Platinum firms could improve their profits by breaking the “monopolistic” stranglehold exercised over the sector by a number of key suppliers, according to a Implats finance director, David Brown.

With the rand continuing to prove problematic for platinum firms and their margins, Mr Brown told Business Day that the supply of raw materials was one area where savings could be made.

"Inputs such as steel, explosives and utilities have been increasing quite significantly, and this issue is compounded by a lack of competition," he commented.

Effectively, there is one source of water, of electricity, of steel and these all have an impact on prices.”

He added that Implats was now looking for alternative suppliers overseas and urged others - from the platinum and gold industries - to follow suit in a “publicly unified front”.

Mr Brown also argued that the South African government could assist in this respect by helping to foster "healthy competition".