Cosatu: Nationalisation is a given

JStrike: the market cap of listed miners in SA is around R1.4trillion. Hardly insignificant, methinks considering that this makes up 20% of the JSE's main board. Our markets will be in turmoil the moment 20% of the board is under political control or if we lose 20% of the value of our board through nationalisation. Once again, this is not an insignificant event, should it happen...
 
DJ... said:
Wiki needs to be updated then. Economic data from July shows quarterly mining GDP contribution at 1.5%...
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As far as I know Kumba had income of R36 bil or something last year (2010) so in dollars @ R7 thats what, $5bil, out of $350 bil GDP which alone is around 1.45%.

That is only 1 mining company. But I think the correct point made, is that many other sectors rely on mining, for example contstruction, service sectors such as banking, consulting, other professional services etc.

Mining is a massive part of our economy, whilst it is true that many have moved from farming/mining to service sectors, that doesn't mean mines produce less, more often than not, unless the resources are depleted, production increases as new capital, machines and equipment are used and thus each man hour can produce more.

Some of our miners, like Kumba which operates I believe the 4th largest open pit iron ore mine in the world, are incredibly sound and proficient and good at what they do. The government will squandar it. Hell, Kumba WAS nationalised (It came out of ISCOR), so we would be going backwards.
 
WilD_CaT said:
As far as I know Kumba had income of R36 bil or something last year (2010) so in dollars @ R7 thats what, $5bil, out of $350 bil GDP which alone is around 1.45%.

That is only 1 mining company. But I think the correct point made, is that many other sectors rely on mining, for example contstruction, service sectors such as banking, consulting, other professional services etc.

Mining is a massive part of our economy, whilst it is true that many have moved from farming/mining to service sectors, that doesn't mean mines produce less, more often than not, unless the resources are depleted, production increases as new capital, machines and equipment are used and thus each man hour can produce more.

Some of our miners, like Kumba which operates I believe the 4th largest open pit iron ore mine in the world, are incredibly sound and proficient and good at what they do. The government will squandar it. Hell, Kumba WAS nationalised (It came out of ISCOR), so we would be going backwards.
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100%. People forget that miners are the majority consumers of services in South Africa, which relates to an extent to my question (one of many) posed to VioAdmin as to how the government will make up for the tax revenue shortfall if nationalisation took place...
 
Everyone is so focused on the mining. Have you stopped to consider what it would do to our expendable income if we have to import all our food? They want to nationalize the land. Let me break it down

the population wants the land. But there is no money for the cadres to make from this (there is also no money to buy the land and hand it over). So they come up with the hairbrain scheme, they nationalize the mines and the land. Let the general population occupy the land and they take whatever money they can pilfer from the mines. The general population isn't going to stop them because they are "getting" land. They don't care about the consequences they only care about a perceived need to remove white owner ship of land and transfer said ownership to the black majority.

In essence they are bribing the general electorate (well the ones that vote for the ANC at least, and not even all of them) with land so that they can pilfer what is left of the mines. They have realised there is no way to satisfy the promises that they made before all the elections and they have also realised that they cannot survive too many more terms as there is already service delivery rioting. The only thing left for them to do now is finish out the coffers (the scraps that are left) and remain in power as long as possible.

Sound familiar to anyone?
 
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