Pretoria
10 December 2006
Pretoria � South African President Thabo Mbeki will host his counterpart
from the Czech Republic President Vaclav Klaus for bilateral political and
economic discussions at the Union Buildings during his State Visit to South
Africa on Tuesday, 12 December 2006.
President Klaus's visit to South Africa will be the first ever State Visit,
by a Head of State from the Czech Republic and Head of State from a Central
European country. President Klaus will visit Pretoria and Cape Town while in
South Africa from Tuesday, 12 December to Wednesday, 13 December 2006.
President Mbeki will host his counterpart within the context of South
Africa's priority to strengthen South Africa � European Union (EU) relations.
Historically, and as a new member state of the European Union the Czech
Republic is playing a constructive role in development projects in Africa.
Issues on the agenda of discussions between Presidents Mbeki and Klaus are
expected to include, among others:
* the status of bilateral political and economic relations between both
countries, including the increase of bilateral trade and investment and
co-operation in the fields of culture, education and science and
technology
* conflict resolution and peacekeeping in Africa
* a briefing on developments in the EU and an exchange of views on the proposed
South Africa � EU partnership
* issues of multilateral and global concern including the comprehensive reform
of the United Nations and South Africa's accession to the non-permanent seat on
the UN Security Council 2007-2008, as well as the Czech Republic's candidature
as a non-permanent member of the UN Security Council for 2008-2009.
The following agreements are expected to be signed on conclusion of
discussions between Presidents' Mbeki and Klaus on Tuesday, 12 December
2006:
* Agreement on Economic Co-operation
* Memorandum of Understanding between the National Research Foundation of
the Republic of South Africa and the Academy of Sciences of the Czech Republic
on Science and Technological Co-operation
* Memorandum of Understanding on Co-operation between Chambers of Commerce and
Industry in South Africa (CHAMSA) and the Economic Chamber of the Czech
Republic.
The Czech Republic is represented in sub-Sahara Africa by eight missions. As
a new member of the EU it is playing a constructive role on the Continent. The
country provides 50 to 60 scholarships to sub-Sahara African countries. For
2005/06 six scholarships were granted to the African Union's New Partnership
for Africa's Development (NEPAD) programme to students to study agriculture.
Its top priority is the implementation of the Millennium Development Goals and
other internationally agreed development commitments. In this context, it
regards the New African Initiative (NEPAD) as one of the good examples of a
regional initiative.
Economic Bilateral Relations
Economic diplomacy is one of the fundamental tools for developing the Czech
Republic's external economic relations and export promotion activities.
Accession to the EU improved the conditions for the Czech Republic's foreign
trade and it has become the country with the fastest-growing foreign trade in
the EU. Within the EU, the country's advantageous geographical location makes
it an optimal distribution point for the whole of the EU and has encouraged
foreign investment.
Trade figures indicated that South Africa remains the Czech Republic's
biggest trading partner in sub-Saharan Africa and in Africa as a whole. Nearly
40% of its total trade with the region takes place with South Africa.
A few South African multinationals, i.e. SABMiller, Mondi and Sappi are
active in the Czech Republic.
Plzensky Prazdroj as, a subsidiary of SABMiller plc, is the leading beer
producer in Central Europe, and the largest exporter of Czech beer to more than
50 countries worldwide. The group's brands include the premium international
beer, Pilsner Urquell as well as an exceptional range of market leading local
brands. By volume SABMiller is the second largest global brewing company
worldwide with brewing interests or distribution agreements in over 60
countries across five continents. Outside the United States of America,
SABMiller plc is also one of the largest bottlers of Coca-Cola products in the
world.
There has been a steady increase in trade between South Africa and the Czech
Republic since 1994. The bilateral trade for 2005 amounted to US$292,8 million,
in favour of the Czech Republic with a bigger increase in Czech exports to
South Africa.
South African exports are represented by 33,49% machinery and transport
equipment, 28,5% raw materials (wool, synthetic fibres and paper pulp, 19,72%
consumer goods and 10,79% foodstuffs). South Africa's imports from the Czech
Republic consist mainly of automatic data processing equipment, motor vehicle
spares and parts, fruit, iron and steel, chrome ores and medicaments.
Trade statistics:
2004 � Exports to South Africa: US$71,9 million
2004 � Imports from South Africa: US$132,9 million
2005 - Export to South Africa: US$157,8 million
2005 - Imports from South Africa: US$134,9 million
Turnover: 2004: US$204,8 million
2005: US$292,8 million
Balance: 2004: -60,9 million
2005: 22,8 million
Source: Ministry of Industry and Trade of the Czech Republic
Development Assistance
As a member of the EU and of the international community of democratic and
economically developed countries, the Czech Republic conducts and provides its
own International Development Co-operation at both bilateral and multilateral
levels. The country's international development co-operation is based on
partnership principles, efficiency and transparency. The country is convinced
that the improvement of partnerships at national regional and global levels is
essential, as efforts to mobilise greater domestic and international resources
for development in the Least Developed Countries (LDCs) are still considered
insufficient.
Of the Czech development assistance, 1,1% of their Gross Domestic Products
(GDP) is earmarked for Africa and it is increasing every year. It has approved
a plan for the long-term channelling of international development co-operation
into the following priority countries: Angola, Zambia, Vietnam, Mongolia,
Yemen, Moldova, Bosnia and Herzegovina, Serbia and Montenegro and medium-term
priority countries: Namibia, Malawi, Afghanistan and Iraq.
The Czech Republic's involvement in Africa
The Czech Republic supports the "Global Partnership for Development" and
efforts to find a solution of the debt problem for poor countries, limiting of
agricultural subsidies and creating freer conditions for trade. The country
attaches great importance to the development dimension of the international
trade relations, and believes that the World Trade Organisation (WTO)
Generalised System of Preferences is one of the most important instruments for
the strengthening of the collaboration and further improvement of market access
especially for LDCs.
Angola: Czech-Angolan relations grew in intensity over the years and Angola,
as one of the world's least developed countries, is among the Czech Republic's
eight foreign development co-operation priority countries for 2006-2010. In its
development co-operation with the country, the Czech Republic focuses on the
agriculture and education sectors. Development of the agricultural sector is
essential, both for balanced economic development and for poverty reduction in
the country.
Zambia: Identified as one of the priority countries for long-term
development co-operation due to high level of poverty and low level of human
development. In line with the MDGs and the international efforts to reduce
child mortality; improve maternal health and combat HIV and AIDS, malaria and
other diseases the Czech Republic concentrates on the development of the health
sector.
Namibia: One of the biggest beneficiaries of the Czech development aid in
Africa. Various development projects are ongoing, such as assistance to
families affected by HIV and AIDS; support for the development of agricultural
studies, university scholarships; and environmental impact projects.
Democratic Republic of the Congo (DRC): As the country moves towards
political and economic stability, bilateral relations with the DRC have
deepened and new room has been created for economic co-operation. The Czech
Republic took part in the creation of a security framework for the presidential
elections by training Congolese police instructors. Czech observers remain in
the United Nations Mission in the Democratic Republic of the Congo (MONUC)
mission in the country.
Sudan: The Czech Republic supports the efforts by the international
community to achieve a peaceful solution to the conflict in Sudan. It actively
supports the EU policy on Sudan and is providing financial assistance towards
resolving the humanitarian crisis in the Darfur region.
Enquiries:
Ronnie Mamoepa
Cell: 082 990 4853
Issued by: Department of Foreign Affairs
10 December 2006
Source: SAPA
