make a basic

contribution, for along this axis to which I have referred, domestic

agriculture and industrial processing will contribute to increasing the

quantity of goods offered to the consumer population in the country.

On the other hand, as production increases, the difficulties the country is

experiencing from the point of view of quantity will be reduced. Apart from

this, the measures of a financial nature to which I referred at the beginning

will also help to bring about this adjustment, such that each individual can

consume in accordance with what he earns. Yet a third aspect involves the

policy in the trade sector, and thus the workers' privilege of direct

consumption through the social centers. And we would say that definition is

necessary to close the trade circuit to the consumer, the worker, the citizen,

to define the circuits such that the greater part of the pr oduc tion wi 1 1 in

fact be channeled to those who need to consume it, blocking the openings

through which it can be drained off for the black market circuits.

Thus in the middle of this whole economic fabric which has been planned

through the Economic Rehabilitation Program, the role of industry is not only

to define its production costs and prices such as to ensure greater justice

from the economic point of view and compensation for the factories and

producing enterprises, but also to ensure that these costs will not be too

burdensome and violent for the people. But all of this must be supplemented

with a whole complex of measures, particularly in the trade sector, which will

give the worker, the honest citizen, direct access to the goods he needs.

[Question] Mr Secretary, there are many small and average enterprises in your

sector, some of which seemingly have little potential for economic viability.

What future do you see for these enterprises? Won't the economic measures

which are to be implemented lead to the absorption of the small and average

enterprises by the large ones, which have a greater potential for survival

under the current conditions? What is the government policy with regard to

this possibility?

39
[Answer] It is true that there are many enterprises with financial and

economic difficulties, due to an internal structure in the enterprise itself

which was created and established to exist and survive in a given economic

situation, that of the colonial era. We al 1 know that in situational terms,

great changes have come about since that time, and throughout these 11 years

of our national independence. Many of these enterprises cannot adapt their

structures to the present new situation, and basically, this means that they

have not been capable of becoming heavy importers, so that they are based on

the use of domestic resources, and perhaps will begin to export more. It has

not been possible to make this adaptation because it did not depend on the

enterprises themselves, and truly they do have problems. But the PRE means

above all a new method of economic management, not only on the national level

but particularly on the level of each enterprise. And if the national economy

is to be managed in this way, they must adopt objective economic norming,

basically requiring each economic agent to achieve the basic goals of the PRE.

For this reason we say that the PRE covers a broad sector of management,

meaning the attribution of great autonomy to the state, private and mixed

enterprise business administrators. This autonomy will mean that the weight

of many of these decisions will have to be borne, technologically and

scientifically, by the enterprise managers. The program sets some priority

goals in terms of production. For example, the program might say that

TEXTAFRICA is more important thanTEXLOM, or that TEXMANTA, which produces

blankets in Cabo Delgado, is more or less important the FACOZA, which also

produces blankets, in Maputo. The program tells us that the blanket product

is strategic and important. It will be the responsibil ity of the managers,

for example, to stay within the parameters describing their function in the

economy, to benefit from this, to improve their management methods, to reduce

waste, costs and their wage funds so that their products will be truly more

competitive.

Being competitive means that an individual enterprise can earn greater or

lesser profits as a function of its greater or lesser efficiency in economic

management. This will force the enterprises to be better organized, and to

have cost accounting, for example, in order to know exactly how much what they

produce costs and to cease to produce when it would mean a loss. If they know

their cost structure very well they can establish which sector is most

flexible, so as to take steps to reduce activity in one place to earn more in

another. This is the dynamics which a businessman must have. This has

previously been done, administratively speaking, by the sponsoring state

organs. The program therefore takes this extremely important aspect, the

method of economic management, into account. Thus the manager must

necessarily develop in terms of competence in a business sense, or otherwise

his firm will not survive the process. Therefore, some of the enterprises may

even have to shut down for reasons of viability.

But there will really be none of what we might call a paternalistic policy

granting credit to enterprises independent of whether or not they are capable

of managing their assets correctly.

It is a question of reintroducing a new truth, such as to force economic

agents to develop. To relate this to your second question as to whether there

40
is a danger that the small and average enterprises may be absorbed by the

large ones with a greater potential for survival, the matter is not as linear

as that. At this point I would not be so sure about the statement that the

targer enterprises have a greater potential for survival from the economic and

fiducial po'int of view. Generally speaking in times of economic -isis the

small enterprises have a greater potential for surviving, because they have a

smaller structure which is more readily adaptable to new situations. »Jttte

large enterprises really have greater difficulties in making this ^justme^

within a short time. They. then, are the enterprises ^«»^»« «*£ «£*£

losses and deficits, while the smaller ones, if a given product isnolongjr

viable can produce another. We might say that the enterprises and the

Lernen h

P

ave the freedom, some autonomy, to do.this..because^natural ly

m

m

buy it because it has no value and does not meet a real social need. And then

he will not succeed in obtaining the value of the goods, being unable to sell

them, and thus this production, even if new, will not prove viable. Then he

will be forced to produce things which are really useful to society, for

marketing, and also for export. Generally speaking, it is not the task of

light industry to produce for export. As everyone knows, the sources of

income in our economy in the colonial era were basically agricultural and

railroad and port services. Light industry serves mainly to supply the

marketing circuit, but it will now also begin to play an important role in

finding new products and new markets, such that this industrial branch itself

may undertake the management of some foreign exchange to resolve some of its

problems.

Therefore, it is not clear that the large enterprises have a greater potential

and will absorb the others, no. Perhaps the others really have fewer problems

and can survive better. It is not a question so much of surviving, and I

would not use that word, but would rather say growing. For the implementation

of the PRE really depends above all on the productive sector. It is for this

reason that the entire price, credit and interest-rate policy, including the

new systems of taxing enterprises—this whole complex of policies is really

designed to promote the increase in material production. Sometimes we are

shocked by the increase in taxes, or rising pr ices, and some products which

are production factors also go up, and then we ask what the reaction will be.

The fact is that this whole complex is minimally related to more harmonious

indicators on the national level. The main responsibility lies with the

managers themselves, who will have to function using all of their knowledge

within the existing economic fabric.

5157

CS0:3442/102

41
MOZAMBIQUE

FOOD AID FOR MNR VICTIMS IN MANICA

Maputo NOTICIAS in Portuguese 30 Jan 87 p 1

[Text] A program for the distribution of food products has been prepared in

the District of Manica. That program will benefit families that have been

recovered from the captivity of the armed bandits; that have returned recently

to the country from Zimbabwe where they had gone due to terrorism, and who

live in the outskirts of the city, forced as a consequence of the drought.

Each family will have the right to acquire 100 kilos of grains, for example.

Alexandre Tiago, the AGRICOM district delegate in Manica, told our correspondent that, in the spirit of pursuing that initiative, all small farmers will

receive means and factors of production, specifically fuels and hoes, and

support in tilling and hoeing by means of animal traction, provided on a

priority basis by that marketing company in coordination with the local political organs.

The best small farmers in the region will have priority in the purchse of

essential products such as sugar, edible oil, in addition to fabrics manufactured by Textrafica as an incentive.

Coping With Difficulties

Using 34 workers, two of whom are women, the Manica AGRICOM is struggling with

the lack of transportation, operating with only one tractor for the long distances in the district. Nevertheless, this impediment has not represented

cause for discouragement by these workers, who have operated in the present

campaign in Nhaucaca, Bandula, Garuzo, Chicamba, Chinhambuzi, Vanduzi,

M'Sica, and Machipanda.

In the last marketing campaign for small livestock, the company bought 256

animals: 125 chickens, 74 ducks, 51 kids, 4 hogs, and 2 cows.

In the purchase of grains, the company succeeded in exceeding the target of

100 tons, reaching 250 tons, a figure equivalent to 150 percent above the

established plan, notwithstanding the failure of some middlemen in the marketing process due to the intense rains that fell in the region.

42
The AGRICOM delegate in Manica said also that the company has sugar and soap

in stock as incentives and is also waiting for other products intended for

exchange and for cash sale.

»The company needs everything the farmer has to supply the city and the

recovered and repatriated populations," declared Alexandre Tiago, adding that

his company returned various articles and knick-knacks to the Provincial

Delegation in Chimoio because there was no demand for them among the farmers.

"The population in Manica District does not need knick-knacks; it needs _ ^

textiles, blankets, and essential products such as sugar, oil, soap, and rice,

emphasized our source.

In addition to mobile brigades operating in the areas located large distances

from the district, the company also has four marketing middlemen, who are

traders located in the districts of Zonue-Rio, Selva, Forte Messica, and

Mutambalico.

8711/6662

CSO: 3442/86

43
MOZAMBIQUE

BREAKDOWN BY PROVINCE OF PEOPLE NEEDING EMERGENCY AID

Cape Town THE ARGUS in English 18 Feb 87 p 21

[Text]

IN Mozambique they are

called "Desalojados" -

the hundreds of thousands of

people who have been made

homeless because of war,

drought and hunger.

More than 3,5 million people, fleeing from anti-government rebels, are roaming the

country looking for food and

shelter. Those who make it to

refugee centres find that the

Government is almost incapable of helping them. And,

the war could seriously hinder any aid programme to

the rural areas where most of

them are.

In cities like Quelimane

hundreds of refugees from the

country side are sleeping on

the streets, it has been reported in Maputo.

With a bankrupt economy

and unable to guarantee the

minimum food production,

Mozambique is today a country which is totally dependent

on international handouts to

feed most of its population.

International aid organisations have warned that Mozambique could this year "become a very serious tragedy"

if emergency food aid is not

sent to the country.

Mozambican officials said

that in some areas it is virtually impossible to send food

and other aid because trucks

are ambushed by bands of rebels who either steal or burn

the food.

The Mozambican Red Cross

recently published a report

on the situation around the

country and said that more

than 3,5 million people are in

urgent need of aid.

The report, published recently in the Mozambican

weekly Tempo, gave the following number for each of

the Mozambican provinces affected: D Inhambane —

430 000; DSofala - 571209;

D Manica — 94 810; D Niassa

- 430 000; D Cabo Delgado -

4 097; DZambezia — 847 000;

D Tete - 458 000; Nampula

— 130 000; D Maputo —

270 871; Gaza — 332 892.

"In Manica people are eating roots from wild trees and

are wearing bark from trees

to cover themselves," Tempo

said.

Last week two British aid

organisations, Oxfam and

Save the Children Fund, declared Mozambique an emergency area but there are

fears that the famine in Mozambique could this year be

worse than the one exprienced in 1983, when thousands of people died throughout the country.

1311k

CSOs 3400/204

44
MOZAMBIQUE

TETE REFUGEES FIND SHELTER IN MOATIZE RAILWAY YARD

Harare THE SUNDAY MAIL in English 22 Feb 87 p 5

[Article by Omar Ahmid]

[Text]

itfÜAAKlBICAN authorities,

with assistance from aid

organisations, have set up a

reception centre for people

lldeing from Renamo bandits,

in an abandoned railway yard

at Moatize in the Tete province.

Thousands of displaced villagers from northern Mozambique have had to find shelter

in disused railway wagong and

a handful of tents while

efforts are made by the authorities to find them place In

resettlement areas.

The Sunday Mall flew to

Tete last week with the regional director of Norwegian

People's Aid, Mrs Kari Dako .

to have a look at the plight

of the victims of the war between the Mozambique National Resistance and the Mozamblcan government.

Mrs Dako was taking a

consignment of penicillin to

the State Hospital in Teto.

At Moatize, about 20 km

from: Tete, a once bustling railway shunting yard is now

home for about 7 600 refugees.

,Many of them are living inside

railway wagons, under trailers .

or In tents provided by the aid

organisations.

According to Pedro Viagem

and Frederick Jim, two administrators at the camp, food

supplies are adequate but there

Is an acute shortage of

essential medical supplies.

Dysentery is rife, and the camp

draws its water from the n«.rbw Zambezi River.

Some of the camps inhabitants hav« been there for some

time. One woman said she

arrived there in November last

«ear. She fled the figntlnf> *"

the north with her two children, one who subsequently died.

A 51-year-old man from

Zamboia province Cde Silver

Sllemane, said he fled when

the MNR bandits attacked Ms

village late last year. He was

separated from his family, a

wife and six children, who ha

believes are in Malawi. Effort*

were being made to repatriate

them, he said. In the meantime

he was biding his time at tl»

camp, «ving in a small tent

pÄed by World Vision.

Apart from the lack of

medical supplies, one of the

major problems at the camp

appears to bo the total lack of

any recreational facilities for

tho Inhabitants. When The

Sunday Mall arrivted, most of

the men were just sitting in

ihe shade, while the women

went on with their business of

cleaning clothes and utensils

»nd cooking. Even the children, and there were many or

them, appeared to be lethargic.

Understandably, as the

camp is merely supposed to bo

a transit centre for the refugees, there would be no point

In the setting up of training

facilities or schools, which aro

provided at the resettlement

areas. The oppressive heat and

humidity too has a bearing on

people's desire to play any sort

of sport.

Nevertheless, a member of

one of the aid organisations

working at the camp admitted

that many of the people were

bored with the Inactivity. In

any case, things have Improved

at the camp, as the numbers

there have diminished since last

year since new resettlement

areas such as Estlma, near

Tete, are opening up.

Meanwhile the aid organisations continue to tr|yi and Improve the infrastructure in the

area. A Danish volunteer, Kim

Peterson, is busy setting up a

training centre for plumbers In

Tete. With assistance from the

Norwegian People's Aid organisation, lie hopes that the

school will open at the beginning of April this year.

The need for plumbers In

Tete town, and in the province

ns a whole is acute. "The biggest problems are maintenance," he said. "Tete has a

population of 70000, while the

water system can only cater

for about 30 000." The company that maintained the

water system In the province

was desperately short of skilled workers, hence the training

school. Courses would last

about six months, andjboarding

facilities would be provided, he

said-

/9274

CSO: 3400/204

45
MOZAMBIQUE

SUSSUNDENGA FARMERS GET READY FOR HARVEST

Maputo NOTICIAS in Portuguese 4 Feb 87 p 2

[Text] The agricultural harvest from the 1986-1987 season is being viewed

with great seriousness by the peasants in the family, cooperative, private,

and state sectors in Manica Province's Sussundenga District. They have shown

great diligence, especially during the first phase of the season, which

consisted of plowing and sowing. Besides the boost being given to the process

by the overseeing organization, the District Directorate of Agriculture (that

being its job), there is also direct involvement by the local party

structures, specifically to make the peasants aware of the need to increase

the area under cultivation, the purpose being to lessen the effects of the

famine that is threatening the bulk of the Mozambican population.

The first task carried out at the start of this agricultural season was that

of alerting the inhabitants to the need to set aside cereal seed—most of it

produced locally during the preceding season—so as to avoid the shortage of

seed with which the peasants have been struggling.

It was because of that effort that there was no shortage of cereal seed for

this season. According to what we have learned from officials in the sector,

the seed that came from other regions was not used by the peasants because

they already had enough of their own in reserve to cover the areas they

planned to plant this time.

What the peasants had not set aside as a reserve was beans of all kinds and

seed for vegetables, cotton, and Rhine potatoes. If they are not helped out

with seed of that kind, this season's production of those crops in the

Sussundenga District may be jeopardized.

As far as butter beans are concerned, the district director of agriculture in

Sussundenga, Venancio Chacai Veremo, explained that last season's production

had been very low, with the result that all the beans produced in that season

were consumed.

In the case of "hatatarana" and vegetables, Venancio Veremo told NOTICIAS

that it had not been possible to keep seed because of weather problems, which

had caused a steady rotting of the seed that had been set aside.

46
One District: Three Temperatures

The Sussundenga District has great potential for agricultural Production owing

to the fertility of its fields. That fertility is made possible by the

diversity of temperatures affecting the fields in its various zones.

On collective farms in the district administrative center, corn is Produced

only once a year and at the favorable time, whereas in Dombe, that cereal can

be produced 'throughout the year with the same yields. * J^"^^

district-the temperature is cooler, so, naturally, production in that zone is

more profitable and excellent.

In comparison with other zones in the same district, Rotanda also grows a

ereat variety of crops. Garlic and wheat are now grown there in great

Quantities" along with other kinds of crops, something that does not happen m

the other regions.

Planting of corn, cotton, sorghum, and other crops continued until December

1986 in the Sussundenga District, and at the same time hoeing was done on

land already planted. One fact deserving emphasis is that during the planting

season it was noted that every worker in the sector-including people from

other fields of activity—became involved.

That activity, which was headed personally by the first secretary and district

administrator and other party and state cadres in Sussundenga, was aimed at

ensuring that the established goals would be met after noting the absence of

S5S! during the normal period. Because of that problem, P-duction plans

in the family sector as well as in the private, cooperative, and state sectors

came very close to being jeopardized.

Three support brigades were formed, it being understood that one would help

with the Planting at the Sussundenga State Agricultural Enterprise, another

would help oufat8the local agricultural cooperative, and the third would help

a number of private individuals with relatively large acreages who were having

some difficulty in completing their planting within the stated time. The

process continued until 15 December 1986.

Agrarian Region

A new organization known as the Agrarian Region was introduced in Manica

Province's Sussundenga District in 1984 and has been in operation since then

Its purpose is to carry out the integrated development of agriculture m that

region.

The Agrarian Region operates with a regional chief and is subdivided into five

agrarian zones of influence, each with its own supervisor.

Since the organization was established, it has engaged in rather important

activities for the benefit of the peasants, namely by solving farming problems

tor ta! meeting their needs in the way of farm implement/ and seed,

distributing the same, and explaining farming methods.

47
From the time when that experiment began, production in that region also began

to rise, even among peasants with small holdings. The agricultural sector in

Sussundenga now has animal traction. The state sector possesses five yoke of

oxen, and the cooperative sector has nine, not to mention the family sector,

which has been quite favorable in its reaction.

Venancio Veremo concluded his remarks with a complaint: "We would like to see

a mechanism established for selling spare parts for animal-drawn plows. We

have families in the district that have encountered difficulty in doing their

work because their plows need parts, and they find it impossible to buy new

parts even with money in their hand."

11798

CSO: 3442/87

48
MOZAMBIQUE

NEW COLLECTIVE FARMING METHODS INTRODUCED IN INHAMBANE

Maputo NOTICIAS in Portuguese 5 Feb 87 p 3

[Article by Bento Niquice; first paragraph is NOTICIAS introduction]

TTextl New methods of collective production are being encouraged by the

iocioprofessional and mass organizations in Inhambane Province. Those methods

have been introduced in agriculture for the first time and have already made

^Possible to establish associations of farmers and coconut producers in that

Province The experiment is giving indications that it will soon be Possible

rXve sizable yields as a result of that collective work, writes our

correspondent in that region of the country.

The establishment of associations by the democratic ^«professional and mass

^^^s^t^Zr^ ill Sups:" ^^0^ S

The first group set up its project on what had previously been operating as

Se OS Provincial Center for Production and Cadre Training, located in the

Chibobuchila region about 18 kilometers from Morrumbene, the district

administrative center.

Besides extensive areas for farming, the project includes a large palm grove

with about 3!000 coconut trees. The farmland is divided into two distinct

zones one in the mountains and the other in the valley along the Phanga

Rxver' Xse drinkable water runs all year long. The two zones combined are

e imated to total 700 hectares. It needs to be P^tedoutthat the largest

area is in the dry zone, a circumstance that makes work dxfficult because

Here is no motor pump for collecting water from the river and irrigating

those particular farms. This is a particularly serious problem when one

considers that rainfall is scarce, not to say nonexistent, m that zone.

Joao Dias Festo, a middle-level agricultural technician who has been assigned

to the locality since the start of the current season, told our reporters that

49
97,000 coconuts were marketed through middlemen last year, bringing in 1.94

million meticals. "The coconuts were marketed in Gaza and Maputo Provinces

under the cooperation agreements signed between the country's three southern

provinces," he said.

Besides the assistance provided by that technician, the project has also been

receiving help from the CAFUM in Inhambane and the Morrumbene DDA [District

Directorate of Agriculture] as far as supplies of chemicals are concerned.

The 5 hectares of cotton planned for this season are now half complete. That

slight delay is due to the lack of rainfall and the late arrival of seed for

planting that crop, which is important for exports and national industry.

Eight hectares have also been planted in corn, and a harvest of 5 metric tons

is expected. There is also the prospect of growing 4 hectares of vegetables

and other summer crops. Of the total area set aside for those crops, 2.5

hectares have already been prepared, as have five plots for the seed beds.

Group B a Future Enterprise?

For anyone aware of local realities, it would be no exaggeration at all to say

that the zone assigned to the Agricultural Association of the OMM, the OTM,

and the Continuators provides the natural conditions for setting up an

agricultural and stockbreeding enterprise, provided that the proper conditions

in terms of equipment and technicians are first created.

This involves the Mabulucuane zone, a little over 3 kilometers from the

Morrumbene district administrative center. It was previously occupied by the

OMM Provincial Center.

The camp has socioeconomic infrastructures, namely a dormitory that can house

60 people, a dining hall, a kitchen, showers, poultry runs, pig sties, a ramp

for vehicle repairs, and other facilities.

It covers an estimated 800 hectares and, as is also true of the Chibobuchila

project, is divided into two production zones, one a dry zone and the other in

the valley along the Cambine River.

It has a palm grove with about 5,000 coconut trees and a grove of 2,000

orange, tangerine, lemon, and other fruit trees.

Although no technician is assigned to the site, it receives regular assistance

from the Morrumbene DDA in the form of seed and from the Inhambane CAFUM

Office in the form of chemicals.

It has a (damaged) tractor, three yoke of oxen, and 31 workers. For that

matter, the Chibobuchila center also has three teams of animals. In both

cases, the teams were furnished by the provincial government to help those

associations get started, a fact proving that collective work is also a way to

make it easier for official bodies to provide the support necessary for the

country's development.

50
Four hectares of corn, 1 hectare of rice, and 1 hectare of cotton have been

prepared for this season, and there are plans to prepare 4 hectares for

vegetables.

The biggest problem being experienced ever since last year has to do with the

lack of a means of transportation for getting coconuts to the marketing

centers. Another, equally disturbing problem is the lack of a motor pump for

irrigating the land.

11798

CSO: 3442/87

51
MOZAMBIQUE

BRIEFS

ITALY TO FINANCE AGRICULTURE—This year, the Italian Government will finance

the Sigingir agricultural project in Homoine District, Inhambane Province.

The financing which is estimated at $6 million will be in two phases. The

Sigingir agricultural program was launched with financing from the United

Nations Development Program. [Text] [Maputo Domestic Service in Portuguese

0500 GMT 5 Mar 87 MB] /9599

TETE EXPECTING HIGHER INCIDENCE OF FAMINE—The Department of Prevention of and

Fight Against Natural Disasters in Tete Province has told our correspondent

that the number of people affected by famine in the province will this year

be much higher than in 1986. Rocha Nuvunga, the head of the provincial

department, said that up to the second half of 1986 over 450,000 people had

been affected by famine. He added that the combined lack of rains this year

and South Africa's armed bandit terrorism has aggravated the situation in Tete

Province. [Text] [Maputo Domestic Service in Portuguese 1030 GMT 2 Mar 87]

/9599

CSO: 3400/203

52
NAMIBIA

SWAPO CLAIMS WEST 'PLUNDERING' URANIUM

MB061633 Dakar PANA in English 1620 GMT 6 Mar 87

[Text] Dakar, 6 March (PANA)—The South West Africa People's Organization has

denounced Western countries for what it described as the intensified plunder

of Namibian uranium.

In a press release to PANA in Dakar on Friday, SWAPO, the liberation movement

fighting for the independence of Namibia, said there is overwhelming evxdence

that large amounts of uranium originating from Namibia are reaching nuclear

processing companies in most European capitals.

It quoted the Brussels international press service as recently alerting the

world to this fact.

Among the Western countries named by the release as continuing to shamelessly

plunder Namibia's natural resources, uranium in particular, are Britain,

France, Federal Republic of Germany, Belgium, Japan and others within the

United Nations.

A number of nuclear companies and public utilities in these countries,

according to SWAPO, are known to contract for uranium oxyde from Rossmg

Uranium Ltd, one of the biggest uranium-mining concerns operating in Namibia.

These companies include British Nuclear Fuels (BNF), Arenco (Holland),

Comurhex [word indistinct], Kansai Electric Power Company (Japan),

Urangesellschaft, Veba AG and Uranit of the Federal Republic of Germany and

the state-owned Eldorado Nuclear Corporation of Canada, SWAPO disclosed.

SWAPO of Namibia especially singles out Belgium, the only EEC member of the

31-nation signatories of UN Council for Namibia Decree No 1, as according

port distribution facilities to illegal Uranium ore shipments from Namibia

to Western European countries.

Some 400 containers are off-loaded every year at the Belgian port of Zeebrugge,

according to the press release, which added that in December 1986 alone

in [words indistinct], Helderberg, Sederberg, Transvaal, Waterbert, Wxnoerberg

and the Nedlloyd Horn carrying illegally extracted Namibian Uranium docked at

this port.

53
SWAPO also accused Belgium of being recently involved, through a Brusselsbased air charter centre, in secret American arms trafficking to apartheid

South Africa in violation of the international arms embargo.

The statement released by SWAPO's chief representative for France, Belgium

and Switzerland, Eddy Amkongo, condemned all the countries concerned for their

economic selfishness. Such acts only contribute to prolonging the suffering

and inhuman exploitation of the Namibian people and to the illegal occupation

of their country by the racist South African regime, the statement added.

To this effect, it recalled United Nations Decree No. 1 of September 1974 which

among other things stipulates that no person or entity ... may search for,

prospect for, explore for, take extract, mine, process, refine, use, sell'

export or distribute any natural resource, whether animal or mineral, situated

or found within the territorial limits of Namibia, without the consent and

permission of the United Nation's Council for Namibia.

/8309

CSO: 3400/228

54
NAMIBIA

POLICE CONFIEM SWAPO MEMBERS LASHED TO VEHICLE

MB061415 Umtata Capital Radio in English 1300 GMT 6 Mar 87

TTextl Police in Windhoek have finally confirmed that the dead bodies of

SWAPO fighters were lashed to an armored vehicle and driven through an area

in northern Namibia last year. Two months ago, THE NAMIBIAN newspaper

published photographs of this saying the parading of dead SWAPO members was

a frequent occurrence in the war zone. A police official Inspector (Durand),

confirmed that the bodies had been lashed to a spare wheel and the front

bumper of the vehicle, but said that this was because there was not enough

space for the bodies inside the casspir.

/8309

CSO: 3400/228

55
NAMIBIA

NUJOMA CLAIMS RSA ESCALATES VIOLENCE

Interview With ZBC

MB061828 Harare Domestic Service in English 1600 GMT 6 Mar 87

[Text] The president of the South-west African People's Organization,

Comrade Sam Nujoma, says South Africa is escalating violence against the

civilian population in Namibia. In an interview with the ZBC in Harare

today, Comrade Nujoma said the regime had formed special murder and terror

squads in the guise of giving (?soldiers) the authority to shoot at will.

He also said the Pretoria regime is extending the South African Defense Act

to Namibia under which men between the ages of 18 and 65 are conscripted

into the army. He also said under such an act the Namibians are forced

to kill one another. The racist regime has also instituted the district

security act prohibiting journalists from traveling out of Windhoek without

the permission of the army or the police.

Meanwhile, Comrade Nujoma said SWAPO's fighting unit PLAN [People's

Liberation Army of Namibia] had destroyed 12 SADF bases, shot down 40 military

transport planes and 60 helicopters, and killed and wounded hundreds of

South African soldiers in the past 12 months. On the recent dispute between

the Pretoria regime and its puppet interim administration to work harder

towards to mobilizing the reluctant masses. He said the puppet administration

had been expected to (?declare) to the people of Namibia such stupid ideas as

bantustans [words indistinct] and the Botha administration was threatening

to remove it. Comrade Nujoma said South Africa is spending U.S.$3 million

a day on forces in Namibia. South Africa continues to occupy Namibia in

defiance of the United Nations.

Interview With ZIANA

MB070550 Johannesburg SAPA in English 2216 GMT 6 Mar 87

[Text] Harare March 6 SAPA—SWAPO's president, Sam Nujoma, tonight warned

that American involvement in the rebuilding of an airbase at Kamina in

southern Zaire was a threat to Frontline States opposed to South Africa. "It

is a threat to Africa as a whole because Frontline States could become victims

of American actions like the bombing of Libya last year," he told Zimbabwe's

semi-official news agency, ZIANA, in an interview. He called on African

nations and the Organisation of African Unity to pay attention and check these

developments in southern Africa.

56
Mr Nujoma, who is in Zimbabwe on a two-day visit to brief the chairman of

the Non-aligned Movement, Zimbabwean prime minister, Mr Robert Mugabe, on

the situation on SWA/Namibia, warned of the dangers of possible deployment

of American troops in the region. "The airbase poses a real threat to

southern Africa," he warned. The SWAPO leader said he hoped that the

United States was not planning direct military involvement in southern

Africa because, like the Reagan administration's policy of constructive

engagement, the airbase threatened the struggle for liberation.

Earlier today the U.S. charge d'affaires in Zimbabwe, Mr Ed Fugit, told a

meeting of the National Forum in Harare that the U.S. Defence Department had

begun discussions with Zaire to refurbish the airbase "that would possxble

be for our use if needed." Speaking on behalf of the U.S. ambassador to

Zimbabwe, Mr James Rawlings, Mr Fugit said it was Defence Department policy

not to comment on whether the airbase would be used to support UNITA rebels

in southern Angola.

A report in THE NEW YORK TIMES earlier this year quoting diplomatic and

business sources as saying that the U.S. Central Intelligence Agency used the

abandoned airbase in a highly secret operation to airlift arms to UNITA troops

in southern Angola was neither confirmed nor denied in Washington by a CIA

spokesman. The spokesman said the agency normally neither confirmed nor

denied any allegation of cover activities, but that "any covert activity we

might be conducting would be in support of U.S. policy and under appropriate

authority.

In its special report THE NEW YORK TIMES wrote that C-130 and Boeing 707 cargo

jets with the markings "Santa Lucia Airways," landing mainly at night, arrived

at Kamina airbase with arms deliveries on three occassions last year.

One diplomat was quoted as saying the operation was being run by a black_

American known as colonel who was in charge of 20 men, including some Zaireans.

The airbase, which was built by the Belgians in the early fifties, was left to

deteriorate over the past 20 years.

Asked whether the airbase would be used by the U.S. to intervene militarily

in southern Africa, Mr Fugit said his country had no military forces m subsaharan Africa "unlike several East European countries and a Carnbean

country," except in Morocco and Libya several years ago. We are looking at

the region as a super-power needing various options. It is not a tendency

to have bases, but planning for contingencies and the possibility to have the

means in future," he said.

In what was referred to as a major U.S. foreign policy statement, the American

ambassador said in the speech read on his behalf by Mr Fugit that Americans

saw Zimbabwe as a model of prosperity and stability in a strategically important

region beset by economic backwardness and political strife. Mr Rawlings said

that the failure of the Zimbabwean model would have damaging repercussions

beyond its borders. "It would, I believe, open the door yet further to the

57
meddling of the Soviets and their surrogates whose foreign policies thrive

on conflict and confrontation," he said. Mr Rawlings said that this was one

reason why the U.S. spent large amounts of diplomatic and financial capital

to help in the transition from Rhodesia to Zimbabwe.

Asked to comment on the American ambassador's speech, Mr Nujoma said that since

1983 the Reagan administration had bailed out repressive regimes, including

using its power in the International Monetary Fund to secure a 1.7 billion

U.S. dollar loan for South Africa. This money, he said, was used to strengthen

the apartheid economy and buy weapons to suppress the legitimate aspirations

of the SWA/Namibian and South African people.

"We realised long ago that after the defeat of the shah of Iran, the U.S.

is now shifting to the Middle East and southern Africa," he said.

The SWAPO president warned that Africa had to defend against becoming a

neo-colonial area of the U.S. The U.S. was interested in the airbase at

Kamina because of the weakness of Africa within the American global

strategy and to act in defence of racist South Africa.

Referring to the struggle of the Vietnamese against U.S. imperialism, Mr Nujoma

said this was the only path left for the people of South Africa and SWA/Namibia.

"The struggle against the oppression of our people has nothing to do with

communism. We have a legitimate right to fight because we are oppressed,"

he said.

Blaming communism for the turmoil in southern Africa was blackmail and had to

be condemned and rejected.

"Zimbabwe is a good example because before independence they called the leaders

of the liberation struggle terrorists and now they call us commies," he said.

Mr Nujoma said this was nonsense.

While SWAPO was continuing its armed struggle in which 40 South African troops

were killed last week, he said his party was prepared to talk to South Africa

in preparation for the adoption of United Nations Resolution 435. The UN

resolution adopted in 1978 calls for a ceasefire, withdrawal of South African

troops from SWA/Namibia and UN-supervised elections. South Africa was employing the delaying tactic of linking SWA/Namibia independence to demands for the

withdrawal of Cuban troops from Angola, said Mr Nujoma.

"In view of Pretoria's intransigence and its refusal to cooperate with the

UN secretary general to implement Resolution 435, we feel that the only

alternative open to us is to carry out the armed struggle with intensity.

This is what is happening at the moment, said the SWAPO leader.

He emphasised that the stepping up of the struggle in both South Africa and

SWA/Namibia was part of the strategy of the liberation movements working

together for the ultimate collapse of apartheid and he condemned America's

role, saying the U.S. administration lacked an effective Africa policy.

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NAMIBIA

SWATF, SADF, SWAPO REPORT ATTACKS, CASUALTIES

SWATF Statement

MB091614 Johannesburg SAPA in English 1451 GMT 9 Mar 87

[Text] Windhoek March 9 SAPA—Security forces from northern SWA/Namibia

have shot and killed 26 SWAPO insurgents in various skirmishes in the last

18 days, bringing to 298 the number of SWAPO losses to date this year, the

SWA Territory Force said in Windhoek today.

The security forces suffered two losses. Their particulars would be released

by the South African defence headquarters in Pretoria, the SWATF said in a

statement.

The SWATF statement said there were several incidents at the weekend aimed at

intimidating civilians in northern SWA/Namibia through SWAPO s armed wing

in an attempt "to regain lost prestige after the painful losses suffered (by

SWAPO) in the short time" since the beginning of the year.

The home of an Ovambo headman, Mr Gabriel Kautima, was attacked by armed

SWAPO insurgents with 60mm mortar bombs and small-arms fire about 10km west

of Etale in the early hours of Friday morning. The homeguard drove off the

attack and there were no casualties or damage.

In the early hours of Saturday, the home and shop of an Ovambo headman,

Mr Gotlieb Dan, were attacked with 60mm mortar bombs, but the homeguard

routed the attackers, the SWATF said. The shop was badly damaged, but nobody

was injured and there was no damage to the kraal. Mr Dan was away from home

at the time of the attack.

The SWATF said slight damage was caused to Olyaanhenge School near Okalango

at 1 a.m. on Sunday by a SWAPO bomb.

Severe damage was caused to Tsandi School 10 days earlier when a corner pillar

was shot away by explosives, the statement added.

59
SWAPO Press Release

MB120914 Dakar PANA in English 0820 GMT 12 Mar 87

[Text] Luanda, 12 March (PANA)—SWAPO has described a South African claim

that it has killed more than 300 SWAPO fighters while losing only 21 of its

troops this year as a pure fabrication, according to a SWAPO press release

in Luanda yesterday. The release said, whilst grossly exaggerating SWAPO

casualty figures as usual, the statement is in itself an admission by the

enemy that there is an escalation in the armed conflict in Namibia. It noted

that in their effort to paint a false picture of hollow victories, the racist

propagandists are being caught up in their own lies, as is always the case

when fabricating stories.

Only last November, the racist propaganda machine boasted in the right-wing

London DAILY TELEGRAPH that they had driven SWAPO back to the first stage of

guerrilla warfare, the organisational stage, claiming further that PLAN

[People's Liberation Army of Namibia] combatants last only four days on

average before they are killed or forced to flee. The paper went on to claim

that there were only just 90 insurgents being hunted around the clock in the

north, and that SWAPO has lost 10,350 men in the war.

The SWAPO release noted that the exaggerations and contradictions are so

glaring. It pointed out that only in the last two months of 1986, the racist

regime claimed that military victory is now in grasp and that it was about to

achieve the only second successful counterrevolution this century (after the

British-malaya war in the 1950's), as it boasted to have virtually eliminated

SWAPO's fighting forces inside Namibia.

The release further said that, two months later, the same regime is claiming

to have killed 300 SWAPO combatants in a series of combat engagements in

Namibia. All of a sudden, just 90 insurgents being hunted around the clock

have multiplied to the extent that 300 have been killed in the first two months

of this year, it added.

Pretoria should stop deluding itself that it is or will ever achieve a

military victory in Namibia. The notion of a second successful counterrevolution this century is definitely an illusion of hope, the release stated.

It noted that the objective reality is that the People's Liberation Army of

Namibia (PLAN) is steadily intensifying the armed liberation struggle. In

January alone, it carried out 66 combat actions, resulting in 40 South African

soldiers killed and 138 others wounded, while itself suffering a loss of

14 combatants.

In the same period, PLAN continued to demonstrate its improved aerial power

by downing two enemy helicopters and four military planes shot down by PLAN

in 1986.

The release stated further that, racist propaganda and disinformation to the

contrary, the real picture inside Namibia is thus one of an escalating

military confrontation, and PLAN combatants are quite confident that in the

coming weeks and months developments in the Namibian war theatre will give

the lie to Pretoria's hollow claim to be winning a counter-revolutionary

military victory in Namibia.

60
SADF Statement

MB130627 Umtata Capital Radio in English 0500 GMT 13 Mar 87

[Text] The South African Defense Force has denied it lost 40 soldiers in

skirmishes with SWAPO guerrillas in Namibia. The rebel movement yesterday

said 40 soldiers were killed, 2 helicopters, and 4 planes shot down in

January. It said it has carried out 66 attacks against South African

forces in that month and that more than 138 SADF soldiers have been wounded.

But the SADF has called the allegation absurd.

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61
NAMIBIA

POLICE COMMISSIONER VOWS INQUIRY INTO BEATINGS

MB091615 Johannesburg SAPA in English 1527 GMT 9 Mar 87

[Text] Windhoek, March,9, SAPA—Police would carry out an investigation

into alleged torture of SWAPO captives by members of a police counterinsurgency unit and by the security branch in northern SWA/Namibia, the

commissioner of the SWA police, Lt-Gen Dolf Gouws, said in Windhoek today.

He said an inquiry would be instituted in view of several policemen having

testified in the Windhoek Supreme Court that they had beaten a number of

alleged SWAPO insurgents presently standing trial on more than 200 charges

under the Terrorism Act.

An officer of the police counter-insurgency unit, Capt Frantz Ballach, told

the court last week that the assault of a detainee was necessary in order

to obtain information on the location of explosives caches.

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62
NAMIBIA

WHITES VISIT ZIMBABWE TO OBSERVE MAJORITY RULE

MB100916 Johannesburg SAPA in English 0908 GMT 10 Mar 87

[Text] Harare, March 10, SAPA—A group of white SWA/Namibian businessmen

and farmers is in Harare on a fact-finding mission to observe life under

majority rule.

Mr Ulrich Eins, owner of a meat processing company in Windhoek, and his group

of 12 which includes three women, arrived in Harare on Sunday for a three-day

visit organised by an interest group of German-speaking SWA/Namibians.

The 45-year-old company executive told ZIANA, Zimbabwe's semi-official news

agency, that the interest group with a membership of 2,000 from among the

20,000 German-speaking white SWA/Namibians, saw parellels in the political

histories of SWA/Namibia and Zimbabwe.

"We also have a war situation in our country," said Mr Eins.

"The main objective of our visit is to acquaint ourselves with how Zimbabweans,

blacks, whites and Asians go about their day-to-day lives and what problems

and achievements they have seen in a newly independent Zimbabwe.

Mr Eins said that like Zimbabwe, the South West African territory shared a

common border and had trade links with South Africa.

Yesterday Mr Eins and his colleagues had talks with several government ministers,

They also met representatives of the Commercial Farmers Union and vxsited the

agriculture research and training farm on the outskirts of Harare.

Today the group is scheduled to have discussions with leaders of the Confederation of Zimbabwe Industries. The speaker of the House of Assembly,

Mr Didymus Mutasa, is expected to host a luncheon party for the visxtors.

Mr Eins said that from Harare his group flies to Lusaka in Zambia for a one-day

visit during which it will meet government officials, representatxves of SWAPO

and visit the United Nations Institute for Namibia.

63
Of the group's visit to Zimbabwe, Mr Eins said the country had "really come

together" despite the fact that people were at war only eight years ago.

"We have found a positive and realistic attitude from both sides, the government and the private sector, blacks and whites and the various factions," he

said, adding: "There is plenty of potential to get together and build up

the country constructively."

Asked how white SWA/Namibians viewed neighbouring black independent states,

Mr Eins said their perception was influenced by South African propaganda

that the countries were led by governments with "so-called socialist and

communist ideologies."

"This is what South Africa says and this is what the whites believe."

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64
NIGERIA

BABANGIDA OPENS ANNUAL ARMY STAFF TRAINING CONFERENCE

Kaduna NEW NIGERIAN in English 27 Jan 87 pp 1, 3

[Article by Nkem Agetua]

[Text]

THE role of the military in national development should be carefully re-assessed, the President, Major General

Ibrahim Babangida said

in Lagos yesterday.

He also urged participants

at the opening of this year's

chief of army staff annual

training conference at the

Nigerian institute of International Affairs, (NIIA), to focus

primarily on the role of the

military and its training in the

art of governance.

President Babangida stressed that such a perspective was

necessary fif we were to

strengthen our resolve to

create a better social and

political environment.

The President talked on the rationale for military rule in

Nigeria, pointing out that there

were no fewer than nine identified causes of military interventionin African politics.

These, he said, ranged from

weaknesses of political institutions to the professional and corporate actions of officers as well

asthe class orientation of such

officers.

General Babangida also said

we had even been info-med that

the idleness of soldiers and the

neglect of military interest could

cause military intervention.

President Babangida then raised a number of questions,

especially as they relate to the

role of the military in national

development.

He said first, the basis of

military rule has not been so

much its inherent superiority

over civil rule (and vice versa),

rather it has been whether or not

such a role was normal.

Secondly, he said, the justification and explanation of the

military rule has been a reaction

of the shortcomings of the

displaced civilian rule and the

general frustration,in the society.

President Babangida said

there was need to define and redefine such assessment in the

light of the objectives the present

regime has set for itself.

He said once we have done

that, "we can then re-examine

the role and training of the armed

forces inthe art of governance."

President Babangida expressed his view that the true course of

national development was an activity that should be the concern

of every citizen.

For this administration, he

said, "we have set for ourselves a

course which is based ort three

pillars — economic reconstruction, social justice and selfI*a1 If)TIPP

He said the administration intended to bring about,such an

order through a minimum

government which was devoid of

the control syndrome and one

which concentrated on the provision of basic utilities and services.

Commending the armed forces

for its continued support, the

President said the difficulties of

the time posed special challenges

to the army leadership.

He urged that the training programme must continue to inculcate the virtues of humility,

sense of mission, respect for

humanrights and social justice.

In his speech, the Chief of Army Staff, Major-General Sani

Abacha, said the army was proud

of General Babangida, because ofhis efforts to revamp the gloomy

economy of the nation to a bright

one.

He pledged the army's "steadfast loyalty to you and the administration."

General Abacha also expressed

the army's gratitude for the continued interest in their welfare,

adding that the army would also

do all it could to assist in the task

of revamping the nation's

economy.

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65
NIGERIA

AIKHOMU ANNOUNCES DONATION TO NON-ALIGNED AFRICA FUND

Kaduna NEW NIGERIAN in English 27 Jan 87 pp 1, 3

[Text] NIGERIA has donated 15

million dollars ( about »54

million) to the Non-Aligned

Africa Fund to assist liberation

movements and the Frontline

States in their fight against the

racist South African government.

The Chief of General Staff.

Rear Admiral Augustus

Aikhomu, announced the donation in New Delhi on Saturday at

the two-day summit of the ninemember committee of the fund.

Rear Admiral Aikhomu said

(he amount was in addition to

Nigeria's bilateral assistance to

each of the Frontline States.

India's Prime Minister, Mr.

Rajiv Gandhi announced a total

collection of 70 million dollars

(about »252 million) to the fund

with his country donating 40

million dollars (about »144

million).

Leaders of the nine-nation

Africa Fund hailed the NonAligned "blueprint of positive"

action to help Frontline States

and appealed to powerful nations

to threw their might on

the side of human good and comprehensive, mandatory sanctions

against the racist Pretoria

regime.

"We have only begun the battle

we have thrown' the gauntlet.

This is a challenge to ourselves

and to the world at large."

declared Zimbabwean Prime

Minister, Mr. Robert Mugabe;

chairman of the 101-nation NonAligned Movement (NAivi;.

Heading the speakers at the

concluding session of the two-day

summit of Africa fund in New

Delhi, Mr. Mugabe said the people of South Africa had high and

legitimate expectations and that

their hopes were vindicated.

"It is a realistic and sober

assessment of the real needs of

the domestic and external victims of apartheid," he said.

Zambian President Kenneth

Kaunda called on the international community to institute appropriate measures aimed at implementing the plan of action

which the New Delhi summit approved.

Dr. Kaunda, who is chairman

of the Frontline States, said the

implementation of the plan of action would "undoubtedly entail a

tot of sacrifice in terms of. human

and financial resources as the

apartheid regime and its

surogates in Angola and Mozambique were likely to intensify

their banditry."

He appealed to the international community to generously

provide assistance to the Africa

Fund as it was the "only way that

the effects of retaliatory actions

by the Pretoria regime can be

minimised."

Congolese President Denis

Sasou Nguesso, who is current

chairman of the OAU, described

the African Fund as an "important

step forward in strengthening

and consolidating the NonAligned Movement.

NAM, he said, was a party to

today's reality and appealed to

the international community to

throw its weight in the struggle

for the restoration of human

dignity in southern Africa.

Rear Admiral Aikhomu has

since returned to Lagos.

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66
UN PANEL RESETTLES, INTEGRATES REFUGEES

NIGERIA

Lagos DAILY TIMES in English 31 Jan 87 p 16

[Text] T_HE United Nations

A

Commission for Refugees ' has rehabilitated

5,000 refugees in Nigeria

with the aid of self-help

projects.

Uf the number, 4,000

Chadians, who fled thencountry were locally integrated in farming and

other ventures in Borno

State.

Others, including

Ghanaians, South Africans, Rwandese, Namibians, Ethiopians, Beninoise. East Europeans,

Sri Tiankans and' Ugandans are working in UN

small-scale' industries

scattered all over the

country.

These facts were made

known in Lagos on Wednesday during an interview with the UN high

commissione«' for refugees

in Nigeria Mrs.. D.B.

Lasan.

The' high commissioner

said that the funds for the

settlement of the refugees

were ' provided by the

United Nation«.

She explained that the

UN also supported liberation fighters who found

their ways into the

country by offering them

scholarships to study In

the country as well as protecting them.

She however, explained

that only those refugees

who complied with th«.

1951 Convention and

1967 protocol relating to

the status of refugees, are

considered for assistance.

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67
NIGERIA

SUBSIDY TO BE REMOVED FROM CRUDE OIL, PRICE INCREASE EXPECTED

Kano SUNDAY TRIUMPH in English 1 Feb 87 p 1

[Text] The price of crude oil sold to Nigerian oil refineries is to increase

by 150 per cent as from March this year.

The Nigerian National Petroleum Corporation (NNPC) presently sells a barrel

of crude oil to the refineries at a heavily-subsidised rate of N7, which goes

up to Ä18 under the new dispensation.

Enquiries made by the SUNDAY TRIUMPH revealed that the NNPC had communicated

this new price policy to all oil marketing companies and independent marketers

of petroleum products.

Official sources said the NNPC was being forced to remove subsidy on the crude

oil sold to local refineries as a result of the introduction of the Second-tier

Foreign Exchange Market (SFEM) which had eroded the profit maring of locallyproduced petroleum products.

Another argument which the NNPC advanced to defend the astronomical price increase was that the refineries procure spare parts and other materials at

SFEM rate.

With the increase in production cost of refining, it is certain that the prices

of fuel and other petroleum products will go up in the first quarter of this

year.

President Ibrahim Babangida, in his budget speech on January 1, had warned

that if the smuggling of petroleum products persisted the Federal Government

might increase the prices of those products.

Meanwhile, oil marketing companies and independent marketers of petroleum

products have been complaining about the adverse effect of SFEM on oil marketing.

For instance, the Managing Director of National Oil Company, Mr Moshood

Akanbi, said the SFEM had eroded the profit margin of petroleum product

marketers,

68
He said NNPC had made available copies of reports on product prices and profit

margins which he said would go a long way towards realistic prices for petroleum

products.

In his comment, the President of the Independent Petroleum Marketers Association (IPMAN), Alhaji Halhinu Abdullah, said that with the advent of the

SFEM, members of the association have been finding it increasing difficult

to operate in view of the inflation in the country.

He appealed to the NNPC to increase its overall margin by 94.4 percent which,

he said, would leave them with 7,07 Kobo as against the present 8 kobo per

litre.

To make petroleum products available to Nigerians at government-approved

prices, Alhaji Abdullah! said his association was planning to build a

lubricating plant in Kaduna at a cost of about one million Naira.

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69
BANK MANAGER ON CENTRAL BANK'S SFEM INTERVENTION

Kaduna NEW NIGERIAN in English 28 Jan 87 pp 1, 3

NIGERIA

[Text]

THE Managing Director of

the Union Bank of Nigeria

Limited, Mr. P.A. Ogwuma

has justified the intervention

by the Central Bank of

Nigeria (CBN) to stabilise

the exchange rates of the

Naira.

Mr. Ogwuma told the

bank's pre-annual generalmeeting with the press and

stock-brokers in Lagos on

Monday that the monetary

authorities of any country

were entitled to intervene in

such a matter.

He said recently the

governments of West Germany and Japan intervened

to halt further depreciation

of the U.S. dollar relative to

their own currencies.

Theobjective, he said, was

to retain the competitive advantage of their exports into

the U.S. market, adding that

if a country could interfere

with a foreign currency, it

should be able to do the same

with its own currency.

Mr. Ogwuma however,

said he would like to see a

two-way intervention by the

CBN instead of the one-way

which mainly concentrated

on forcing the value of the

Naira down.

The managing director

said the five per cent allowed

by the monetary authority to

the three big banks' — Union

Bank, First Bank and United

Bank for Africa — for the purchase of foreign exchange

under the second-tier foreign

exchange market was not

acceptable.

According to him,

statistics showed that before

the introduction of SFEM,

his bank handled about 20

per cent of all nongovernmental foreign exchange transactions, the

largest in the country.

He said the restrictions

meant that the three large

banks were not allowed to

meet the needs of their

i customers, adding that "we

are making further

representations to the

authorities for an increased

ceiling which we hope will

meet their favourable consideration in view of the

weight of supporting

statistics."

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70
NIGERIA

SURVEY BLAMES SFEM FOR DRASTIC DROP IN STANDARD OF LIVING

Kaduna SUNDAY NEW NIGERIAN in English 1 Feb 87 p 16

[Article by Bukky Wilson]

[Text] THE standard of living of

Nigerians has fallen drastically since the introduction of

SFEM, a survey carried out

by the Sunday New Nigerian

(SNN), has revealed.

SNN discovered that it is not

only the poor or the middleclass who are feeling the

crunch. Even the rich now

have to cut down on a number

. of expenses they used to incur.

Our investigations revealed

that while the- economic

crunch has been able to cut the

excesses of the rich, the poor

"and mkidle class have simply

fallen into penury.

Many homes have cut the

number of meals they take to

one a day.

The situation is particularly

bad for civil servants in the

junior cadre, daily paid

workers and unskilled

labourers.

-A lady who preferred

anonymity told the SNN at the

Federal Secretariat in Lagos

that her family menu has

since taken a downward trend.

She said that she was married to a level 06 officer while

she was a clerical officer on

grade level 04.

' She said that when the times

were good, she used to

prepare a pot of soup for her

husband and three children

every other day, but now she

could only afford to prepare a

pot of soup once a week.

She recalled that on other

days, her family used to make

do with bread and water and

soaked garri, adding that they

now patronise roadside yam

and plantain sellers, a habit

she claimed she had just

cultivated.'

She said that even with their

combined salaries, they still

find it difficult to cope with the

many expenses. _

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71
NIGERIA

NATIONAL DIRECTORATE OF EMPLOYMENT LAUNCHED

Programs of New Directorate Highlighted

Kaduna NEW NIGERIAN in English 31 Jan 87 pp 1, 3

[Article by Suleiman Dangana]

[Text]

PRESIDENT Ibrahim

Babangida has warned

that the newly launched

National Directorate of

Employment should not

be inhibited by unnecessary administrative bottlenecks but should

operate with reasonable

flexibility outside the

rigid rules of bureaucracy.

Launching the directorate in

Lagos yesterday, the President said in implementing its

programmes, the directorate

should cooperate fully with

state and local governments

and with the private sector.

The President, who was

represented by the Chief of

General Staff, Rear Admiral

Augustus Aikhomu said where

possible and subject to negotiation and agreement, the

directorate should make use of

facilities owned by state or

local governments and the

private sector.

He said such co-operation

should be actively promoted in a

spirit of give and take.

President Babangida also said

about 10 per cent of the labour

force in the urban areas and 4.1

per cent of labour force in the

rural areas were unemployed.

He stated that as a whole, there

was an unemployment rate of

over six per cent and that it was

estimated that at least 3 million

people were unemployed.

He stated that for the economy

as a whole, such a high level of

unemployment represented a

gross under-utilisation of human

resources which could not be ignored by any serious government.

President Babangida said the

Federal Government recognised

that the present high level of

unemployment was essentially a

reflection of the recession which

has engulfed the Nigerian

economy for the past six years,

adding that the structural adjustment programme which was formulated by this administration

would go along way towards

eliminating the problem of

unemployment.

He explained that the

monetary, fiscal and general

policy measures which formed

part of the 1987 budget were all

geared towards the revival of the

economy and generation of

employment opportunities.

Under the national youth

employment and vocational skill

development programme, it is

estimated that training facilities

would be found for 50,000

unemployment persons this year.

President Babangida also said

20,000 persons would be provided

employment under the special

public works programme.

He said examples of such

public works with high labour intensity includeiconstruction and

maintenance of roads, buildings,

dams and other infrastructure

environmental sanitation, planting of trees to prevent desertification and bush clearing for

agriculture.

Unemployed youth with bright

ideas and proven ability would be

given financial assistance -and

any other support necessary to

establish small-scale industries,

he assured.

Under employment promotion

in agriculture the directorate

would promote labour intensive

agriculture production in all

states of the federation, the president said.

He added thai unemployed

people who were interested in

agriculture would be given relevant training, provided with land

and loans to engage in

agriculture under proper supervision.

Immediately after the launching of the directorate, the first

applicant under the apprenticeship scheme was registered.

He is Mr. Egbahi Christopher,

a West African School Certificate

holder, from Benue State. His

first choice of job was accounting

72
and computer programming waS

the second.

Mr. Abiodun Ohisuwa from

Bendei State was also registered

for mechanical job.

Guaranteed Loan Scheme Established

Lagos DAILY TIMES in English 31 Jan 87 p 1

fTextl A N3°

million Job

1 "

creation loan guarantee

scheme has been established by the National Directorate of Employment.....

The Minister of

Employment, Labour and

Productivity, Brigadier Ike

,Nwachukwu, disclosed this

in his address on the occasion of the launching of

the National Directorate

of Employment in Lagos

yesterday.

He said "the amount

would .be deposited with

participating banks- to encourage banks grant loans

to entrepreneurs to enable

them create jobs for the

unemployed.

Brig. Nwachukwu disclosed that 20,000 jobs

have so far been created by

the directorate under the

special^ public works programme.

He said the figure was

made up of 2,000 graduates and 18,000 nongraduates out of'which the

19' states and Abuja, had

1,000 jobs allocatgd to

each of them.

/9274

CSO: 3400/194

73
NIGERIA

ABUJA PLOT HOLDERS TOLD TO DEVELOP OR RELINQUISH

Kaduna NEW NIGERIAN in English 31 Jan 87 p 16

[Article by Ibrahim Biu]

[Text] ALLOTEES of plots in Abuja

who fail to develop them within

two years would "definitely lose

them", Minister of the Federal

Capital, Air Commodore Hamza

Abdullahi, has said.

He expressed concern that individuals and corporate owners

of plots within the FCT have not

started meaningful development

even after necessary infrastruc

ture had been provided.

The minister who was briefing

newsmen on activities of his

ministry yesterday said 3,500

residential, 350 commercial and

416 industrial plots have so far

been allocated to various individuals and organizations in

Abuja by the ministry.

The minister said 400 plots

were allocated for heavy and

light industries at Gwagwalada

and Idu industrial zones, adding

that 500 commercial plots were

also allocated to various companies such as SCOA • Nigeria

Limited, UAC, Leventis, CFAO.,

PZ and Chellarams while 40 other

plots were allocated to commercial banks currently operating in

rented houses.

Air Commodore Abdullahi said'

16 plots were allocated for the

establishment of petrol filling

stations to curtail the perennial

shortage of petrol in the city and

10 plots went to corporate bodies

and individuals for the establishment of hotels and restaurants.

Twenty plots were allocated to

religious organizations while

liaison offices have been

allocated to all the states.

He also announced that

preparation of layouts and

master-plans for residential,

commercial and industrial

development as well as development control were being carried

out.

The minister referred to the 35

million Naira paid out last year

for the resettlement of displaced

people and explained that as at

now a resettlement task-force of

the FCDA was investigating to

ascertain those who were actually paid and those who were not.

He said inhabitants of the FCT

who were also displaced by some

projects but elected to remain

within the territory had been

resettled in New Usman Town

while those displaced from Garki

and Maitama would be resettled

in Kubwa.

The Minister also announced

that work on 3,705 abandoned

housing units would soon be completed and the buildings would be

handed over to government to accommodate more officials

transferred to Abuja from Lagos.

Air Commodore Abdullahi said

due to the increased tempo of

work the number of houses completed has doubled from 2,938 in

January last year to 4,247 in

January this year.

He said Nyanya water project

would soon be completed and

more boreholes would be sunk in

Gwagwalada.

/9274

CSO: 3400/196

74
NIGERIA

BRIEFS

EQUATORIAL GUINEA CADET TRAINING—The Nigerian Defence Academy (NDA),

Kaduna, will begin the training of officer cadets from Equatorial Guinea by

March, This was disclosed in Kaduna by the commandant of the academy,

Major General Paul Tarfa, while briefing visiting President Obiang Nguema

Mbasogo of Equatorial Guinea yesterday. The commandant said that officer

cadets from the Nigerian armed forces were being trained at the academy with

a view to training highly skilled and competent officers. Gen Tarfa said a

department of Defence Study and International Affairs would be opened at the

NDA in October. [Text] [Lagos DAILY TIMES in English 31 Jan 87 p 9] /9274

NEW AIRLINE SERVICES ABUJA—A new airline, the Jambo Air will start operating

flight schedules to and from Abuja this week. In addition to this, the

Nigeria Airways is looking into the possibility of increasing its flights to

Abuja, Minister of Abuja. Air Commodore Hamza Abdullahi announced this

on Friday during his ministerial press briefing at Abuja, [Text] [Lagos

DAILY TIMES in English 2 Feb 87 p 3] /9274

CSO: 3400/197

75
REUNION

BRIEFS

PREPARING FOR ELECTIONS—Axel Kichenin, leader of the Mouvement Progresslste

Reunionnais and mayor and regional representative of Sainte Marie, has decided

to hit back after his court sentence (see ION No 265) which would bar him

from politics if upheld on appeal. Mr Kichenin, of Tamil origin, is already

preparing for new elections, mobilising his supporters on communal issues

and against a judgement he considers discriminatory, ION—The MPR leader

is today very isolated on the political scene in Reunion. But he still enjoys the support of the Socialist and Communist parties on his own municipal

council. In case of elections he would no doubt benefit from divisions

among his opponents in Sainte Marie, and would have every chance of retaining

his seat. [Text] [Paris THE INDIAN OCEAN NEWSLETTER in English 24 Jan 87 p

4] /9274 F

NEW RIGHT-WING DAILY PLANNED—Auguste Legros, chairman of Reunion's general

council, mayor of Saint Denis, member of France's ruling RPR party and substitute for the deputy Michel Debre, has decided to launch a daily called LE

LIBERAL. The local right, particularly the RPR, feels that the JOURNAL DE

L'ILE DE LA REUNION, which traditionally supported it, has lost its combativeness and its impact on the public. In principle local finance is available.

[Text] [Paris THE INDIAN OCEAN NEWSLETTER in English 24 Jan 87 p 4] /9274

CONSTRUCTION INDUSTRY RECOVERS—The construction industry which has been in

trouble for the past few years (jobs fell from 11,000 in 1981 to 8,000 in

1984) enjoyed a recovery in 1986. Some 1,200 new jobs were created and the

industry expects a further 1,000 this year. The situation was helped in

particular by the tax concessions granted by the right-wing government of

Jacques Chirac. However, these only concern high quality housing, while the

local authorities are having great difficulty in carrying out their own housing

programmes for lack of resources and the soaring price of land. [Text]

[Paris THE INDIAN OCEAN NEWSLETTER in English 31 Jan 87 p 6] /9274

CSO: 3400/181

76
ZAIRE

BRIEFS

AGRICULTURAL AGREEMENT WITH PORTUGAL—The Republic of Zaire and the Republic

of Portugal have, at the end of their first joint commission meeting held in

Lisbon, Portugal, from 9 to 11 March, signed a protocol agreement on technical

cooperation in the agricultural sector. [Excerpt] [Kinshasa AZAP in French

1728 GMT 11 Mar 87 AB] /8309

CSO: 3400/228

77"
ZAMBIA

KAUNDA OFFERS TO MEDIATE IN NAMIBIAN CONFLICT

MB061735 Johannesburg THE STAR in English 6 Mar 87 p 3

[By Brendan Seery of THE STAR's Africa News Service]

[Text] Lusaka—President Kenneth Kaunda of Zambia yesterday said he was

prepared to act as go-between between the South African Government and SWAPO

in a bid to reach a settlement in Namibia.

He said he was still prepared to have another meeting with President Botha,

whom he last met in the historic "Marula summit" on the Botswana border in

April 1982.

President Kaunda's offer to mediate in the Namibian conflict follows yesterday's statement by SWAPO President Mr Sam Nujoma that he was prepared to meet

the South Africans at "any time and any place."

Mr Kaunda said should South Africa react positively to Mr Nujoma's offer, he

was prepared to convene a meeting between Mr Nujoma and President Botha but

stressed he was opposed to any meeting held simply to "show the world that

people are meeting."

He said that in any war the time came when antagonists had to sit down and

negotiate peace.

The Zambian leader said Mr Nujoma's offer had been made several times in the

past but ignored by Pretoria.

However, he said he still fully supported the SWAPO's leader approach that

Resolution 435 was not negotiable.

South Africa insists Namibia negotiations involve the internal parties.

Mr Nujoma refuses all direct dealings with them.

Namibian administrator-general Mr Louis Pienaar said in Windhoek yesterday in

reaction to Mr Nujoma's statement that the administration was willing to take

up Mr Nujoma's offer if it was "serious."

/8309

CSO: 3400/228

78
ZIMBABWE

SENATOR URGES RETALIATION FOR MACHEL DEATH

MB060713 Johannesburg SAPA in English 0129 GMT 6 Mar 87

[Text] Harare, 5 Mar (SAPA)—A Zimbabwean senator has called for retaliation

against South Africa for Mozambican President Samora Machel's death, the semiofficial news agency ZIANA reports.

Speaking on a motion on President Machel's death which was adopted in

Parliament today, Senator Chief Mangwende pointed out the South African

foreign minister had admitted his initial statement about the death of the

president had been incorrect.

"If a foreign minister later concedes that initially he had misinformed the

public, are we not bound to conclude the cause of Comrade Machel's death?" he

asked. "I believe even the staunchest supporters of apartheid-ruled South

Africa are admitting privately that Samora Machel's death was caused by South

Africa," he said.

"I believe the harsh manner of his death deserves a similar retaliation on the

enemy. Our generations are going to fight South Africa until that country is

free," he said.

South Africa believed that by brutally oppressing the black population using

the gun it would silence it, he said. This would not happen, he said, citing

Rhodesia as an example of where such tactics had failed.

"I am surprised that Botha is not at this stage in a position to learn from

the experiences of his colleagues in Rhodesia," he said.

/9599

CSO: 3400/201

79
ZIMBABWE

BRIEFS

SURPLUS MAIZE STORAGE COSTS ;—A report from Harare says more than 2 million

tons of surplus maize dotted across Zimbabwe in huge piles of plastic covered

bags are posing an economic headache for the authorities. The grain, southern

Africa's staple food, has been bought by the parastatal Grain Marketing Board

at prices guaranteed before it was planted. It is costing the board about 16

million dollars a month to store the maize and in interest payments money

borrowed to make the purchases. The report says the surplus, accumulated

over the past 2 years of bumper harvests, represented about 2 years of

domestic consumption and was set to grow as further deliveries were due. Some

deals have been made with aid donors such as European countries and Australia

to provide Zimbabwe with wheat in return for maize sent and to neighboring

Mozambique where the United Nations has urged greater efforts worldwide to

feed the hungry. [Text] [Johannesburg International Service in English

1100 GMT 3 Mar 87] /9599

COFFEE PRODUCTION, EARNINGS INCREASE—Foreign currency earnings for coffee

exports have increased from 9 million dollars at independence to 55 million

dollars last year. The administrative executive of the Coffee Growers

Association, Mr Robin Taylor, says there has been an increase in coffee

production. Mr Taylor says a number of communal farmers are engaged in coffee

production, adding that the most successful are cooperative schemes in the

Hwange Valley. He said although Zimbabwe grows and exports Robusta coffee,

the climate conditions in the country are not conducive to quality yields.

Mr Taylor also pointed out that the coffee which has been exported through

Beira port in Mozambique has been efficiently transported and delivered.

[Text] [Harare Domestic Service in English 0600 GMT 4 Mar 87] /9599

CSO: 3400/201

80
SOUTH AFRICA

CP DEPUTY LEADER REJECTS HNP COOPERATION PROPOSALS

MB031211 Johannesburg Domestic Service in English 1100 GMT 3 Mar 87

[Text] The possibility of an election agreement between the CP and the HNP

has received another setback with the rejection of the latest HNP proposals by

the CP this morning. The deputy leader of the CP, Dr Ferdie Hartzenberg, told

our political staff that the new proposals, which dealt with the sharing of

constituencies, among their things, was unacceptable to his party. He said no

noteworthy concessions were made as regards the HNP's demand for a 50-50

sharing of constituencies.

The new proposals were handed to the CP by the HNP last week.

The leader of the HNP, Mr Jaap Marais, has since told our political

correspondent, Frans Scheepers, that he is surprised at Dr Hartzenberg's

reaction, because the proposals are far more reasonable than earlier proposals

by the HNP. He pointed out that the proposals covered a far broader field

than mere sharing of constituencies. Mr Marais said he believed there was

wide support among members of the CP for cooperation with the HNP. For this

reason, the HNP was now sending its latest proposals to all CP members of

parliament and other influential members of the party.

/9599

CSO: 3400/202

81
SOUTH AFRICA

TREURNICHT: ELECTIONS TOO NEAR FOR CP-HNP UNITY

MB052041 Johannesburg SAPA in English 2040 GMT 5 Mar 87

[Text] Pretoria, 5 Mar (SAPA)—Unification of the political right wing was

the ideal the Conservative Party strived for but the election was now too near

for it to disband and unite with the Herstigte Nasionale Party [Reformed

National Party], the CP leader, Dr Andries Treurnicht, told supporters in

Pretoria tonight.

He was addressing about 1,500 people in the city hall, where the atmosphere

was subdued compared to the 3,000 flag-waving, foot-stomping and cheering

rightwingers who packed the venue last night to listen to militant Afrikaner

Weerstandsbeweging [Afrikaner Resistance Movement] leader Mr Eugene

Terreblanche.

The AWB leader made a final appeal for unity between the two parties in

preparation for the 6 May election and received an overwhelming mandate to

urge the CP and HNP to make a declaration of intent immediately to become one

party after the elections.

There would then be no need to bicker over a division of constituencies

between the two parties.

The HNP leader, Mr Jaap Marais, today rejected the proposal, saying it would

mean the end of the HNP and that the government could stall the registration

of a new party as long as it wanted.

Dr Treurnicht said tonight he appreciated the efforts of the organisations and

individuals who were working for rightwing unity and that he had no dispute

with them, but that he wanted to emphasise the role the CP itself had played

to this end.

He asked supporters: "Do you want to see the CP, with its clear policy,

disband and become part of a party whose policy will have to be amended?"

The CP had pleaded for unity in the by-elections in 1985 and last year,

particularly towards the end of 1986, but the HNP had rejected this.

82
At the rightwing conference in Pretoria's Skilpad Hall on 24 January this year

there had been solid support from HNP members for unity, and the CP, which was

acknowledged as the stronger conservative party, had specifically delayed

mominating its election candidates for 14 more days to give the NHP an

opportunity.

"Our people want to be one and we want one conservative party...the CP, says

this is recipe for victory."

The AWB's proposal was in essence that of the CP, and the party was committed

to unification but it now impossible to stop the party's election machinery.

The party had 120 motivated candidates, with support, in the field out to beat

the National Party, and they were fighting as a winning party.

/9599

CSO: 3400/202

83
SOUTH AFRICA

BRIEFS

BLACK ID BACKLOG DENIED—The Department of Home Affairs says there is no

backlog in issuing identity documents to black people. A spokesman for the

department in Pretoria was responding to allegations about problems with the

handling of the large number of applications. He said that up to the end of

last week about 347,600 applications had been received and successfully

handled. Last week nearly 18,000 applications had been received daily. The

spokesman said that so far no agreement had been reached with Bophuthatswana

on Tswana citizens living in South Africa permanently relinquishing their

Bophuthatswana citizenship. However, negotiations were still in progress.

Several applications had already been received from Tswanas for new documents.

[Text] [Johannesburg Domestic Service in English 1100 GMT 5 Mar 87] /9599

ALIENS ACT ARRESTS—House of Assembly, 5 Mar (SAPA)—Altogether, 10,795 people

were arrested by the SA police for contraventions of the Aliens Act, the

minister of law and order, Mr Adriaan Vlok, said today in a written reply to a

question from Mr Tian van der Merwe (PFP Green Point). In an attached note,

he said the majority of them (8,673) entered the eastern Transvaal area

illegally from Mozambique in search of a better refuge. "Control over these

aliens resort [as reside] with the Department of Internal Affairs who are

responsible for their further handling," he said. [Text] [Johannesburg SAPA

in English 1200 GMT 5 Mar 87 MB] /9599

1986 DEPORTATIONS—House of Assembly, 5 Mar (SAPA)—Altogether 32,273 people

were ordered to be removed from South Africa last year, the minister of home

affairs, Mr Stoffel Botha, said in a written reply to a question from Mr Tian

van der Merwe (PFP Green Point). Of these 32,242 were blacks, 29 whites, and

2 Asians. The blacks were from Mozambique (19,083), Botswana (7,289), Lesotho

(2,599), Zimbabwe (2,543), Swaziland (674), Malawi (37), Transkei (11),

Tanzania (3), Zaire (2), and Zambia (1). The whites were from the United

Kingdom (15), Germany (7), United States (3), and one each from Australia,

Greece, Holland, and Malawi. Both Asians were from India via Kenya. [Text]

[Johannesburg SAPA in English 1205 GMT 5 Mar 87 MB] /9599

TRESPASSING ARRESTS—House of Assembly, 5 Mar (SAPA)—A total of 95,384 black

people had been arrested for trespass by the South African police countrywide

in 1986 of whom 17,926 had been arrested in the 21 main urban centres, the

minister of law and order, Mr Adriaan Vlok, said today in reply to a question

from Mr Tian van der Merwe (PFP Green Point). The highest urban area arrests

84
were in Johannesburg (6,676) and the lowest Cape Town (2). [Text]

[Johannesburg SAPA in English 1155 GMT 5 Mar 87 MB] /9599

SADF DENIES CHISSANO CLAIM—The defense force has denied report that it is

helping the Renamo Movement in Mozambique. A spokesman for defense force

headquarters in Pretoria was responding to a BBC report in which President

Joaqum Chissano of Mozambique was quoted. He is reported to have said during

a visit to Zimbabwe that his government recently warded off an attempt by

South Africa to supply arms to Renamo in Zambezia Province. [Text]

[Johannesburg Domestic Service in English 1915 GMT 5 Mar 87] /9599

CSO: 3400/202

85
SOUTH AFRICA

BRIEFS

TRANSKEI PRESIDENT BANISHES FOUR—Umtata, 3 Mar (SAPA)—An Umtata lawyer

and three men from Cala have been served with banishment orders to

different districts of Transkei, according to colleagues. The head of the

security police, Gen Leonard Kaawe, could not be contacted to confirm the

banishment orders said to have been served on the men. A Cala bookstore

owner, Mr Viwe Gqwetha, said today that Mr A. Victor Ngaleka, Mr Meluxolo

Silinga and Mr Zingisa Nkambule were removed from Cala by security police

in terms of banishment orders signed by the state president, Paramount

Chief Tutor Ndamase. A partner in the law firm to which Mr Dumisa Ntsebeza

is attached, said Mr Ntsebeza was fetched at the firm's Umtata offices

while he was still dealing with clients. He said Mr Ntsebeza had been

served with an order banishing him to the Tsomo District and that he had

seen him at an old school where he had been given a hut to live. "We will

definitely be challenging these banishment orders, especially in the light

that the same men, together with Mr Monde Mvimbi, were served with similar

orders in 1985, which were withdrawn in October 1986 when they were

challenged." [Text] [Johannesburg SAPA in English 2146 GMT 3 Mar 87] /9604

BLACK OWNERSHIP OF TV—Johannesburg, 5 Mar (SAPA)—Black ownership of

television sets has reached a plateau and was a manifestation of the

seriousness of the current recession, market research has shown. The

strong growth in television ownership among blacks since it was introduced

had levelled off during 1986 and stabilized at 53 percent black adults

having access to television in their homes or hostels. Market Research

Africa results were based on 1,000 black adults in main metropolitan areas,

excluding Cape Town. Omnimetro Surveys director, Mr Warren Low Kum, said

the increasing electrification of black townships was expected to bring

about a rise in television ownership. Access to television among blacks

had increased on average by 6 percent each year since 1983, but stayed

constant in 1986. [Text] [Johannesburg SAPA in English 0739 GMT 5 Mar 87]

/9604

INKATHA BLAMED FOR VIOLENCE—Inkatha has been accused of causing nearly

one quarter of the Natal and Kwazulu political violence last year. But

the organization's head, Kwazulu's Chief Buthelezi is disputing the

fairness of the study by Natal University lecturer Michael Satler.

Dr Satler's report, compiled mainly from present government Bureau for

Information reports, says Inkatha initiated 24 percent of the region's

86
unrest incidents last year. He says 36 percent were caused by unknown

people; 11 percent by security forces; 11 percent by youth; 7 percent by

vigilantes; 4 percent by UDF affiliates. He says most of the violence

attributed to Inkatha involved attacks on people. Chief Buthelezi, however,

says Dr Satler is a well known sympathizer of the UDF. He also says the

staff association of the University of Natal, of which Dr Satler is a

member, is an affiliate of the UDF. [Text] [Umtata Capital Radio in English

0800 GMT 4 Mar 87] /9604

BLACK HOUSING—House of Assembly, 5 Mar (SAPA)--A total of 8,021 houses

had been built for blacks in the nine main urban areas in South Africa,

the minister of constitutional development and planning, Mr Chris Heunis,

said today. In a written reply to a question from Mrs Helen Suzman (PFP)

Houghton, he said 4,202 houses had been built on the Witwatersrand;

1 443 in Port Elizabeth; 917 in Vereeniging/Vanderbijlpark; 582 in

Kimberley; 557 in Cape Town; 221 in Pretoria, and 99 in Bloemfontein.

None had been built in the Durban and Pietermaritzburg areas. [Text]

[Johannesburg SAPA in English 1059 GMT 5 Mar 87] /9604

ARRESTS OF BLACK STRIKERS—House of Assembly, 5 Mar (SAPA)—There were

977 black people arrested for striking illegally in 1986, the minister

of law and order, Mr Adriaan VLOK, said today in a written reply to a

question from Mr Tian van der Merwe (PFP Green Point). [Text]

[Johannesburg SAPA in English 1139 GMT 5 Mar 87] /9604

CSO: 3400/198

87
SOUTH AFRICA

COUNTRY TO FACE 'LONG-TERM' REFUGEE PROBLEM

Cape Town THE ARGUS in English 11 Feb 87 p 7

[Text]

/9274

CSOJ 3400/190

JOHANNESBURG. — Refugees from Mozambique

are likely to be "a long-term problem" for South

Africa says Vice-Admiral R A Edwards, secretary

of the Ministerial Co-Ordinating Committee of the

Nkomati Accord.

The influx from Mozambique was expected to

increase by 10 to 15 percent, he said.

At present there are 300 000 Mozambicans in

South Africa: 80 000 legal workers; 70 000 "refugees" and 150 000 illegal work seekers scattered

around South Africa, particularly in the PWV area.

Since March 1986 the Department of Home Affairs has issued 50 000 provisional permits to Mozambican refugees in Gazankulu and Kangwane.

Repatriated

The permits — which entitle an "illegal alien" to

a six-month stay in a defined area and access to

short term assistance — apply only once Shangaan, Zulu and Swazi refugees have reached the

safety of their respective tribal affiliates in Gazankulu, Kwazulu and Kangwane.

"Illegal aliens" caught en route were repatriated, Vice-Admiral Edwards said.

The assistance — food, clothing, medicine and

shelter — were provided by local governments,

the State, relief organisations like the Red Cross,

Operation Hunger, the Salvation Army and

churches, particularly the Catholic Church.

There were no refugee camps, he said. People

stayed at temporary assembly points only until the

local chief assigned a piece of ground, he said.

88
SOUTH AFRICA

KRUGER PARK GETS 300 REFUGEES PER MONTH

Johannesburg THE STAR in English 9 Feb 87 p 1

[Article by Dirk Nel]

[Text] Refugees from Mozambique are still

entering South Africa through the

Kruger Park at about 300 a month.

Venda and Gazankulu citizens told

The Star that "scared and footsore

Shangaan people" were arriving at regular intervals at northern outposts.

Many were women carrying babies on

their backs and some had walked

200 km, judging from their stated villages of origin.

; Gazankulu Secretary of Health Dr R

Robert said relief committees were

operating in several districts with refugees being identified and registered by

tribal authorities and health clinics.

He estimated the present influx of

refugees at about 300 a month.

Accurate statistics are impossible in

respect of others coming into the country through Zimbabwe and a narrow

corridor between Venda and the Limpopo.

Dr Robert confirmed that most of

the refugees had been registered and

treated at a hospital at Acornhoek in

the Eastern Transvaal since October,

11985.

Since then about 20 000 refugees had

been provided with food and shelter by,

relief committees operated by his department.

•Operation Hunger and other sources

believe the number of refugees in Gazankulu to be closer to 40 000.

/9274

CSOJ 3400/190

89
SOUTH AFRICA

UNIVERSITY HEADS CONCERNED ABOUT COERCION ON CAMPUS

MB040824 Johannesburg SAPA in English 0744 GMT 4 Mar 87

[Text] Johannesburg, 4 Mar (SAPA)—The heads of five universities today

expressed their collegiate concern at the situation at the University of the

North and called on the authorities to avoid the use of force and coercion. A

statement issued by Prof Karl Tober, vice-chancellor and principal of Wits

University and endorsed by his counterparts at the universities of Cape Town,

the Western Cape, Rhodes, and Natal, said under present conditions, freedom is

under siege.

The incursions on the freedoms of universities had aggravated and complicated

issues and tensions at the University of the North which was expected to

operate normally.

Scholarly endeavour cannot flourish where freedom is restricted. Equally,

violence is deplorable and detrimental to the expansion of knowledge, the

statement said.

The integrity of universities must rest on the responsible use of their

freedoms and must be rooted in self-imposed discipline and a display of

tolerance of the views of others.

However, enforced silence and curtailed movement are preventive measures which

do not address the central issues of racism and racial discrimination. Until

the rights of all people are guaranteed in this country and freedom is

universally realised, the very fragile being of universities is endangered.

We appeal to the university communities to preserve the dignity of our

institutions and for the sake of peace we call on them and the authorities to

avoid the use of force and coercion, the statement said.

The five heads said they thought it important at the beginning of the new

academic year to restate some of their fundamental principles. The very lifeblood of universities is freedom: freedom to pursue truth through the

exploration of ideas. This research and its evidence are shared with students

in an atmosphere conducive to creativity and rationality of thought and

scholarship. Academic freedom is indivisible from individual freedom and the

other freedoms of speech, movement and the press. These freedoms are

fundamental to all creativity and can only be preserved if the autonomy of

universities is guaranteed, they said.

/9599

CSO: 3400/200

90
SOUTH AFRICA

WITS STUDENTS PROTEST SADF PRESENCE AT TURFLOOP

MB041551 Johannesburg SAPA in English 1549 GMT 4 Mar 87

[Text] Johannesburg, 4 Mar (SAPA)—A meeting to protest against the presence

of SADF troops on the University of the North campus was held at the

University of the Witwatersrand [Wits] today.

The meeting, organised by the Black Students Society at Wits, was attended by

about 400 students and was addressed by several speakers including the general

secretary of the South African Council of Churches, Dr Beyers Naude.

The meeting was held to express solidarity with the students at Turfloop

University campus which according to reports had been occupied by police and

the SADF.

Dr Naude expressed his "complete support and solidarity" with the protest

against the situation at Turfloop University.

He said the students were involved in a daily struggle for their rights to an

education which led to suffering at the hands of "apartheid rule."

"How does a student study and attempt to fulfill his academic aspirations

under a cloud of repression?

"What guarantee do we have that what is happening at Turfloop will not happen

on all other campuses around the country?"

Dr Naude said that while thousands of students were struggling with the issues

of the future of education and the future of the country, thousands of people

were getting excited about a white election.

While the election might help to promote growth of political awareness, any

notion that it would take the country closer to a political solution was an

illusion.

He said he was concerned about the disruption in school education which had

led to about 200,000 students being unable to obtain their matriculation

certificates last year. Without that qualification there was no possibility

of them obtaining any meaningful employment.

91
A student who had been expelled from Turfloop and introduced only as "Comrade

Moeti" told the meeting that the presence of the SADF and the police on the

campus had resulted in the university administration taking advantage of the

situation to impose unreasonable rules.

He said students were woken at 6 am every morning and escorted to the great

hall from where they attended lectures and then returned to the hall. Any

student found roaming around the campus was liable for a fine.

The meeting was also addressed by a representative of the General and Allied

Workers Union who said he could not understand why it was necessary for the

SADF and police to be present at universities and in black townships when the

government continually stressed that the threat to South Africa was from

forces outside the country.

Several other organisations expressed their solidarity with the Turfloop

students including the Wits SRC [Students Representative Council], NUSA

[National Union of South African Students], the Muslim Students Association,

Post Graduate Student Association, the Staff Academic Association, and the SA

National Students Congress.

During the meeting the students sang and shouted slogans. Afterwards a group

of about 50 sang and danced outside the students unions for about 20 minutes.

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SOUTH AFRICA

PFP WILL NOT WITHDRAW IN INDEPENDENTS FAVOR

MB031435 Johannesburg SAPA in English 1427 GMT 3 Mar 87

[Text] Cape Town, 3 Mar (SAPA)—The PFP had no intention of withdrawing any

of its nominated election candidates in favour of independents, the chairman

of the party's federal executive, Mr Ken Andrew, said today. Mr Andrew,

Progressive Federal Party MP for Gardens, said in a statement released in Cape

Town that the PFP had so far selected candidates in more than 60 seats

throughout South Africa and that the nomination process was far advanced in

many other seats.

"In response to queries being made from time to time, I wish to make it clear

that the PFP has no intention of withdrawing any of its nominated candidates

in favour of independents or anyone else," he said.

The PFP believed in building an alliance of reform-minded people "to get rid

of the Nationalist government." "However, for such an alliance to succeed,

it is critically important that the PFP grows strongly and wins more seats

than ever before. Indications from all over South Africa are that this is

exactly what is happening, as thousands of disillusioned former Nationalist

turn to the PFP as the only viable means of bringing about real reform," Mr

Andrew said.

He added that further announcements on nominations of PFP candidates would be

made up to nomination day on 31 March.

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SOUTH AFRICA

SABC SUSPENDS EMPLOYEE STANDING AS PFP CANDIDATE

MB052026 Johannesburg SAPA in English 2024 GMT 5 Mar 87

[Text] Johannesburg, 5 Mar (SAPA)—The SABC has suspended a chief sub-editor

at radio news, Mr Mauritz Moolman, who has been nominated as a Progressive

Federal Party candidate in the forthcoming general election.

Mr Sakkie Burger, senior news director, confirmed tonight that Mr Moolman

appeared before a disciplinary committee this afternoon and was given 24 hours

to cease his political activity and retract a statement he made to the press

that he had been asked to leave the SABC yesterday.

Mr Moolman tendered 1 month's notice at the beginning of March, but said the

corporation wanted him to leave earlier because of his political involvement.

Mr Burger said tonight Mr Moolman had been suspended for 24 hours, having been

given until 3 pm tomorrow to respond to allegations that his party political

activity and comment to the press is in breach of SABC regulations.

"One of our personnel regulations prohibits SABC staff from participating

actively in politics as this disadvantages the corporation," Mr Burger said.

"Mr Moolman has also to rectify a statement he made to a newspaper—(BUSINESS

DAY)--to the effect that he was asked to resign yesterday, which is only a

half-truth."

Mr Burger said another SABC personnel regulation prohibited employees from

disclosing information about the SABC without the written consent of the

director general.

Mr Moolman could not be contacted for comment tonight.

Mr Burger said that if Mr Moolman failed to meet the conditions "we will

consider the matter further in terms of our disciplinary code. If he does

meet the conditions we will reconsider his suspension."

Mr Moolman, who has been named as an election candidate for the PFP in the

Marisburg constituency, earlier said his candidacy only became official if he

was nominated formally 31 March.

94
"The point is that the PFP have to date only identified me as a possible

candidate in the election.

"The SABC is supposed to be objective. I do not see how my involvement in the

PFP could be an embarrassment to the SABC."

Meanwhile, the SABC today confirmed the resignation of specialist television

news reporter, Rusty van Druten.

THE STAR newspaper reported from Cape Town that an SABC source had told it

Mr van Druten had resigned because the corporation had given inadequate

television coverage to a public meeting addressed by Dr Denis Worral in

Stellenbosch last Thursday.

Dr Worral1, a former President's Council member and ambassador to London, is

standing as an independent candidate in the general election, contesting the

seat held by the minister of constitutional development and planning, Mr Chris

Heunis.

His public meeting drew a capacity crowd and was covered by eight

international television stations and many foreign correspondents.

Mr van Druten's immediate boss, chief editor of television news and public

affairs, Mr Johan Pretorius, said the resignation was going through normal

official procedures and he could not say at this stage when Mr van Druten

would end his duties.

"I can't comment on the reasons given in THE STAR. They may or may not be

right. No employer will comment on the reasons given for a resignation. They

are a private matter between the employer and employee."

Mr van Druten himself directed inquiries to the SABC, saying he had an

agreement with the corporation not to talk to the press while employed by the

SABC.

Mr van Druten, who has been with the SABC for 10 years, has been nominated for

an Artes award as best television journalist. The awards are being presented

on Saturday.

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95
SOUTH AFRICA

COURT HEARING EMERGENCY DETAINEES' APPEALS

MB031125 Johannesburg SAPA in English 1043 GMT 3 Mar 87

[Text] Johannesburg, 3 Mar (SAPA)—Argument is today being presented to the

appeal court in Bloemfontein in three appeals connected with the 1985 and 1986

emergency regulations. The appeals are being heard by the acting chief

justice, Mr Justice Rabie, Mr Justice Jansen, Mr Justice Joubert, Mr Justice

Viljoen, and Mr Justice Hoexter.

In the first case six persons detained under Regulation 3(3) of the emergency

regulations of 21 July 1985 are appealing against the dismissal of an urgent

application for their release from custody.

The application was dismissed by a full bench of the Cape Supreme Court on

20 December 1985. It was brought by Mr Abdullah Mohamed Omar, a Cape Town

advocate; Rev Howard Sikolane Marawo, assistant secretary of the executive

conference of the African Reform Church: Mr Marcus Chinnosamy Solomon,

projects co-ordinator of the South African College of Higher Education;

Mr Leslie Andrews, of Grassy Park—a lecturer at Athlone Technical College;

Mr Derrick Rabindranath Naidoo, a teacher at Harold Cressy High School; and

Mr Neville Naidoo, a pupil at the Belhar senior secondary school.

The respondents are the ministers of law and order and of justice, the officer

commanding Victor Verster Prison, the state president and the commission of

police.

The second appeal is by three women from Tinis location, Fort Beaufort, and

one from Zwide, Port Elizabeth, against the refusal of a full bench of the

Eastern Cape Supreme Court on 4 December 1985 to grant a rule nisi in

connection with the detention of members of their families detained on

26 July 1985.

The women are Mrs Marjorie Fani, whose father, Mr Mannie Zetu, was detained;

Mrs Mandisa Harriet Nomdumo in connection with the detention of her husband,

Mr Malungelo Nomdumo, several members of his family—brother and sister-inlaw, Mr Zamile and Mrs Florence Nomdumo; sister, Mrs Mandisa Mhlanga;

cousins, Mr Albert and Vukile Nomdumo—and an employee, Miss Phumla Zakhe;

Miss Constance Nomakosi Williams for her father, Mr David Williams; and

Mrs Ethel Nomfundo Neer, of Zwide, for her husband, Mr Dennis Seholo Neer.

96
Respondents in the second appeal are against the two ministers, and the

officers commanding the St Albans and North End Prisons.

In the third case the state president, the Government of South Africa and the

minister of law and order have appealed against an order that the minister

must furnish the moderator of the Evangelical Presbyterian Church of South

Africa, Rev Jean-francois Bill, in writing with the grounds for his continued

detention terms of Regulation 3 of the 1986 regulations.

The order was granted by Mr Justice G. Leveson in the Witwatersrand local

supreme court on 4 August 1986 to Mrs Mary Cameron Bill.

It stated that her husband was entitled to consult his legal representative

and be furnished with writing materials to enable him to make representations

which he had the right to make to the minister. Costs were awarded to

Mrs Bill.

The appeals are proceeding.

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SOUTH AFRICA

SCHWARZ BLAMES UNEMPLOYMENT FOR RISING CRIME

MB051607 Johannesburg SAPA in English 1528 GMT 5 Mar 87

[Text] Johannesburg, 5 Mar (SAPA)—The government's failure to deal with high

unemployment had led to an increase in crime, Mr Harry Schwarz PFP MP for

Yeoville said today.

Mr Schwarz said that figures he had obtained from the minister of law and

order, Mr Adriaan Vlok, showed that the crime rate had increased at twice the

rate of the population growth.

Mr Vlok had said in a written reply to a question by Mr Schwarz that 42

murders, 211 serious assaults, 82 rapes, and 18 cases of culpable homicides

had been reported in Hillbrow in Johannesburg in the year from July 1985 to

1986.

In the same period, 5,131 vehicles and cycles were reported stolen in the area

and 2,548 reports of housebreaking with intent to steal were received.

In his reply, Mr Vlok said the increases in crime could be ascribed to the

economic recession, unemployment, and the abuse of the unrest situation by

criminal elements.

Mr Schwarz said Mr Vlok's answer was an admission by the government that it

had failed to take adequate steps to deal with the unemployment situation

which had contributed towards the unrest. These were the major reasons for

the increase in crime.

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98
SOUTH AFRICA

COMMENTARY DISCUSSES REALITIES OF REFORM

MB050540 Johannesburg Domestic Service in English 0500 GMT 5 Mar 87

[Station Commentary]

[Text] At a time when South African whites are preparing for elections, in

which the major issue is evidently the question of reform in the country, the

appearance of two authoritative reports is of more than usual interest.

One concerns an opinion poll on the tempo of reform. The other is indirectly

concerned with the nature and direction of reform if it is to result in a

soundly managed, stable and dynamically developing society.

The reports are worthy of note in a situation in which talk of change is all

too often characterized by the use of slogans that show little awareness of

achievable goals or of social and economic realities in South Africa.

The first dealt with the results of an opinion poll conducted by the former

dean of the faculty of commerce at the University of Cape Town, on white

attitudes to reform. It comes at a time when the conflicting criticisms of

reform—that it is either too fast or too slow, or even nonexistent—seem to

dominate the political debate.

What is of interest is that, according to the poll by Dr John Simpson, white

South Africans who favour the present tempo of reform, considerably outnumber

both those who wish to hasten it and those who wish to slow it down.

That this finding has profound implications for the political decisiveness

with which the country's reform program may continue to be implemented, goes

without saying.

The other report was from one of South Africa's leading demographic

authorities, Professor Flip Smit, vice rector of the University of Pretoria,

in an address to the Association for the Advancement of Science.

Professor Smit's theme was the fundamental restructuring in population

characteristics that was under way in South Africa, and the political planning

and reorganization that was essential if these changes were to be properly

managed for the future development of the country.

99
The country was having to face up to immense new challenges while many people

indulged in petty political squabbling, he warned. It was essentially a plea

for political programs—the setting of goals and strategies for implementation—to be derived from the hard realities of the South African situation.

It cannot be denied that much of the political argument on all sides, inside

South Africa and among its critics abroad, seems to follow the opposite

course. Goals are formulated to satisfy a set of idealized norms and

political programs are drafted accordingly, on the assumption that reality can

somehow be made to fit the preconceived mold.

Those premises and assumptions then form the basis for particular reform

demands and views on the desirable direction and tempo of reform.

But the goals of reform in South Africa—a more just, flourishing and stable

society—can only be achieved if they are rooted in the incontrovertible

realities of national life. As a process, reform has to accommodate both longstanding social and economic factors and new challenges that have been created

by the development process itself. Ignoring them where they do not fit some

ideological commitment is the politics of escapism.

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100
SOUTH AFRICA

BRIEFS

SURVEY SHOWS DECLINE IN NP SUPPORT—A Market Research Africa (MRA) survey

showing NP support has fallen from 45 % to 34% between mid-1984 and 1986 highlights the existence of an "amorphous" group of uncommitted and apathetic

people, MRA*s Brian Ross says. The survey, of 2,000 urban whites, also shows

support for the opposition parties on the left and the right has remained almost constant, Ross says the NP has lost support because of the absence of

leadership in the party, and its disenchanted former followers are unable to

identify with any of the other parties. Professor Piet Coetzer, of the

UOFS's Institute for Contemporary History, disputes that the findings reflect

apathy, Rather, he says, there are many voters with doubts about the NP's

reform process. Some feel it is too slow while a smaller number believe it

is too fast. He says they are people with a long history of association with

the NP who are hesitant to throw their weight elsewhere. This group could,

however, be a significant source of support for independent candidates like

Denis Worrall and Wynand Malan. UCT political scientists David Welsh agrees

that disenchanted NP supporters, with those who would normally vote PFP,

could swing the balance in favour of the two independents. [Text] [By Alan

Fine] [Johannesburg BUSINESS DAY in English 17 Feb 87 p 7] /9274

1,624 APPLY TO CHANGE RACE~<-House of Assembly-<-More than 1,600 South Africans

applied to change their race classification last year, the Minister of Home

Affairs** Mr Stoffel Botha, said yesterday. He said in reply to a question by

Mr Tian van der Merwe (PFP, Green Point) that 1,624 applications for reclassiflcation from one race group to another were received last year, but 522 of

the applications were unsuccessful. In reply to another question, which was

tabled by Mr Harry Schwarz (PFP, Yeoville), Mr Botha said there were 415,052

white foreigners, mostly citizens of European countries, who were residents in

South Africa last year, Mr Botha said there were 4,460,972 white South

Africans in the country last year. [Text] [Cape Town CAPE TIMES in English

20 Feb 87 p 3] /9274

UNIVERSITIES LIMIT ELECTION APPEARANCE—Two English-language universities are

not allowing any campus meetings involving candidates in the upcoming white

election. Both the University of Cape Town [UCT] Wits [Witwatersrand] in

Johannesburg say candidates won't be allowed to speak before 6 May because it

will constitute electioneering. However a UCT official says debates between

candidates from opposing parties will be allowed since he says it ensures a

balanced view. [Text] [Umtata Capital Radio in English 1000 GMT 4 Mar 87]

/9599

101
CHILDREN IN PRISON—House of Assembly, 5 Mar (SAPA)—A total of 2,280

children, of whom 1,880 were black, were Imprisoned with their mothers last

year, the minister of justice, Mr Kobie Coetsee, said today in written reply

to a question from Mr Dave Dalling (PFP Sandton). The number as of

31 December last year was 196, he said. In terms of prison regulations a

woman prisoner was allowed to have her baby with her "during the period of

lactation and for such further period as may be necessary." [Text]

[Johannesburg SAPA in English 1142 GMT 5 Mar 87 MB] /9599

PFP WARNS VOTERS OF 'RIGHT-WING' THREAT—The chairman of the Progressive

Federal Party, Mr Peter Gastrow, says voters should not allow themselves to be

influenced in the coming House of Assembly election by what he describes as

the right wing threat in Pretoria. Mr Gastrow said at the start of the PFP

election campaign in Pretoria that the future of the country would be

determined by the politics of negotiation. But then the government would have

to say that serious negotiations were not possible unless the racial

delimitation of groups was done away with. [Text] [Johannesburg Domestic

Service in English 0500 GMT 6 Mar 87] /9599

NRP LEADER URGES BLACK PARTICIPATION—The leader of the New Republic Party,

Mr Bill Sutton says blacks should participate in the parliamentary system

because the country's future depends on cooperation between blacks, whites,

coloreds, and Indians. Mr Sutton said at an election meeting at Elgin in the

western Cape that whites have to realize that their future would be decided in

black politics. [Text] [Johannesburg Domestic Service in English 0500 GMT

6 Mar 87] /9599

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102
SOUTH AFRICA

COUNTRY LOSING SKILLED PROFESSIONAL, MANAGEMENT TALENT

MB021214 Johannesburg SAPA in English 1019 GMT 2 Mar 87

[Text] Johannesburg, 2 Mar (SAPA)—South Africa is now losing an average

of three highly-trained professional or management people every day,

said Hay Management Consultants managing director, Mr I. van Raynsborg

in Johannesburg today. "What until recently was merely a bothersome

trickle is gradually building up to a serious brain drain," said

Mr I. Raynsborg.

"The impact of the fluctuating exchange rate has had a devastating effect

on the ability of South Africans to buy goods compared with counterparts

in other countries," he added. "A combination of the dark future suggested

by the political climate and the officially devalued rand has led overseas

managers—who once jumped at the chance of moving to this country—to

turn down even the most generous offers of jobs in SA. Most business

people are aware of this picture and salary comparisons merely bring

another perspective to the broad picture."

SA had traditionally recruited skills from Europe using high salaries,

job progression and sunshine as the bait, he said. "But the salary levels

relative to the cost of living and the uncertain future have changed all

that."

Because exchange rates were a poor measure of the comparative value of

money, the European Organization for Economic Cooperation and Development

has produced a money value comparison system based on purchasing power

parity (PPP). "PPP's show how many units of currency were needed in one

country to buy the same amount of goods and services as one dollar in the

United States.

"The change in PPP's from one year to the next between any pair of countries

was determined by the relative rates of inflation in these countries,"

said Mr I. van Raynsborg.

South African salary increases had not kept pace with inflation, said

P-e [as received; expansion unknown] Remuneration Service manager of salary

surveys, Miss Maomi Brehm: "In effect, executives in SA are worse off

than they were a few years ago. Local executives currently earned an

103
average of 40 percent to 50 percent less than most of their European

counterparts in terms of PPP. West Germany and France dominated the world

in executive pay PPP," she said. "Good executives are highly mobile

globally and will move to what they view as favorable jobs if they are

able to maintain or improve their standards of living." The top five

U.S. executives earn 12.7 million, 11.426 million, 8.431 million, 6 million,

and 4.756 million dollars. The top five UK executives earn 883,000;,

542,000, 449,000, 410,000, and 392,000 pounds.

The situation that had developed in SA over the past 2 years could be

attributed to the high inflation rate and the heavy tax burden, said

Miss Brehm. "The effect on the SA pocket has been disastrous: We have

lost vital management skills overseas where prospects appear brighter.

In return it has become far more difficult for us to recruit people from

abroad. This seriously impacts on productivity and the way in which

companies in SA are being run," she said.

"Companies are doing nothing overt to try and remedy the problem. Usually

they try to provide more favorable circumstances to attract multinationals.

But since companies have gone through a recession themselves they don't

have the money to provide fancy fringe benefits. The result is that there

are fewer and fewer multinational managers."

SA could continue to hold a mass of real opportunities for skilled management at all levels, but these opportunities will have to be aggressively

marketed through a sensitive, well thought-through plan, professionally

presented, because the reality is that SA business needs these additional

skills to grow and prosper.

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104
SOUTH AFRICA

U.S. NORTON ABRASIVES FIRM ANNOUNCES DISINVESTMENT

MB040931 Johannesburg SAPA in English 0857 GMT 4 Mar 87

[Text] Johannesburg, 4 Mar (SAPA)-Mr Neville Parry, chief executive of

Global Mining and Industrial Corporation (Glomine) and Mr Colin Williams,

the managing director of the South African arm of the huge U.S. abrasives

group, Norton, confirmed today that Glomine is to buy out Norton SA for

R14.9 million. Mr Williams will join the Glomine board.

Norton's U.S. chairman, Mr Donald Melville, also confirmed Norton's

disinvestment from SA. He said: "Anti-South African pressure here in

America) and the sitrubed environment (in South Africa) has been swallowing

a disportionate amount of our management's time," he said.

Norton Abrasives in SA produced only about 2 percent of the group's world

revenue, he added.

Glomine will now become the holding company for Norton in SA via a deal

using local funds with no buy-back arrangement for the parent company.

Mr Parry said the Norton buy-out would "significantly" lift Glomine's

earnings a share. Earnings could top 20c a share compared with 9c for

the year to last September. The group will now enjoy a penetration of

more than half the South African market.

All employees at Norton would keep their jobs, said Mr Parry. Agreements

with the Metal and Allied Workers Union would continue as well as adherence

to the Sullivan code.

Under a distribution licensing agreement, Norton SÄ will keep its name,

and its products would be marketed under the Norton trademark..

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105
SOUTH AFRICA

COMMENTARY NOTES 'SECOND THOUGHTS' ON DISINVESTMENT

MB060539 Johannesburg Domestic Service in English 0500 GMT 6 Mar 87

[Station commentary]

[Text] Ninety-*three United States companies have disinvested from South

Africa since 1985. That figure is provided by a Washington organization,

The Investor Responsibility Research Center, that monitors the disinvestment campaign. According to the center, the withdrawal of American

companies from South Africa has scarcely had an effect on employment—

with the exception of Eastman Kodak.

Generally encouraging as this situation might be, it reflects the shortterm impact of disinvestment. The longer term impact could well be

influenced by the decline of, or absence of, new investment from the United

States and some other countries; and the influence that this, in turn,

will have on the creation of new employment opportunities and on the

national economy in general. It is expected that those chiefly at risk

in respect of this longer term perspective will be black communities.

These communities have also benefited least from the other significant

short-term outcome of the disinvestment campaign—the ease with which

disinvesting companies have been taken over by local management or other

concerns without major black participation. Another disadvantage of

disinvestment for black workers is that the Sullivan Code—designed

specifically to promote the working and social environment of black

workers—does not have to be implemented by those taking over from former

American companies.

These sober lessons from the disinvestment experience appear to be creating

growing concern among radical black spokesmen about the adverse effects

of disinvestment. In a television program broadcast in Britain this week,

Mr Chris Dlamini, vice-president of the Federation of South African Trade

Unions, said that although he was in favor of sanctions against South

Africa he had never pleaded for disinvestment because disinvestment

was evil. Dr Allan Boesak said that even though he and Archbishop Desmond

Tutu had urged disinvestment in the past it was now very low on their list

of priorities.

106
The president of the National Union of Mineworkers, Mr James Motlatsi, and

the unions' chief secretary, Mr Cyril Ramaphosa, said last year that

South African miners were prepared to lose their jobs in order to end

apartheid. But as soon as workers in certain mines and at the General

Motors plant in Port Elizabeth began losing their jobs because of economic

pressures they were quick to do an about-face on the issue.

Earlier this year, a commission of the Southern African Catholic Bishops

Conference recommended that the Roman Catholic Church abandon its previous

support for economic pressures because of the harmful and counterproductive

consequences of such pressures.

The evidence is mounting that those who have been most vociferous in

calling for disinvestment and sanctions are having second thoughts now

that the reality of economic action is being seen in practice.

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SOUTH AFRICA

STATISTICS REVEAL DECLINE IN WHITE INCOMES

MB041O49 Johannesburg SAPA in English 1039 GMT 4 Mar 87

[Text] Johannesburg, 4 Mar (SAPA)—The average total direct and indirect

income of white households was R33,932 a year in 1985, the latest period

for which annual figures are available, said a report of the Central

Statistical Services just released.

The report said that, calculated at constant 1975 prices, this represented

R9,972 a year. This meant that the average income of white households

had declined in real terms since 1975, when actual income had been

RIO,215 a year.

During 1985 the average annual expenditure of white' households was

R34,117, which was slightly more than the average income.

Calculated at constant 1975 prices the expenditure was RIO,026 per year

which in real terms was a decline of 2.5 percent as measured against

1975 (in 1975, average annual expenditure per household was RIO,281).

The report says that: "With regard to the average expenditure pattern

on certain main items in relation to that of 1975, there has been a

relatively large decline in the expenditure on food (2.4 percentage points),

furniture and equipment (1.6 percentage points), clothing and footwear

(1.5 percentage points) and transport (1.7 percentage points).

"However, relatively high increases occurred in housing (.2.6 percentage

points) and income-tax, financing, insurance and investments (9.3

percentage points).

With regard to the various urban areas, the average annual income in

Pretoria and Verwoerdburg was the highest, at R40,050 while that in East

London was the lowest, at R26,208.

"With regard to the average expenditure, it was respectively the highest

and the lowest in the abovementioned areas, namely R40,192 and R26,369

a year.

108
Although the spending patterns between the various areas showed little

variance among themselves there was still the occasional noticeable

exception.

"For example the households in Bloemfontein spend an average 21.0 percent

(R6,856 a year) of their total income on housing, while households in

Klerksdorp, Stilfontein and Orkney spent only 17.3 percent (R5,927 a year)

of their expenditure on housing.

"The expenditure with regard to holidays comprises on average 1.0 percent

of the spending of the households in Durban and Pinetown, while the

corresponding figure for the Cape Peninsula and also Pietermaritzburg is

3.0 percent.

"Income-tax, insurance, finance and investments comprise an average as

high as 34.6 percent of the expenditure of the households in the

Witwatersrand, while in East London it comprises an average of 28.8 percent.

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SOUTH AFRICA

MANUFACTURING ACTIVITY CONTINUES TO IMPROVE

MB041402 Johannesburg SAPA in English 1358 GMT 4 Mar 87

[Text] Johannesburg, 4 Mar (SAPA)—Manufacturing activity is continuing

to improve, as reflected in the latest figures from the index of physical

volume of manufacturing production released by the Central Statistical

Services (CSS) office in Pretoria.

The CSS report showed that production for the 3 months up to November 1986

reflected a seasonally-adjusted increase of 4.3 percent compared with

the previous 3 months.

The report said that: "Noticeable increases were recorded for textiles

(12 percent), wearing apparel (14 percent), leather and leather products

(16.3 percent), furniture (13.4 percent), rubber products (11.2 percent),

basic non-ferrous metal industries (.12.3 percent) and machinery and

equipment (13.1 percent).

"The total value of sales for November was 8.5 percent higher than that

for November 1985.

"Increases occurred in all the manufacturing major groups with the exception of beverages (-8.8 percent) and other chemical products (-20.1 percent)."

Relatively large increases were posted in the textile (24.8 percent),

leather (28.9 percent), furniture (25 percent), paper (28.3 percent),

electrical machinery (23.2 percent), professional and scientific, measuring

and controlling equipment (25.3 percent) and "other" (20.6 percent)

industries.

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SOUTH AFRICA

AMCHAM TO ADMINISTER SULLIVAN PRINCIPLES

MB041321 Johannesburg SAPA in English 1319 GMT 4 Mar 87

[Text] Johannesburg, 4 Mar (SAPA)—When the Reverend Leon Sullivan cuts

his ties with South Africa later this year, the Sullivan principles will

be taken over and administered under the direction of the American Chamber

of Commerce (AMCHAM), the magazine INSIDE SOUTH AFRICA has reported.

This means that the code introduced by the Reverend Sullivan and which

established the standards for improving the working lives of black

employees will become a South African institution, run mainly by South

Africans—which many feel is right.

Although AMCHAM»s executive director, Mr Ken Mason, was reluctant to

discuss the matter at this stage, INSIDE SOUTH AFRICA said it has received

information from reliable sources that AMCHAM would pick up the ball

after the Rev Sullivan quits, probably in May.

Sullivan has set a deadline to withdraw his code at the end of May if

apartheid is not totally eliminated by then.

The same signatory association which presently monitors the principles

for Sullivan will probably continue doing so under the AMCHAM umbrella.

Mr Mason said: "We will determine how the signatory association will

fit together. We are trying to resuscitate it and it might take on a

new form. There will be an 11th report to the United States because the

signatory remains," he said.

/9604

CSO: 3400/199

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SOUTH AFRICA

BRIEFS

INCREASE IN MANUFACTURERS' PROFIT—Johannesburg, 4 Mar (SAPA)—Latest

figures on the net profit of manufacturers as reflected by a Central

Statistical Services (CSS) report—for the 3 months to end-September 1986

show an increase of 31 percent compared with the corresponding quarter

of 1985. The CSS statistics showed an increase of 7.3 percent compared

with the quarter ended June 1986. The report says: "The textile, paper,

machinery and basic metal industries were mainly responsible for the

increase between the third quarter of 1985 and the third quarter of 1986,

whereas textiles and industrial chemicals were the main contributors

towards the increase between the second and third quarter of 1986.

Interest received and paid for the September quarter showed decreases

of 22.3 percent and 14.5 percent respectively compared with the September

1985. The food and other chemical industries were the main contributors

to the first-mentioned decrease, whereas the paper, chemicals and nonmetallic mineral product industries were mainly responsible for the

decrease in interest paid." [Text] [Johannesburg SAPA in English

1229 GMT 4 Mar 87] /9604

SUPERMARKET WORKERS WIN WAGE INCREASE—Pick'n Pay has agreed to make

May Day and 16 June paid holidays. In talks with the Commercial Catering

and Allied Workers' Union the retail store's management has also agreed

to an increase of over 25 percent. That's the highest wage increase in

South African labor history. The union says the average wage of Pick'n

Pay workers is now 612 rands a month. An across-the-board wage increase

of 100 rands has also been awarded to Pick'n Pay workers as of 1 March.

[Text] [Umtata Capital Radio in English 0600 GMT 4 Mar 87] /9604

RETAIL TRADE FIGURES SHOW INCREASE—Johannesburg, 4 Mar (SAPA)—The latest

total retail trade sales for which figures are available—November 1986^-

showed an increase of 12.7 percent compared with November 1985, said a

report just released from the Central Statistical Services (CSS) office

in Pretoria. Seasonally adjusted, the November figure reflected a decline

of 3.5 percent compared with October 1986. The CSS reported that real

retail trade sales (at constant 1980 prices) for November showed a

decrease of 7.8 percent compared with November 1985 and a seasonallyadjusted decrease of 4.3 percent compared with October 1986. The CSS

said: "For the 3 months September to November 1986, real retail trade

sales are almost on the same level than for the previous 3 months. The

112
largest increase for the last 3 months to November 1986 compared with the

previous 3 months occurred in mens and boys clothing ("10.1 percent), ^

other household furniture ("7.9 percent) and audio equipment ( 6.7 percent).

However: "These increases were neutralised by decreases in food (-22^

percent), sport requisites (-9 percent), and jewellery (-10 percent).

[Text] [Johannesburg SAPA in English 1311 GMT 4 Mar 87] /9604

NEW OIL FIND NOT VIABLE—The director general of mineral and energy affairs

Dr Louw Alberts has confirmed that SOEKOR [Southern Oil Exploration

Company] has discovered another oil field off Mossel Bay. The new find

is about 120 km off the coast and about 80 km south of the existing gas

fields. However, Dr Alberts told our Pretoria news staff that find

was uneconomical to exploit, as it yielded only about 4,000 barrels a

dav He said a yield of 10,000 barrels, a day over a period of 15 to iu

years would have been considered economical. [Text] [Johannesburg Domestic

Service in English 1915 GMT 5 Mar 87] /9604

MOBIL OIL GROUP WILL NOT DIVEST~The minister of economic affairs and

technology, Mr Danie Steyn, says the Mobil Oil Company will not divest

from South Africa, because it would not be advantageous to this country

or to the company's employees or shareholders. He was speaking at the

opening of the new Mobil Court building in Cape Town last night. [Text]

[Johannesburg Television Service in English 0400 GMT 6 Mar 87] /9604

CS0: 3400/199 END

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