Second-Hand Goods Bill 2026: Why Microdot Checks Matter More Than Ever
Second-Hand Goods Bill 2026: Why Microdot Checks Matter More Than Ever
Government has published the Second-Hand Goods Bill, 2026 for public comment, proposing amendments to the Second-Hand Goods Act, 2009 (Act No. 6 of 2009). For second-hand motor vehicle dealers, one proposal stands out: where a vehicle has been treated with microdots, the microdot particulars will need to be recorded in the acquisitions register.
The Bill follows challenges identified in the implementation and interpretation of the existing legislation. Its primary objective is to strengthen the legislative framework regulating second-hand goods dealers and pawnbrokers, improve regulatory efficiency and, importantly, limit the market for stolen goods.
Another significant proposal is the introduction of an administrative fine system. This would allow minor offences to be dealt with more efficiently, assist with ongoing compliance monitoring and reduce the burden on the criminal justice system, particularly the courts.
What the proposed Section 24 amendment means for dealers
Section 11 of the Bill proposes the substitution of paragraph (d) in subsection (2) of Section 24 of the Act with the following wording: "any distinguishing mark or feature, and where there are microdots applied to the vehicle concerned, microdot particulars."
In practical terms, where a vehicle has been treated with microdots, the relevant microdot particulars will need to be recorded in the acquisitions register. This places further emphasis on the need to verify and accurately record identifying information when acquiring vehicles.
A quick reminder about microdots
Microdot technology became mandatory in South Africa from 1 September 2012. The requirement applies to all newly registered motor vehicles, and to vehicles requiring South African Police Service (SAPS) clearance. That includes vehicles undergoing certain changes, such as a colour change or engine replacement, as well as previously stolen and recovered vehicles.
Microdots provide an additional layer of vehicle identification by placing thousands of microscopic identification markers on various parts of a vehicle. These markers can help establish a vehicle's identity and assist in detecting vehicles that have been cloned or fitted with stolen components.
More than an administrative requirement
Recording microdot particulars in an acquisitions register might seem like just another administrative burden in an already busy acquisition process. But South Africa continues to face a serious problem with vehicle cloning and vehicle-related crime. Estimates of cloned vehicles in circulation vary considerably, ranging from approximately 61,000 to more than 100,000 vehicles, and some estimates suggest that between 3,000 and 5,000 new cases are confirmed annually. The exact figures vary by source, but the underlying risk is very real.
A vehicle can look perfectly legitimate, have apparently correct documentation and still be a cloned vehicle. An engine or other major component could also have been stolen. Checking microdot particulars and ensuring that they are properly recorded can form part of your due diligence when acquiring stock.
It is not simply about complying with legislation. It is about protecting your business, your customers and your reputation.
Do not wait for the amendment
The Bill is currently open for public comment and its provisions are not yet law. Even so, if you are not already conducting microdot checks as part of your vehicle acquisition process, now is the time to start. Make microdot verification part of your standard acquisition procedure, ensure the relevant particulars are recorded and retain supporting proof. The cost of a check today could save your business from a very expensive mistake tomorrow.