South Africa’s (SA’s) Minister of Trade and Industry, Dr Rob Davies has arrived in Zurich, Switzerland on an official visit to deepen the bilateral economic relations between the two countries. Davies activities amongst others will include bilateral talks with his counterpart, Federal Councillor Johan N Schneider-Ammann, addressing the Swissmem Industry Day, meeting with the SwissCham Southern Africa, and potential investors.
The main purpose of the SA-Swiss Joint Economic Committee (JEC) is to strengthen bilateral relations between the two countries and it takes place alternatively in Switzerland and South Africa. Davies' meeting with Federal Councillor Johan N. Schneider-Ammann will focus on the work of the South Africa-Switzerland Joint Economic Commission. Meetings of the Commission provide an opportunity for the two countries to take stock of on-going economic relations work. The last Session of the SA-Switzerland Joint Economic Committee was held on 31 March 2010, in Pretoria.
Minister Davies says that his official visit to Switzerland is important to both countries as the country is one of South Africa`s major trading and investment partner in Europe.
“In 2011, Switzerland was ranked as the 8th largest export destinations for South Africa in the world after China, United States, Japan, Germany, United Kingdom, India and Netherlands (4th in Europe, after Germany, United Kingdom and Netherlands). Moreover, Switzerland ranks as the 7th largest foreign direct investor in South Africa. Since 2003, Swiss firms have invested a total of more than R17 billions of capital expenditure into projects in South Africa”.
Davies added that South Africa's exports to Switzerland show an upward trend over the five year period ending in 2011, with the exception of 2010.
“Total exports from South Africa to Switzerland increased over this period from R8.8 billion in 2007 to R21.2 billion in 2011. This constitute annual average growth rate of 30 per cent over this period. However, the total exports to Switzerland dropped to its lowest level in 2010, compared to the corresponding period a year earlier. The decline in exports to Switzerland over this period can be attributed to the decrease in demand in Switzerland due to global economic meltdown which resulted in recession”, said Davies.
He further said that Switzerland as a member of the European Free Trade Association (EFTA), offers good opportunities for South African exporters who benefit from the advantages of the Free Trade Agreement between EFTA and the Southern African Customs Union (SACU). In 2011, 3% (R21.2 billion) of South Africa's total exports to the world were destined to Switzerland, whilst 73% of Switzerland's total imports from the African continent were sourced from South Africa.
Enquiries:
Sidwell Medupe, Departmental spokesperson
Cell: 079 492 1774
Tel: 012 394 1650
E-mail: MSMedupe@thedti.gov.za
