Dec 03, 2010
SA aims to expand trade with Zambia by $250m in 2011Back
© Reuse this
But South Africa’s Department of Trade and Industry indicated at the weekend that efforts were being made to recoup the losses and expand trade relations further.
Acting deputy director-general Riaan le Roux said that a target had been set to grow bilateral trade by about 25%, or $250-million, in 2011.
South Africa remained Zambia’s principal trading partner in the Southern Africa Development Community (SADC), while Zambia is South Africa’s third-largest trading partner in the region.
Speaking at a Zambia-South Africa business forum in Johannesburg, Business Unity South Africa CEO Jerry Vilakazi lamented the fact that intra-African trade remained low at around 10% of total trade. This, owing to insufficient intraregional infrastructure, which remained a major obstacle for trade between African countries.
President Jacob Zuma concurred, saying that it had been decided by the African Union to develop the so-called ‘North-South corridor’, which, together with regional integration efforts, would facilitate trade and physical connectivity between countries.
His Zambian counterpart Rupiah Banda emphasised the progress being made in that country to reduce the burden on businesses.
Zambia was recently identified in a World Bank survey as one of the ‘top ten reformers’ in easing the business environment for investors. Currently, a business can be registered in one day, compared with South Africa where it still takes seven days.
Zambia was also delivering growth rates that were above the continent's average. The copper-rich country was expected to expand by 6,6% this year, and by 6,4% in 2011.
However, Banda said that this was still not high enough, and that Zambia hoped to boost its growth rate to between 8% and 10% between 2011 and 2030.
“By 2030, Zambia wants to be a middle-income country, and we have been putting all the necessary policies and incentives in place to achieve this.”
The country, which still generates most of its income from the mining industry, would also be pursuing diversification programmes.
Commerce, Trade and Industry Minister Felix Mutati said that a strong focus would be given to value-added mining, and in diversifying the country’s economy into sectors such as energy, tourism, agroprocessing, manufacturing, and information and communication technology.
The centrally located country is also host to almost 40% of surface and underground water resources in the SADC region, which created significant opportunity for the development of hydroelectricity capacity.
Mutati noted that this could be a key area for collaboration between the two countries, particularly give the power shortages in the region.
Meanwhile, South Africa’s Trade and Industry Deputy Minister Elizabeth Thabethe said that nurturing and stimulating small and medium-sized enterprise (SME) trade would also be key to improving bilateral trade relations.
She noted that South Africa companies were among Zambia’s biggest investors, having invested $1,4-billion in the country between 1991 and 2010, mostly in the resources environment.
But she added that SMEs still had a significant role to play in the “intertwined” destinies of the two countries.
Edited by: Mariaan Webb© Reuse this
Creamer Media Senior Researcher and Deputy Editor Online
To subscribe email email@example.com or click here
To advertise email firstname.lastname@example.org or click here
Recent Research Reports
Construction 2016: A review of South Africa's construction industry (PDF Report)
Creamer Media’s Construction 2016 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; key participants; local demand; geographic diversification; corporate activity; black economic...
Energy Roundup – February 2016 (PDF Report)
The February 2016 roundup covers activities across South Africa for December 2015 and January 2016 and includes details of a Government Gazette notice that confirms Cabinet’s decision to move ahead with the 9 600 MW nuclear procurement programme; State-owned power...
Energy Roundup - December 2015 (PDF Report)
The December 2015 roundup includes details of State-owned utility Eskom’s application to claw back R22.8-billion; South Africa’s ranking as an investment destination for renewable energy; and a nuclear expert’s thoughts on reactor designs for South Africa’s nuclear...
Water 2015: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2015 Report considers the aforementioned issues, not only in the South African context but also in the African and global context in terms of supply and demand, water stress and insecurity, and access to water and sanitation, besides others.
Input Sector Review: Pumps 2015 (PDF Report)
Creamer Media’s 2015 Input Sector Review on Pumps provides an overview of South Africa’s pumps industry with particular focus on pump manufacture and supply, aftermarket services, marketing strategies, local and export demand, imports, sector support, investment...
Liquid Fuels 2015: A review of South Africa's liquid fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2015 Report examines these issues in the context of South Africa’s business environment; oil and gas exploration; fuel pricing; the development of the country’s biofuels industry; the logistics of transporting liquid fuels; and...
This Week's Magazine
Power and automation company ABB is in the launch phase of its highest payload, multipurpose industrial robot, the IRB 8700. The robot has a reach of 3.5 m and can handle a payload of up to 800 kg. “When designing the IRB 8700, we emphasised reach and payload, as...
Identity and Access Management (IAM) is a critical facet of a connected security ecosystem, as controlling the confidentiality, integrity and authorisation of data access and use is key to securing new digital business channels. However, companies face several...
Data underpins digital business models, the digital economy, the Internet of Things and the fundamental changes in the ways people interact and protecting data is crucial to securing new ways of doing business, says T-Systems South Africa information and...
The City of Cape Town will issue a tender for the procurement of electric buses for its MyCiTi service, in line with the council’s commitment to lower its carbon footprint, says executive mayor Patricia de Lille. The tender, to be advertised early in February, will...
The iSimangaliso Wetland Park Authority signed a R10-million contract last month with local tailings storage facility specialists Cyclone Engineering Projects to remove about 100 000 m3 of dredge spoil obstructing the natural course of the uMfolozi river, in...