Friday 13 February 2026 – President Cyril Ramaphosa must turn his promises into prosecutions if South Africa is to stop criminals looting the nation of billions of rand in vital revenue, Tax Justice SA says today.
Responding to the President’s 2026 State of the Nation Address, in which he announced the establishment of a National Illicit Economy Disruption Programme and the use of data analytics and AI to target high-risk sectors such as tobacco, fuel and alcohol, Tax Justice SA (TJSA) said the time for talking is over.
“We must swap slogans for substance,” said TJSA leader Yusuf Abramjee. “South Africans have heard strong words before. What we need now are visible, measurable actions that shut down illegal factories, prosecute the masterminds and restore billions to the fiscus.”
TJSA is calling for:
- Dedicated resources for SARS’ illicit trade task team, including specialised investigators and supply-chain monitoring technology
- Specialised SAPS units trained to build cases against organised criminal networks
- The NPA to prioritise high-level prosecutions targeting kingpins, not just street vendors
- Immediate implementation of long-proposed enforcement and monitoring reforms that have stalled in government departments
Abramjee said one immediate step would be to tighten licensing requirements for cigarette manufacturers to weed out the tax-evaders who now control 75% of the market.
“If manufacturers want a licence to make cigarettes, they should allow SARS to install CCTV in their factories,” he said. “No right-thinking person can claim this is an invasion of privacy – it is responsible governance in a country losing around R30 billion a year to illicit cigarettes.”
But, Abramjee warned, this is not just a tobacco problem. Illicit alcohol sales have grown by 55% since 2017, with one in five drinks now from illegal sources.
Counterfeit pharmaceuticals, clothing, electronics and even food are flooding the market. The Consumer Goods Council estimates the illicit economy accounts for roughly 10% of GDP.
“These illegal operations feed organised crime, from illegal mining to cash-in-transit heists,” Abramjee said. “They hollow out legitimate industries, destroy jobs and erode trust in the rule of law.
“Every month of delay means more jobs lost, more revenue stolen and more criminal networks entrenched. Mr President, the country cannot afford another year of talk. It is time to turn your verbal commitments into concrete change.”
-ends-