A Pahad: Briefing on P Mlambo-Ngcuka’s visit to Japan and
Indonesia

Notes following briefing by Deputy Minister Aziz Pahad, Media
Centre Amphitheatre, Union Buildings, Tshwane, South Africa

11 April 2006

Update on Minister Dlamini Zuma's condition

Minister Dlamini Zuma is still recuperating at a Pretoria Hospital.

She was only transferred from the intensive care unit to a normal ward
yesterday. Upon release, on a date still to be determined, she will be off for
three weeks with Minister Skweyiya acting. The Minister appreciates the well
wishes of the media and the public.

Condolences to governments of Djibouti and Ghana

We extend our condolences to the governments of Djibouti and Ghana following
the boat tragedies in which many people have lost their lives

Condolences to the government of Kenya

We extend our condolences to the government and people of Kenya following
the plane crash in which two assistant ministers and the deputy leader of
President Kibaki's party have been killed.

Deputy President's visit to Japan and Indonesia

South African Deputy President Phumzile Mlambo-Ngcuka will pay a working
visit to Japan and Indonesia scheduled from Wednesday to Thursday, 19 to 20
April, and Friday to Tuesday, 21 to 25 April 2006, respectively. She will be
supported by the Minister of Minerals and Energy and Deputy Ministers Pahad,
Moleketi, Davis and Mabudafhasi.

The visit by Deputy President Phumzile Mlambo-Ngcuka to Japan and Indonesia
comes within the context of South Africa's priority to strengthen North-South
and South-South relations for increased market access, trade, investment,
sharing of experiences on small, medium and micro-enterprises (SMMEs)
development and support for our capacity building programmes.

In this regard, the visit is also aimed at popularising South Africa's
Accelerated and Shared Growth Initiative for South Africa (AsgiSA) and Joint
Initiative for Priority Skills Acquisition (JIPSA) while investigating areas of
co-operation and skills transfer between South Africa and Indonesia and
Japan.

In addition, the visit to Indonesia comes a year after the historic
Afro-Asia Conference that commemorated the Bandung Conference of 1955. At the
2005 Afro-Asia Conference, leaders of African and Asian countries committed
themselves, through the New Africa-Asia Strategic Plan (NAASP), to
consolidating economic relations between both continents that adequately
reflected the strong socio-political links between Asia and Africa.

It is our view that we have not given enough attention to the NAASP when we
consider that almost all the significant Asian leaders were present at the
conference. If we understand that Asia is the fastest growing continent and
that China and India will be the new economic powerhouses by 2010, we should
realise that relations with Asia should be our new priority. The NAASP is based
on economic and political ties as well as people-to-people contact.

The Afro-Asia Summit also endorsed New Partnership for Africa’s Development
(NEPAD) as Africa's socio-economic programme. We do indeed believe that Asia
represents exciting new opportunities for parastatals, the private sector, etc.
Many new programmes have been identified in terms of the NAASP.

Visit to Japan

Deputy President Phumzile Mlambo-Ngcuka will hold discussions with Prime
Minister Koizumi during her visit to Japan. Deputy President Mlambo-Ngcuka is
also scheduled to pay a courtesy call on Crown Prince Naruhito who is the
eldest son of Emperor Akihito. Discussions will focus primarily on how Japan
can contribute to the successful implementation AsgiSA and JIPSA. The aim of
the visit is also to consolidate and strengthen the existing cordial political
relations between South Africa and Japan.

Deputy President Mlambo-Ngcuka will also hold discussions with the:
* President of the Japan International Co-operation Agency (JICA) Sadako Ogata
with a view to popularising and seeking support for AsgiSA and JIPSA.
Discussions are likely to focus on empowerment of South Africa's Second
Economy, providing human resource development support to JIPSA and trilateral
co-operation initiatives;
* Chairperson of the Japan External Trade Organisation (JETRO) Osamu Watanabe
during which discussions are likely to include increased market access between
Japan and South Africa;
* Governor of the Japan Bank for International Co-operation (JBIC) during which
discussions will focus on the Enhanced Private Sector Assistance (EPSA) for
Africa in partnership with the African Development Bank (AfDB);
* Vice-Chairperson of Toyota and South African Honorary Consul to Japan Mr
Nakagawa during which discussions are expected to focus on private sector
involvement with the recapitalisation programme of Further Education and
Training institutions in South Africa;
* President of the House of Councillors Mrs Oogi who is also a member of the
SA-Japan Parliamentary Friendship League. The League has played an important
role in strengthening relations between the two countries. Discussions are
expected to include the enhancement of Japan's relations with the Pan-African
Parliament under the auspices of the Tokyo International Conference for African
Development (TICAD);
* President of the Sanko Steamship Company and Kenji Kanda, President of the
Kanda Shipbuilding Company;
* Business executives from Keidanren (Japanese Chamber of Commerce)

Japan's economic policy toward African development taken in its entirety is
directed within the Tokyo International Conference on African Development
(TICAD) process which was first held in 1993. TICAD has led to the
implementation of projects aimed at increasing African human resource capacity,
infrastructure development and investment. Japan is also very keen to share the
Asian experience with South Africa and indeed, considers South Africa a
strategic partner in terms of its entry into Africa.

Japan considers South Africa a very important trading partner for two
reasons; of the total sub-Saharan region's gross domestic product (GDP), South
Africa's economy accounts for 40% and South Africa is rich in natural
resources, specifically gold, diamonds, platinum and white gold. Japan sees
South Africa as the gateway to Africa and as such, opportunities in trade and
investment are considerably expanded. South Africa is a reliable source of raw
materials and is seen as a market for manufactured goods.

In 2005, Japan was South Africa's third most important trade partner
internationally and for several years has been South Africa's most important
trade partner in Asia. Japan is a large investor in South Africa despite the
fact that the investment accounts for 0.3% of Japan's outward Foreign Direct
Investment (FDI).

South Africa's main exports to Japan in 2005 were as follows: Platinum
(35.4%), motor vehicle (23%), wood chips (10%), Aluminium (8%), Ferro Alloys
(10%), Manganese (4%) and Citrus (1.1%). South African imports from Japan
consist mainly of machines, mechanical appliances, vehicles and measuring and
photographic equipment. South Africa exported vehicles worth more than R7
billion to Japan in 2005.

It is estimated that almost all the minerals and more than half of South
Africa's total exports are imported by no more that 20 Japanese companies, all
of which have offices in South Africa, including JETRO and JICA. There are
approximately 63 Japanese companies operating in South Africa.

Visit to Indonesia

Deputy President Phumzile Mlambo-Ngcuka is expected to hold bilateral
political and economic discussions with her Indonesian counterpart Vice
President Jusuf Kalla in Jakarta, Indonesia on Monday, 24 April 2006.

Issues on the agenda are expected to include, among others:
* The status of bilateral political and economic relations between both
countries;
* Co-operation between SADC and Association of Southeast Asian Nations
(ASEAN);
* Reflection on the New Africa-Asia Strategic Plan - developments since April
2005 and the way forward in the consolidation of economic relations between
Africa and Asia;
* Developments in Africa including the consolidation of institutions of the
African Union (AU) and AsgiSA and JIPSA;
* Suggested areas of co-operation between both countries including mining,
energy, telecommunications, infrastructure, SMMEs and tourism;
* Global governance including World Trade Organisation (WTO) discussions and
the comprehensive reform of the United Nations (UN) and
* Other issues of mutual interest including the situation in the Middle
East.

Deputy President Mlambo-Ngcuka is also expected to visit Solo in Central
Java and Makassar in South Sulawesi. Trade between South Africa and Indonesia
has expanded fast (more than 300% since 1993) with the trade balance in favour
of Indonesia. South Africa's main exports to Indonesia include pulp and waste
paper, cotton, flat and rolled steel and iron ingots, while its main imports
are vegetable oil, natural rubber, textiles, timber, paper, plastics, footwear,
stone and plaster.

There is increasing investment by South African companies in the vast
mineral reserves of Indonesia, that include nickel, copper, silver, gold.
Gencor (Ingwe) is active, with Iron and Steel Corporation (Iscor),
Anglo-American, and Plessey also showing interest. Murray and Roberts has an
office in Jakarta and is hoping to obtain civil construction contracts in the
infrastructure sector. In addition, Thebe Investment has signed an agreement
with Indonesian-owned trading company PT. Prima Comexindo.

One of the biggest South African information technology (IT) companies,
M-Web, has a huge investment portfolio of USD16 billion in Indonesia.

The visits to Japan and Indonesia are indeed very important since this is
the first time that a visit has had such key focus areas - i.e. AsgiSA and
JIPSA.

Visit to South Africa by Tanzanian President Jakaya Kikwete

As you know, President Kikwete paid a working visit to South Africa last
week. This was part of his visit to the SADC region. During discussions with
the President he outlined the importance of South Africa, not just bilaterally
but in terms of the SADC region and the African agenda. President Mbeki, on
conclusion of the visit, highlighted that trade relations between South Africa
and Tanzania should be enhanced. In this regard, it has been agreed that the
Presidential Economic Commission would be given priority and will meet within
the next two months.

The South African delegation was briefed widely in terms of Burundi with
regard to the involvement of the Phaliphutu-FNL in the peace process and the
withdrawal of Frodebo from the peace process and the impact of these
developments. We also had extensive discussions regarding the Democratic
Republic of Congo (DRC) - we have been informed that the Union for Democracy
and Social Progress Party of Mr Etienne Tshisekedi has not registered to
participate in the elections and that registration would not be re-opened. The
consequences of this development must be further analysed. We do not believe
that there will be much fallout from this.

We were also briefed in terms of the East Africa Summit held in Tanzania. Of
significance was the decision that a common market protocol will be signed by
December 2008 and would be functional by 2010. There will also be ministers
specifically allocated to ensuring this process is fasttracked. The question of
whether Tanzania will continue to remain a member of SADC must be further
considered by the Tanzanian government. As you know, a decision has been taken
that concerted efforts would be made that countries not belong to too many
sub-regional groupings.

Questions and answers

Question:
Deputy Minister Pahad, could you kindly elaborate on whether the decision by
the Israeli government to not meet with parties who have held discussions with
Hamas would interfere with President Mbeki's visit to the region?

Answer:
We have asked for clarification on this position. However, as you know, a
similar decision was taken with the late President Arafat. If we held
discussions with him, the Israeli government would not meet with us. We would
have to visit another country and then return to meet with the Israeli
government

However, we do believe, that if we are to assist in finding a solution to
the situation in the region, we must interact with both parties.

Question:
Deputy Minister, can you please clarify what the situation is regarding South
African women being held in Mauritius?

Answer:
I am not fully aware of this situation, but if indeed South Africans are in
distress around the world, it is the responsibility of our missions to seek
consular access to the detainees.

Let me also say that for some time we have been increasingly concerned that
South Africa is becoming a transit point and that South Africans are being
effectively utilised as drug couriers. We have over 150 South Africans mainly
in Thailand and Latin America serving sentences for drug trafficking. Officials
in our missions seek regular consular access to the detainees and meet with
their families.

According to reports, prisoners abroad are living in very dire conditions
when compared to those in South Africa. We have ruled out the option of
Prisoner Transfer Agreements. We reiterate our call to South Africans: do not
fall victim to the idea of making quick, easy money by being a drug
courier.
The head of the South African Police Service is now also the head of Interpol
and there is very good and growing co-operation among countries to eradicate
this scourge.

Question:
Deputy Minister Pahad, could we please have an update on the situation in
Iran?

Answer:
I am happy to note that the US is unequivocally denying that there are advanced
plans to commence air strikes against Iran as alleged in widely disseminated
articles in the United States (US).

The Head of the International Atomic Energy Agency (IAEA) Mohamed ElBaradei
is now in Iran - we urge the Iranians to co-operate fully with him. We are
firmly of the view that the IAEA is the only body through which the situation
in Iran can be addressed. I am pleased to note that increasingly, other
countries like the EU3, are calling for a diplomatic solution. We do, however,
firmly reiterate that not action that would further inflame the situation be
taken.

Question:
Deputy Minister Pahad, can you kindly comment on preparations for elections in
Côte d'Ivoire?

Answer:
We have had a massive request from the governments of Côte d'Ivoire and the
Democratic Republic of Congo (DRC) to assist with preparations for elections.
These have been relayed to the Independent Electoral Commission for
consideration.

However, reports with regard to the situation in Côte d'Ivoire continue to
be positive. The question of the Disarmament, Demobilisation and Reintegration
(DDR) process and the disarmament of the militias remains and we are hopeful
that the new Prime Minister is able to deal with these outstanding issues
effectively. After all, free and fair elections will not be possible without
effective disarmament.

Issued by: Department of Foreign Affairs
11 April 2006

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