SA, Mauritius sign economic cooperation agreement
Cape Town|Africa|Cement|Property Development|Africa|Mauritius|South Africa|Building|Chemical-based Products|Machinery|Products|Property Development|Rubber|SADC|South African Government|Arvin Boolell|Infrastructure|Mandisi Mpahlwa
© Reuse this
Trade and investment relations between South Africa and Mauritius were strengthened on Thursday with the signing of a memorandum of understanding (MoU) on economic cooperation between the two South African Development Community (SADC) countries.
The signing ceremony, which was conducted in Cape Town, was led by South African Minister of Trade and Industry, Mandisi Mpahlwa, and the Mauritian Minister of Foreign Affairs, Regional Integration and International Trade, Dr Arvin Boolell.
Trade and investment relations had been growing between the two countries over the last few years but it was anticipated that the MoU would help to cement and strengthen that relationship.
Mauritius was one of South Africa’s largest trading partners with exports to the island amounting to R2,4-billion in 2007.
However, Mpahlwa told delegates that a significant trade imbalance existed between the two countries as the value of imports from Mauritius only amounted to R437-million in 2007, which was up from R124-million in 2003.
South Africa predominantly exported mineral commodities, machinery, prepared foodstuffs, and chemical-based products to Mauritius, while imports focused on textiles, clothing and rubber.
Mpahlwa said that the main objective of the MoU was to encourage mutual economic growth, promote infrastructure development, and facilitate capacity building among the two nations.
The MoU was also indicative of the fact that the South African Government was working ever closer with SADC members to promote economic development on the African continent, said Mpahlwa.
Although intra-regional trade between the 14 SADC countries was steadily growing, Mpahlwa said that a trade balance existed in favour of South Africa.
However, to promote further economic development in the rest of the SADC region, balanced trade between all countries was a prerequisite.
Mauritius' Boolell said that the meeting between the two government representatives had been very fruitful.
He stated that his country had exceptional relations with South Africa and that it had always been responsive to the needs of Mauritius in terms of technical assistance and capacity building.
Bollel continued that the strengthening of economic ties between the two countries was especially important in the current international financial crisis.
Owing to the global financial crisis, there was a concern that the “ugly head of protectionism”, in the countries hardest hit by the credit crunch, may start to raise its head, he stated.
Thus, on the back of fears that trade with the western world could start to decrease with the imposition of protectionist tariffs, the MoU on economic cooperation was essential to ensure continued trade and investment in South Africa and Mauritius.
Boolell continued that the Mauritian government had made it easier for South African companies to invest in the country over the last few years, especially in emerging sectors such as property development.
The private sector remained the main engine of growth in Mauritius, and Boolell concluded that his government was contemplating introducing additional incentives to encourage further investment in the country.
Edited by: Creamer Media Reporter
© Reuse this
Comment Guidelines (150 word limit)
The retail price of 95-grade petrol in South Africa will drop by 45 cents or 3.3 percent a liter from next Wednesday, while wholesale diesel will decrease by 4.9 percent, the government said on Friday. Petrol will cost 13.16 rand ($1.20) a liter while the wholesale...
Special purpose vehicle GreenCape will, by the end of 2014, make an application to the Department of Trade and Industry (DTI), the Western Cape provincial government and the City of Cape Town to declare Atlantis, on the Western seaboard, a special economic zone...
The German government has committed a further R70-million towards the second phase of the Non-Motorised Transport (NMT) programme. The NMT programme forms part of the Department of Environmental Affairs’ 2010 FIFA World Cup National Greening Legacy Programme.
Recent Research Reports
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
Real Economy Insight: Automotive 2014 (PDF Report)
This four-page brief covers key developments in the automotive industry over the past 12 months, including an overview of South Africa’s automotive market, trade figures, production and the policies influencing the sector.
Real Economy Insight: Construction 2014 (PDF Report)
This five-page brief covers key developments in the construction industry over the past 12 months. It provides an overview of the sector and includes details of employment in the sector, infrastructure and municipal spending, as well as insight into companies’...
Real Economy Insight: Electricity 2014 (PDF Report)
This five-page brief covers key developments in the electricity industry over the past 12 months, including details of State-owned power utility Eskom’s generation activities, funding and tariffs, independent power producers and prospects for the sector.
This Week's Magazine
In the next 20 years, it was expected that, in Africa, more people would live in cities and towns than in rural areas, United Nations Habitat executive director Dr Aisa Kirabo Kacyira said at the Human Settlements Indaba that took place earlier this month in...
Tough-talking Human Settlements Minister Lindiwe Sisulu has committed government to building 1.5-million low-cost houses over the next five years, telling the Human Settlements Indaba in Johannesburg on Wednesday that the State would achieve this target through the...
Over the past 20 years there has been persistent concern about deindustrialisation in South Africa, as well as the fact that locally produced manufactured products have been increasingly displaced by imports.
Financial agreement for Ghanian independent power producer (IPP) Cenpower Generation Company’s $900-million, 350 MW combined-cycle gas-turbine power plant was finalised earlier this month, paving the way for the project’s construction to begin before 2015 in Tema,...
The revenue implications for South Africa of ‘base erosion and profit shifting’ by corporate taxpayers are firmly in the crosshairs of the Davis Tax Committee (DTC) and Judge Dennis Davis hinted last week that recommendations were being considered to “detect and...