Commission Riyadh 8-12 Safar, 1427 Corresponding to 8-12 March 2006
13 March 2006
Based on the friendly relations and common interests and in accordance with
the provisions of the General Agreement on Economic, Trade, Investment and
Technical Co-operation between the Republic of South Africa and Kingdom of
Saudi Arabia, and the protocol annexed to it which was signed in Pretoria on 20
May 1999.
Pursuant to the recommendations of the first session of the South
African-Saudi Joint Commission that was held in Pretoria on 11-15 Rabia II
1425H corresponding to 30 May - 3 June 2004, the Second Session of the Joint
Commission took place in Riyadh on 8-12 Safar 1427H corresponding 8 to 12 March
2006.
The Saudi side in the Second Session of the Joint Commission was led by HE
Dr Hashim Yamani, Saudi Minister of Commerce and Industry. The South African
side was lead by HE Minister Mandisi Mabuto Mpahlwa, together with the members
of the two delegations and businessmen of both countries (lists of their names
are annexed) During this visit HE the South African Minister of Trade and
Industry had the opportunity to meet:
1. HE Minister of Finance
2. HE CEO Maâaden
During the opening meeting the two ministers expressed their views on the
existing bilateral relations, notably in the field of trade and investment. The
two ministers highlighted the importance of the increased interaction between
the Kingdom and South Africa. HE the head of South African side indicated that
the government of his country looks forward to supporting its Accelerated
Shared Growth Initiative and called for exploring ways to support this
initiative. The two sides exchanged views during this session on how the
governments of the two countries could cooperate together to strengthen and
develop their bilateral relations.
The two sides decided to form three sub-committees as follows:
I. Economic co-operation
2. Technical, social and cultural co-operation
3. Businessmen.
ECONOMIC CO-OPERATION
(Trade and industry, investment, oil, mining and energy, environment&
meteorology, tourism, and agriculture)
Trade and Industry:
1. The two sides emphasised the importance of increasing the volume of their
trade exchange through using all possible means. The Saudi side expressed its
willingness to increase the non-oil export to South Africa. The South African
side expressed its desire to export substantially more products and services to
Saudi Arabia.
2. The Saudi side expressed its readiness to export various petrochemical
products to South Africa. The South African side expressed its desire to
increase its exports of mining and capital equipment, electro-technical,
financial services, agricultural equipment, agro-processed products, and
automotive components, and beneficiated products.
3. The two sides emphasised the importance of finalising negotiation regarding
the agreement on the encouragement and protection of investment and the
agreement on the avoidance of double taxation to be signed by the end of
2006.
4. The two sides called for establishing co-operation between the Saudi
Export Programme of the Saudi Fund for Development, and the Industrial
Development Corporation of South Africa and other agencies operating in the
field of financial services to enhance trade exchange between the two
countries.
5. The two sides agreed to encourage the organisation of trade exhibitions,
seminars and exchange of visits between business communities of the two
countries.
6. Both sides agreed to abide by the rules of the World Trade Organisation
that govern rules of origin and labelling.
7. Both sides agreed to abide by Convention on International Trade in
Endangered Species of Wild Flora and Fauna (CITES) regulations regarding the
trade in wildlife and its products.
Investment:
8. Both sides agreed to encourage each otherâs companies to invest in each
otherâs territory in strategic areas as identified by the respective investment
authorities.
9. The two sides agreed on the exchange of data and information between
competent governmental bodies in order to familiarise investment opportunities
in the two countries.
10. The South African side called for investing by the Saudi companies in
tourism, infrastructure, information technology, agro-processing, chemical and
allied industries, energy, and transport and electro-technical equipment in
South Africa.
Oil, gas, and mining
11. The two sides agreed to enhance the relations between the two countries
in the fields of oil, gas, and mining. The South African side emphasised its
desire to have a role in the infrastructure projects in the Kingdom with
specific reference to the Maâaden project.
12. The Saudi side called for investing by South African interested
companies in the mining sector in the Kingdom including processing and refining
of minerals.
13. The two sides agreed to establish cooperation between the national oil
companies, Saudi Aramco and Petro-SA and broad-based black economic empowerment
in the oil and gas sectors.
14. The two sides called for exchanging of information related to rules and
regulations governing the petroleum and mining sectors and their exploitation
and processing of minerals and hydrocarbons, as well as environment, health and
safety in these sectors.
Environment & Meteorology
15. The two sides agreed to establish a direct link between the Department
of Environmental Affairs and Tourism of South Africa and the Presidency of
Meteorology and Environment of the Kingdom of Saudi Arabia. The Saudi side will
conduct a future visit to South Africa with the view to identifying the
potential areas of cooperation which could be included in a future memorandum
of understanding between the two parties. The two sides acknowledge the present
co-operation within the international meetings related to environment,
meteorology and sustainable development and will endeavour to continue this
good co-operation. The South African side extended and invitation to the
Kingdom of Saudi Arabia to participate in the 3rd Assembly of the Global
Environment Facility (GEF) to be held in Cape Town from 27 August to 1
September 2006. The Saudi side welcomed the verbal invitation and looking
forward to working with South Africa to ensure a successful GEF thirrd
Assembly.
Tourism
16. The two sides emphasised the importance of the exchange of visits
expertise, statistics, and information in all fields of tourism including the
development of tourism infrastructure, investment as well as awareness and
training programmes.
17. The two sides called for promoting the bilateral exchange of tourists,
through encouraging travel agents and tour operators to organise trips for
tourists from both countries.
Agriculture
18. The two sides emphasised the importance of exploring closer co-operation
in the area of agriculture including veterinary products, fish farming, trade
in agricultural products, the exchange of information and research in the field
of new medical and epidemic developments in the veterinary field, as well as
training and investment in agriculture, and technology transfer with a view to
production of vaccines, specifically those covering the rift valley fever, foot
and mouth disease and brucellosis in addition to using the Geographic
Information System (GIS).
TECHNICAL, SOCIAL AND CULTURAL CO-OPERATION
(Science & Technology; Art and Culture; Education; Health; Transport;
Sports; Communications and information technology; Security co-operation.)
Science and Technology
19. The two sides took note of progress that has been made in finalising the
Agreement on Scientific and Technological Co-operation between the Governments
of the two countries and decided to finalise the date and place for its
signature expeditiously.
20. The two sides called for the exchange of visits between experts and
professionals, in addition to the exchange of information in fields of science
and technology between the two countries.
Culture
21. The two sides emphasised the importance of finalising the draft
Agreement on Co-operation in the Field of Arts, Culture and Heritage.
22. The two sides expressed their willingness to create opportunities for
cultural goods and services through exchange programmes and participation of
specialists in each otherâs cultural festivals and exhibitions.
Information
23. Both sides agreed to encourage their countriesâ respective news agencies
to make use of their information facilities.
24. Both sides agreed to encourage the exchange of television and radio
documentary programmes between their national broadcasting authorities.
Communication and Information Technology
25. The Saudi side requested to use the expertise of South Africa in the
field of opening competition and work co-ordination techniques, and dispute
settlement between service operators and providers and the rules governing
anticipated problems. The South African side welcomed this and promised to
provide the Saudi side with its comments related to such proposals as soon as
possible.
26. The two sides agreed to explore cooperation in the field of the exchange
of expertise and services to regulate the sector of communication and
information technology, specifically regarding policies and procedures relating
to information technology, policies and procedures applied to licenses for
expanding telecommunication networks inside cities and towns for licensed
service providers, policies and procedures applied to VOIP, policies and
procedures relating to comprehensive services, commitments of service providers
and technology applied in providing telecommunication services to remote
areas.
27. The Saudi Telecommunication Company expressed its desire to have the
support of the South African side in joining the East Africa âEssay Submarine
Linkâ project. The South African side undertook to provide the Government of
Saudi Arabia with a formal response through diplomatic channels.
Education
28. The two sides emphasised the importance of cooperation in various
academic and research fields between their respective institutions of higher
education, in particular in developing the Saudi system in the fields of
accreditation, quality assurance, distance education, e-learning and vocational
education and training, in addition to the exchange of visits, information
sharing and organising cultural days / weeks and book exhibitions at their
respective education institutions.
29. The South African side welcomed the scholarship proposal submitted by
the Saudi Ministry of Higher Education for Saudi students to be enrolled at
South African universities as a basis for closer co-operation.
30. The two sides welcomed the finalisation of the MOU on Co-operation in
the Field of Higher Education which will be signed by the last quarter of 2006.
Contact persons would be identified in respective ministries in order to ensure
that action plans are implemented.
Health
31. The Saudi side expressed its desire to cooperate in the field of health,
through using the services of the health personnel, including doctors, nurses
and technicians, the exchange of information and organisation of joint
scientific symposia, co-operation in the field of communicable diseases, and
co-operation in training, particularly in emergency and disaster medicine. The
South African side promised to provide the Saudi side with any development in
this context as soon as possible.
Transport
32. The two sides emphasised the importance of strengthening air
transportation links between the two countries and welcomed the cooperation
between the respective airlines during the Hajj.
33. With respect to the request by the Saudi Government for fifth and sixth
freedom rights in Nairobi and for South African Airways to operate scheduled
flights to Saudi Arabia, the two sides agreed to encourage their respective
civil aviation authorities, as well as their airlines to enter into direct
discussions to resolve issues that impede progress.
34. The two sides emphasised the importance of finalising the draft
agreement on cooperation in the field of maritime transport to be signed as
soon as possible.
Sports
35. The Saudi side presented the South African side with the final text of
the Agreement on Co-operation in the Field of Sports and agreed that the date
of signature would be agreed upon between the two sides before the end of
2006.
Security Co-operation
36. The two sides commended the existing cooperation between security
departments in the two countries and emphasised the importance of the exchange
of the information in the fields of combating terrorism, drug trafficking and
money laundering.
Businessmen
37. The two sides emphasised the importance of activating the Saudi-South
African Business Council.
38. The two sides agreed on holding meetings, symposia and workshops between
businesspeople and representatives of chambers of commerce and industry and
exchange of delegationsâ visits to review the market situation in both
countries.
39. The two sides called for the increase of visits by South African
companies to Saudi Arabia to explore the possibilities of establishing business
linkages.
Conclusion
40. At the conclusion of the meetings of this Second Session of the
Saudi-South African Joint Commission, both sides commended the positive spirit
that prevailed in the meetings which confirms strong commitment of the two
countries to further enhance their co-operation in various fields for the
mutual benefits of the two countries through the formalisation of the Joint
Commission as an effective mechanism that will develop and expand the scope of
co-operation and give it a wider horizon.
41. Both sides decided that the third session of the Joint Commission be
held in South Africa at a date to be decided following consultations between
the two parties.
42. The South African delegation thanked the government of the Kingdom of
Saudi Arabia for their hospitality and excellent arrangements made for the
Second Session of the Joint Commission.
Done in Riyadh on Sunday 12 Safar 1427H corresponding to March 12, 2006 in
duplicate in both Arabic and English languages, all texts being equally
authentic.
For the Saudi side:
Dr Hashim A Yamani
Minister of Commerce & Industry
South African side:
Mandisi Mabuto Mpahlwa
Minister of Trade & Industry
Enquiries:
Donavan Jacobs:
Tel: (012) 394 1641
Fax: (012) 394 2641
Cell: 082 751 1078
E-mail: DJacobs@thedti.gov.za
Issued by: Minister of Trade and Industry
13 March 2006
