The description and role of a registered agent ("RA") remains unclear to many people. This serves to provide clarity on what a RA is and the role they perform in the logistics chain.

Not to be confused with a clearing agent, a RA is defined in the rules to section 59A of the Customs and Excise Act 91 of 1964 (the “Act”) as being a person located in the Republic, registered to act on behalf of an importer, exporter, remover in bond or searcher of a wreck not located in the Republic, in taking any action, performing any function or complying with any requirement in terms of this Act; or a “carrier” (for purposes of the rules under section 8) who is not located in the Republic, in submitting reporting documents.

If an entity wishes to act as a RA, it must register with the South African Revenue Service ("SARS") to do so.  The registration of a RA is issued subject to the condition that the registrant must have sufficient knowledge of customs and excise laws, and procedures regulated by the Act.

Before agreeing to act as the RA for a foreign entity, the RA must ensure that it has been indemnified by its principal, which should be financially strong.  In accepting to act as the RA for a foreign entity, the RA is also accepting any potential liability for the contravention or non-compliance of any provisions of the Act.  This could carry with it dire financial consequences, considering the draconian provisions of the Act.