Jun 11, 2012
R20bn SA/Saudi Arabia venture targets mining, petrochemicals investmentsBack
Agriculture|Riyadh|Africa|Mining|Petrochemicals|Saudi Arabia South Africa Holding|Africa|Saudi Arabia|South Africa|Petrochemicals|Iron Ore|Iron-ore|Rob Davies|Tawfiq Al-Rabiah
© Reuse this
The establishment of the new joint holding company, Saudi Arabia South Africa Holding (Sasah), would seek to create mutual business opportunities in mining, petrochemicals and agriculture.
The holding company would be legally registered in South Africa and Saudi Arabia and would achieve the legal requirements of investment authorities and tax regimes of both countries. It might become a major shareholder in some strategic joint ventures, cochairperson of the Saudi Arabia South Africa Business Council Dr Iqbal Surve said.
Some companies had already indicated strong interest in the venture and he encouraged companies to approach the council to explore new funding opportunities.
The new partnership was in-line with South Africa’s strategy of seeking out new sources of investment and trade with dynamic economies, especially as trade and investment with most of South Africa’s traditional partners were either declining or stagnant.
Surve said that Sasah would enhance business activities between the two consortiums and improve the business relationships between Saudi Arabia and South Africa.
The new venture was initially launched during the fourth Saudi Arabian South African Joint Committee meeting held in Saudi Arabia’s capital, Riyadh, in April.
At the event, which was attended by Davies and his Saudi Arabian counterpart Minister Tawfiq Al-Rabiah, the two countries agreed to increase their total trade to a targeted R60-billion within the next five years.
Davies said the current total trade between the two countries stood at R34-billion in 2011. This represented a yearly growth rate of about 32.6% in one year.
Total trade in 2010 amounted to R26-billion.
He added that South Africa’s main exports to Saudi Arabia were oranges, iron-ore, ferromanganese, as well as machines and apparatus.
Edited by: Mariaan Webb© Reuse this Comment Guidelines (150 word limit)
Other Agriculture News
Recent Research Reports
Steel 2015: A review of South Africa's steel sector (PDF Report)
Creamer Media’s Steel 2015 report provides an overview of the key developments in the global steel industry and particularly of South Africa’s steel sector over the past year, including details of production and consumption, as well as the country's primary carbon...
Projects in Progress 2015 - First Edition (PDF Report)
In fact, this edition of Creamer Media’s Projects in Progress 2015 supplement tracks developments taking place under the Renewable Energy Independent Power Producer Procurement Programme, which has had four bidding rounds. It appears to remain a shining light on the...
Electricity 2015: A review of South Africa's electricity sector (PDF Report)
Creamer Media’s Electricity 2015 report provides an overview of State-owned power utility Eskom and independent power producers, as well as electricity planning, transmission, distribution and the theft thereof, besides other issues.
Construction 2015: A review of South Africa’s construction sector (PDF Report)
Creamer Media’s Construction 2015 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; the key participants in the sector; local construction demand; geographic diversification;...
Liquid Fuels 2014 - A review of South Africa's Liquid Fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2014 Report examines these issues, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing, competition in the sector, the...
Water 2014: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2014 report considers the aforementioned issues, not only in the South African context, but also in the African and global context, and examines the issues of water and sanitation, water quality and the demand for water, among others.
This Week's Magazine
Forest products group Sappi has confirmed the selection of its 25 MW biomass-to-power project, to be erected at its Ngodwana mill, in Mpumalanga, as a preferred bidder under the South African government’s Renewable Energy Independent Power Producer Procurement...
Information and communications technology (ICT) distributor DCC is making Windows- and Android-operating systems tablets available through retailers and education equipment suppliers to provide school children with affordable, high-performance education tools. The...
Another cement manufacturer is set to enter the Ugandan market, raising hopes that prices will come down and spur growth in the construction industry. National Cement, a Kenyan manufacturer, has unveiled plans to invest $195-million in a new manufacturing plant in...
With growth rates exceeding that in the developed world – at an average of between 4% and 5% between 2002 and 2014 – African countries provide investors with ample reason to tap into booming consumer demand says Manufacturing Circle executive director Coenraad...
The South African Chamber of Commerce and Industry’s (Sacci’s) Business Confidence Index (BCI) decreased by 3.7 index points month-on-month to 89.1 in March.