Deputy Minister of Foreign Affairs and Co-operation, Dr Eduardo Koloma
22 June 2006
Pretoria - South African Deputy Minister Aziz Pahad will hold bilateral
political and economic discussions with his Mozambican counterpart, Deputy
Minister of Foreign Affairs and Co-operation, Dr Eduardo Koloma, at the Union
Buildings in Pretoria on Friday, 23 June 2006.
Discussions between Deputy Ministers Pahad and Koloma take place within the
context of South Africa's commitment to consolidate relations with countries of
the region with a view to achieving the African developmental agenda.
Issues on the agenda of discussions between Deputy Ministers Pahad and
Koloma are expected to include among others, bilateral political and economic
relations between both countries; preparations for President Mbeki's visit to
Mozambique on 29 June 2006 where he will co-chair the South Africa - Mozambique
Economic Bilateral Forum; regional developments and other issues of mutual
interest.
South Africa and Mozambique share views on a number of issues affecting the
South Africa Development Community (SADC) region and the African continent
including the implementation of New Partnership for Africaâs Development
(NEPAD). Both countries have also shown their united political commitment to
work towards the cessation of armed conflicts on the African continent, inter
alia through the successful deployment of South African and Mozambican troops
in a peacekeeping capacity in Burundi.
Deputy Minister Koloma is expected to depart from South Africa on the
evening of the 23 June 2006.
Bilateral economic relations
Total exports by South Africa to Mozambique by 2005 were valued at R6,402
billion. South Africa imported goods from Mozambique to the value of R199,282
million in the same period. The trade balance is positively in favour of South
Africa.
South Africa and Mozambique's economic relationship is the strongest in the
Southern Africa region. In 2005 statistics show that 41,4 percent of
Mozambique's imports emanated from South Africa and about 12,9 percent of
Mozambique exports were destined for South Africa
South Africa â Mozambique trade
Year â export - import
2002 - 6,418,899 - 403,165
2003 - 5,676,203 - 280,806
2004 - 5,077,739 - 204,845
2005 - 6,402,000 - 199,282
The Industrial Development Corporation (IDC) has been utilised by the
Government of South Africa as the primary catalyst for South African investment
in Mozambique. To date, the IDC has approved funding for 10 projects
geographically spread throughout Mozambique and is currently
considering/investigating six additional projects in the country. The spread
ranges from mining and mineral beneficiation, agriculture, tourism, chemicals,
forestry, and transport infrastructure to energy.
The Mozal Aluminium Smelter (Mozal 1 and II) remains the IDCs largest
investment outside the borders of South Africa. Another major project funded by
the IDC is the titanium bearing mineral sands in southern Mozambique (US$ 600
million). Other major investments of South African origin in Mozambique
are:
* Sasol Gas Pipeline Project (US$1,4 billion);
* US$50 million investment by SAB Miller in beer factories in Maputo and
Beira;
* US$63 million by Illovo Sugar in Maragra sugar mill;
* Xinavane (US$70 million);
* CDM (US$22 million); and
* US$15,5 million investment by McCormack to construct Matola Plaza outside
Maputo.
Issued by:
Ronnie Mamoepa
Cell: 082 990 4853
Issued by: Department of Foreign Affairs
22 June 2006
Source: SAPA
