International Relations and Cooperation Deputy Minister Ebrahim Ismail Ebrahim will lead the South African delegation to the fourth meeting of the SA-Iran Deputy Ministerial Working Group scheduled to take place on 28 to 29 September 2009. Deputy Minister will be supported by Amb. Jerry Matjila, Deputy Director General: Asia and Middle East.
Deputy Minister Ebrahim’s visit comes within the context of South Africa’s priority and commitment in enhancing and broadening the scope of the relationship and cooperation with Iran especially in trade and economic matters within the framework of South-South Cooperation. South Africa enjoys sound bilateral relations with Iran and accordingly the fourth SA-Iran Ministerial Working Group meeting will discuss the following issues:
* Bilateral and economic relations between two countries
* Developments in Africa and the Middle East and Regional Cooperation
* Human Rights, social and Health issues
* International cooperation, trade and security
While in Iran, Deputy Minister Ebrahim will pay a courtesy call on Deputy Minister of Economy and Finance, Dr Seyed Shamseddin Hosseini, and it is expected that the discussion will include amongst others:-
* the progress made on the implementation of decisions taken during the Tenth Joint Commission, and
* the South African Trade office that has recently opened in Iran and its engagements with projects of an economic nature.
Bilateral Relations with South Africa
Diplomatic relations with South Africa were re-established on 10 May 1994 after the first democratic elections. Ambassador Mohammed Sharif Mahdavi was the first Iranian Ambassador to South Africa after the resumption of diplomatic relations. In turn, Ambassador Moosa Moolla was the first South African Head of Mission in Tehran after the resumption of ties. Ambassador Yusuf Saley is currently serving as the South African Ambassador in Tehran whilst Iran’s Ambassador in South Africa is Ambassador Ashgar Ebrahimi Asl.
In 1995 South Africa and Iran established a Joint Bilateral Commission to allow for a high-level review of bilateral relations and to consider ways in which these relations could be expanded further. The JBC is chaired by South Africa’s Minister of International Relations and Cooperation and Iran’s Minister of Economic Affairs and Finance; and meets alternatively in South Africa and Iran. The 10th meeting of the JBC was held in Tehran in July 2008. The 11th JBC will be held in Pretoria in 2010.
Economic Relations
Iran remains one of the biggest markets for South African products in the Middle East and investment in the Islamic Republic is among the highest in the region
Trade Figures (ZAR)
Year: 2003
Exports: R301 412 000
Imports: R9 286 363 000
Trade Balance: -R8 984 942 000
Year: 2004
Exports: R347 880 000
Imports: R15 222 821 000
Trade Balance: -R14 847 941 000
Year: 2005
Exports: R785 208 000
Imports: R14 324 471 000
Trade Balance: -R13 539 263 000
Year: 2006
Exports: R1,438 361 000
Imports: R18 328 963 000
Trade Balance: -R16 890 602 000
Year: 2007
Exports: R1,539 804 000
Imports: R20 802 502 000
Trade Balance: -R19 262 698 000
Year: 2008
Exports: R1,281 963 000
Imports: R27 115 964 000
Trade Balance: -R25 834 001 000
Year: 2009 (June)
Exports: R91 946 000
Imports: R2 019 951 000
Trade Balance: -R1 928 005 000
From the above figures it can be seen that South Africa’s total exports to Iran have declined from 2007 to 2008 while its total imports from Iran have increased substantially. The trade balance is highly in Iran’s favour, this being due to Africa’s high demand for oil from Iran. In 2008 Iran was South Africa’s second biggest supplier of oil, Saudi Arabia being the first. An estimated R26,640,752 000 worth of crude oil was imported from Iran, i.e. 21,4% of all South African oil imports.
Deputy Minister Ebrahim will conclude his visit and return to South Africa on 2 October 2009
For Further information contact:
Nomfanelo Kota
Cell: 082 459 3787
Issued by: Department of International Relations and Cooperation
25 September 2009