State Economic bilateral meeting
21 March 2007
Pretoria: South African President Thabo Mbeki will on Friday, 23 March 2007
host his counterpart Mozambican President Armando Guebuza, for the South
Africa-Mozambique Heads of State Economic Bilateral meeting at the Presidential
Guesthouse in Pretoria.
President Mbeki will host this session of the Heads of State Economic
Bilateral meeting within the context of South Africa's commitment to strengthen
and consolidate political, economic and trade relations with Mozambique with a
view to the consolidation of the African agenda.
Issues on the agenda of discussions between Presidents Mbeki and Guebuza are
expected to include, among others:
* a review of bilateral economic relations since the last session of the
Economic Bilateral meeting in June 2006
* Developments in the following bilateral projects between South Africa and
Mozambique:
* the Cahora-Bassa Project
* The Greater Limpopo Transfrontier Park (GLTP) / Lubombo Transfrontier
Conservation and Resource Area (TFCA) that was officially opened by the three
Heads of State of South Africa, Mozambique and Zimbabwe on 16 August 2006
* the Kosi Bay-Ponta do Ouro Border Post and Transfrontier Conservation
Area
* border post operations between both countries
* fisheries and integrated marine and coastal management and development
* co-operation in the agricultural sector including agricultural finance,
trade, and commercial farming investment joint venture initiatives.
The Mozambican economy continues to perform well and expectations are that
the average growth rate of 7% that has been seen over the last ten years will
continue.
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.
As such, South Africa and Mozambique's economic relationship is the
strongest in the Southern Africa region. In 2005 statistics show that 41,4% of
Mozambique's imports emanated from South Africa and about 12,9% of Mozambique
exports were destined for the South African market.
RSA/Mozambique trade
Year: 1994
Export: 1,771,872
Import: 92,376
Year: 2002
Export: 6,418,899
Import: 403,165
Year: 2003
Export: 5,676,203
Import: 280,806
Year: 2004
Export: 5,077,739
Import: 204,845
Year: 2005
Export: 6,402,000
Import: 199,282
Source: The Department of Trade and Industry (DTI) [November 2006]
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 6 additional projects in the country. The spread
ranges from mining and mineral beneficiation, agriculture, tourism, chemicals,
and forestry, transport infrastructure to energy.
The Mozal Aluminium Smelter (Mozal 1 and II) remains the IDC's 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 SABMiller 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)
* US$15,5 million investments by McCormack to construct Matola Plaza outside
Maputo.
President Guebuza is scheduled to depart from South Africa on conclusion of
discussions with President Mbeki on Friday, 23 March 2007.
Media programme for visit to South Africa by Mozambican President Armando
Guebuza
Friday 23 March 2007
10h00: Arrival of media ahead of photo opportunity on arrival of President
Armando Guebuza at Presidential Guesthouse
Venue: Presidential Guesthouse, Bryntirion Estate, Church Street (Enter through
Gate 9), Pretoria
(Please present press cards)
(Please RSVP)
Contact: Manusha Pillai on 082 389 3587
11h00: Arrival of President Guebuza ahead of SA-Mozambique Heads of State
Economic Bilateral meeting
Photo opportunity
Presidents Mbeki and Guebuza to hold bilateral discussions
Photo opportunity
12h00: Arrival of media ahead of joint press conference on conclusion of South
Africa-Mozambique Heads of State Economic Bilateral meeting
Venue: Presidential Guesthouse, Bryntirion Estate, Church Street (Enter through
Gate 9), Pretoria
(Please present press cards)
(Please RSVP)
Contact: Manusha Pillai on 082 389 3587
12h45: Joint Press Conference
For further information contact:
Manusha Pillai
Cell: 082 389 3587
Ronnie Mamoepa
Cell: 082 990 4853
Issued by: Department of Foreign Affairs
21 March 2007
