/ 2 June 1995

Surly Spaniards abandon ship

Rehana Rossouw

Spanish shipbuilder Joaquin Coello left South Africa on Tuesday night an extremely disappointed man, after months of lobbying failed to secure a decision from Cabinet to give his company a contract to build four corvettes at the cost of R1,69- billion.

Coello said he was assured by contacts in the Ministry of Defence that Cabinet would discuss the issue at its fortnightly meeting this week. But cabinet secretary Professor Jakes Gerwel reported at a Cabinet briefing on Wednesday that it did not come up for discussion at

After spending $3-million and more than a year preparing a proposal to build the corvettes, the vice president of the Bazan shipyard is suggesting bad form on the part of the South African government.

Ceollo said his proposal was technically sound, audited by Parliament but dogged by political manoeuvres.

“South Africa has the right to decide one way or another, but if they decide not to buy the corvettes it will be a smack in the face of Spain,” he said.

Should South Africa put the purchase of the corvettes on hold and later reopen its calls for tenders, the country would lose credibility internationally, he

He pointed out that his government had been involved in devising the counter-trade offer in Bazan’s proposal.

Ceollo said the argument that the purchase of the corvettes could not be finalised until the navy was restructured was “fallacious”. Patrol boats currently being used by South Africa were not suitable for the rough waters surrounding the country, hopeless for offensive operations and lengthy patrols. They would need to be replaced irrespective of the navy’s restructuring — to protect the country’s maritime

He rejected suggestions that it would be ironic for South Africa to purchase vessels to protect its fishing stock from a country which was leading the scramble for harvesting third world fishing resources.

The hostility in March this year which was sparked by Canada’s claim that Spanish vessels were fishing in its territorial waters was based on a false claim, Ceollo

“Our fishermen were acting in accordance with international rules. South Africa can learn from that experience. Canada could act to protect its resources because it had the ships to do so. South Africa does

He said there was not a single Spanish vessel fishing in South African waters at present.

The counter-trade agreement proposed by his country if the corvette contract were won would boost South Africa’s fishing industry as it offered a soft loan of $100-million to build fishing vessels in Durban.

These could be purchased by community fishing trusts which presently did not have the capacity to harvest their quotas.

The offer also includes the building of two fish processing factories in Port Nolloth and Lamberts Bay.

These would provide economic opportunities to the poorer communities in these areas, Ceollo said.