Question NW3008 to the Minister of Sport, Arts and Culture

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18 October 2023 - NW3008

Profile picture: Mhlongo, Mr TW

Mhlongo, Mr TW to ask the Minister of Sport, Arts and Culture

Whether, in view of the fact that the SA Music Rights Organisation (SAMRO) takes or taxes 28% of all revenue collected from all members annually, he has found that there is a need for SAMRO to charge the new, extra administration fees from independent artists and publishing companies; if not, what is the position in this regard; if so, what are the relevant details?

Reply:

To my understanding, collecting management societies (CMOs) in the field of copyright and intellectual property, typically follow international standards and best practices when determining the management fees, they charge for their services. Many CMOs align their management fee structures with international standards and guidelines set forth by organisations like the World Intellectual Property Organisation (WIPO) and the International Confederation of Societies of Authors and Composers (CISAC). These standards provide a framework for how CMOs should operate, including their financial practices.

The important part is that CMOs often seek endorsement or approval from their members regarding the management fees. This democratic process ensures that members have a voice in fee-related matters. SAMRO, as a membership-based organisation, operates under the authority and governance of its members. In other words, the organisation's business and decision-making processes are primarily the responsibility of its members.

THANK YOU

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