Sanctioning Apartheid - KORA

ly pvided by South Afdca's Industrial Dev-at Corporation=
lbrkknnore, even gading with a company not m&ving
d i r e c t s o u t h ~ ~ m t ~ ctheGovem- e ~ t o
merit's dire& h&t. For example, in the 198485 fiscal year,
incmne taxes and lease payments by the privately owned gold
mines alone accounted fm 83% of Government revenuesJ while
income taxes h all other companies totaled only 16.9% of
revenwa ThusC atthough these privately owned companies
arenotparastatals,perse,theygivedirtxteamomicmpportto
the Govermneslt and, aonsequently, to the maintenance of its
poIicies of apartheid
Fdy# two paints must be noted about the efiecC of the
-tal/non-mtal distinction. While desrrly Cangressional
infent with respect to Section 300; was to pmab the
South African Go-ent rather than to establish as brpad a
trade embargo as possible, it should not escape attention that
banning trade with narrowly defined pamstatals results in a
minimal trade embargo.
Data is not available on the percentage of South Africa's
exports to the US. prior to the Act that were from parastatals.
However, few of the major segments of South African indusfry
that are owned dinectly by the Government, and thus mvered by
the exkhg pamstatal provision, produce goods that are exported
to the US. For exampleJ 40% of South Ahids fuel re-mk
areproSdbythethreeoil-hdplantsbuiltbytheSwth
Ahkin CoalJ Oil and Gas Corporation ("~n)JSS and 93% of
the muntry's eldeity is supplied by the stabxonfrolled
Electricity Supply Co-n ("ESCOM*').~ South Africa,
however, exports neither oil nor elecbidty to the Unlted States.
Addi~onaUyI South African State President F. W. Botha has
recently announced a goal of privatizing the South African
gov-mt~wnd #rrporati~ns.~ The effect would be to
nullify &don 303.
Because of the extent of the inkmelationships between
Gowmmmt and primate enmprk in South Africa, the gpal of
presmhg the hth African Government is not aammpliahed by
limiting the import ban to products of o~bIons "med8
conblled or mbddhd" by the Government The only realistic