FT932-14950 _AN-DDPB8AA8FT 930416 FT 16 APR 93 / S Africa counts the cost of mass action By PATTI WALDMEIR JOHANNESBURG SOUTH AFRICA was yesterday counting the political and economic cost of Wednesday's national protest strike which left 17 people dead. Yesterday an angry mob attacked two whites in the black homeland of Transkei less than 48 hours after the slaying of two white South African tourists, police said. The death toll from Wednesday's protest rose to 17 after 11 people were massacred in Natal province following a commemoration rally for slain African National Congress leader Chris Hani. However, it was not clear how closely the deaths were related to the ANC protest, given that such massacres have become a regular occurrence in Natal. There were further violent incidents in Port Elizabeth, Cape Town and on the East Rand near Johannesburg. The black township of Soweto was reported quiet. Further mass protests are planned for tomorrow, Sunday and Monday, raising the risk of further violence. The ANC has called another national protest strike for Monday, the day Mr Hani will be buried. Yesterday it appeared the political impact of the Hani assassination might prove positive, as the South African government announced it would drop crucial preconditions to the establishment of the first phase of a multi-racial interim government, the Transitional Executive Council. The council would include representatives of all the main parties, and would have sub-councils to advise and monitor government actions in areas such as law and order, defence, finance and foreign affairs. Mr Roelf Meyer, the ANC's chief negotiator, said the government would no longer insist that the 26 parties to the multi-party negotiating forum agree a transitional constitution before this council could be formed. This removes a big obstacle to formation of the Council, which Mr Meyer said could be agreed by May. However, he cautioned that some parties, such as the Inkatha Freedom Party, might object, causing further delays. Inkatha believes there should be no extended transition to full democracy. Meanwhile, the US state department advised Americans to stay away from black homelands and townships in South Africa. Transkei leader Major-General Bantu Holomisa said armed police were being sent to protect tourists in the homeland's popular coastal resorts, but South Africans were advised to avoid Transkei. Ms Michelle Cohen, executive director of the US chamber of commerce, said she knew of businessmen, representing US companies which stuck with South Africa through sanctions, curtailing visits to the country because of the turmoil. She expected a hefty rise in the cost of insurance on trade with South Africa. 'We'll be on the same list as Vietnam. . . Sarajevo.' Countries:- ZAZ South Africa, Africa. Industries:- P9721 International Affairs. Types:- NEWS General News. The Financial Times London Page 6