South African Clothing Industries (Pty) Ltd t/a Prestige Lingerie v Director, Department of Trade and Industry and Another

The Department of Trade and Industry introduced the General Export Incentive Scheme in 1990 to encourage exports. Although a state prerogative, the scheme had the force of legislation and bound both exporters and officials. Participating exporters were required to select a claim period (six or twelve months) and submit claims within three months after the expiry of that period. The appellant, a clothing and lingerie exporter, initially selected a six‑month claim period and consistently used it from 1990 to June 1994. In September 1995, it submitted a claim for the period July 1994 to June 1995 and, for the first time, indicated a twelve‑month claim period. The Department refused to pay the portion relating to the first six months, contending that the claim was late because the appellant was bound by its original six‑month selection. The appellant sought to review the refusal; its application was dismissed in the High Court, and it appealed to the Supreme Court of Appeal.

The appeal was dismissed with costs, including the costs of two counsel.

The case clarifies the interpretation and binding nature of administrative guidelines that have the force of law, particularly in the context of state incentive schemes. It affirms that participants are bound by their initial procedural elections under such schemes unless a formal review is sought and granted, reinforcing principles of certainty, fiscal discipline, and lawful administration in South African administrative law.