22 November 2019
Conclusion of the Diplomatic Conference on the adoption of the Mining, Agricultural and Construction Equipment (MAC) Protocol
The Government of the Republic of South Africa, in collaboration with the International Institute for the Unification of Private Law (UNIDROIT), hosted a Diplomatic Conference that adopted an international treaty that facilitates the financing of Mining, Agricultural and Construction (MAC) equipment.
The Diplomatic Conference was held at the OR Tambo Building of the Department of International Relations and Cooperation over a two-week period, commencing on 11 November 2019, and the Conference concluded its work with the signing of the Final Acts as well as the Protocol to the Convention on International Interests in Mobile Equipment on 22 November 2019. The Conference decided to name the Protocol after the city of Pretoria.
By hosting the Diplomatic Conference, South Africa built on the legacy of the hosting of the Diplomatic Conference that adopted the UNIDROIT Convention on International Interests in Mobile Equipment (Cape Town Convention) in 2001 in Cape Town.
In his closing address, DIRCO’s Director-General, Mr Kgabo Mahoai, stressed the importance of hosting the Conference in Africa as the Pretoria Protocol holds great promise to stimulate development and to contribute to prosperous and thriving economies and societies through the mining, agriculture and construction sectors, which are key development drivers in the region. He also reiterated that a critical component of expanding the mining, agriculture and construction sectors is the financing, leasing, importing and exporting of equipment used in these industries. More affordable financing and access to modern mining, agricultural and construction equipment will allow producers in these sectors to optimise their productivity and profitability.
The Director-General also stressed that this Protocol contributes to the broader global sustainable development agenda. In particular, addressing poverty and hunger, and decent work and economic growth through industry, innovation and infrastructure, as some of the key Sustainable Development Goals of the United Nations. The Pretoria Protocol has the potential to transform the lives of millions of people, particularly in the developing world. The possibility for an emerging farmer or entrepreneur to obtain mining, agricultural or construction equipment that would otherwise have been beyond his or her reach will indeed be a game changer. It will contribute to the realisation of the African Continental Free Trade Area.
The Director-General also referred to the Railway Protocol which is the third Protocol under the Cape Town Convention. All over the world, including in Africa, there are plans for major developments of the railways. These railways will be a fundamental component of the continent’s development goals, supporting regional integration, helping local businesses export both within and outside of Africa, as well as providing mass transportation for goods and persons. The Rail Protocol therefor dovetails with the implementation of the Pretoria Protocol. It will lead to a more competitive and dynamic rail industry that can bring important social, environmental, developmental and economic advantages, as well as new business opportunities to all countries, on both the micro and macro level.
Enquiries: Mr Clayson Monyela, Spokesperson for DIRCO, 082 884 5974
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