CAPE TOWN, Thursday 8 October 2026 — Parliament’s Portfolio Committee on Trade, Industry and Competition has called for urgent changes to the regulation of auctioneering and asset disposal, citing concerns over transparency, competition and the concentration of opportunities among established industry participants.
The committee issued its recommendations on Wednesday following engagements with regulatory institutions and representatives of the auction industry.
The discussions examined the disposal of state assets, property belonging to insolvent estates and other productive assets.
Committee members raised concerns about the discretion exercised by liquidators when appointing auctioneers and the potential for recurring relationships to restrict competition.
Committee questions appointment processes
Parliament said liquidators currently exercise considerable discretion when selecting auctioneers.
The committee acknowledged that liquidators require independence to fulfil their statutory responsibilities.
However, it said appointment processes should be subject to greater transparency and oversight.
Members raised concerns that recurring relationships between attorneys, liquidators and auctioneers could create closed networks that restrict access to opportunities.
The committee called for stronger disclosure requirements and mechanisms to identify potential conflicts of interest.
It also urged the Master of the High Court to improve oversight of appointments and relationships involving the disposal of assets.
Proposal for accredited auctioneer panel
The committee supported consideration of an accredited panel of suitably qualified black auctioneers.
Under the proposal, liquidators could appoint auctioneers from a panel operating according to objective qualification standards.
A fair allocation or rotation mechanism could also be introduced.
The committee said such an arrangement could expand participation by emerging businesses while maintaining professional standards.
No final policy or regulatory framework has been adopted.
The proposal will require consideration by the relevant government departments and regulatory authorities.
Strategic state assets also under scrutiny
The committee also questioned whether economically useful state assets should automatically be disposed of through auctions.
Members said machinery, vehicles, property and other productive assets could sometimes contribute to industrial development or small-business growth.
They urged government to assess the potential developmental value of such assets before disposing of them.
The committee called for a coordinated national policy balancing economic development objectives with independent valuations, competitive processes and safeguards against abuse.
Multiple institutions asked to review regulations
The committee called on National Treasury, the Department of Justice and Constitutional Development, the Master of the High Court and several regulatory bodies to review the existing framework.
These include the Competition Commission, National Consumer Commission, Broad-Based Black Economic Empowerment Commission and Property Practitioners Regulatory Authority.
Committee chairperson Mzwandile Masina said the regulatory framework needed to support transparency, accountability and broader participation.
The recommendations follow concerns raised during engagements with the South African Institute of Auctioneers and the South African Professional Auctioneers Association.
The next step will be for the relevant institutions to consider the committee’s proposals and determine whether legislative, regulatory or administrative changes are required.
