State Economic Commission meeting
3 April 2007
Pretoria: South African President Thabo Mbeki will on Wednesday, 4 April
depart for Dar-es-Salaam, Tanzania where he will together with his Tanzanian
counterpart President Jakaya Kikwete co-chair the South Africa-Tanzania Heads
of State Economic Commission scheduled for Thursday, 5 April 2007.
President Mbeki will be supported by a senior government delegation
consisting of Ministers Mandisi Mpahlwa, Lulama Xingwana, Jeff Radebe, Buyelwa
Sonjica, Nosiviwe Mapisa-Nqakula and Deputy Foreign Minister Aziz Pahad.
President Mbeki will co-chair this session of the SA-Tanzania Heads of State
Economic Commission within the context of South Africa's commitment to
strengthen and consolidate political, economic and trade relations with a view
to the consolidation of the African Agenda.
Accordingly, the Presidential Economic Commission allows the Presidents of
both countries to preside over the review of progress made with regard to
strategic projects between the two countries.
Issues on the agenda of this session of the Heads of State Economic
Commission are therefore expected to include, among others:
* progress with regard to the spatial development initiatives programmes:
the Mtwara Development Corridor and the Central Development Corridor
* the Memorandum of Understanding on Trade and Investment Co-operation
* agriculture and food security issues
* customs and revenue issues
* immigration issues
* transport and communication issues
* issues relating to minerals and energy.
President Mbeki is expected to return to South Africa on Friday, 6 April
2007.
Economic Bilateral Relations
South African - Tanzanian Trade Statistics (all figures in ZAR'000)
Year: 2001
South African Exports: 1,526,816
South African Imports: 38,225
Year: 2002
South African Exports: 2,016,760
South African Imports: 95,422
Year: 2003
South African Exports: 1,887,931
South African Imports: 136,671
Year: 2004
South African Exports: 2,268,560
South African Imports: 206,759
Year: 2005
South African Exports: 2,757,256
South African Imports: 250,826
Year: 2006
South African Exports: 2,765,244
South African Imports: 305,369
Source: Department of Trade and Industry: South Africa Trade by
Countries
South Africa ranks as one of the top 10 countries investing in Tanzania and
accounts for 10% of total investments in Tanzania. More than a 100 South
African companies are economically active in Tanzania. The country rates as a
premier investment destination with SA business. South African exports to
Tanzania are predominantly in the areas of manufacturing, i.e. machinery,
mechanical appliances, paper, rubber products, vehicles, iron and steel and
services and technology.
The Presidential Economic Commission is the most appropriate instrument to
provide the required co-operative framework to manage the development and
implementation of bilateral projects as well as the Spatial Development
Initiative (SDI) programmes, in particular the Mtwara and Central Development
Corridors, which have been identified as regional New Partnership for Africa's
Development (NEPAD) priorities. The Presidential Economic Commission would
further serve as an enabling instrument in support of regional NEPAD programmes
and in particular, assist in the process of accelerating regional economic
integration by way of strengthening the East African Community as a building
block to address the challenges posed by poverty and underdevelopment.
Foreign Direct Investment
South Africa was the second largest source of foreign direct investment to
Tanzania for the period 1994-2005. During this period, South Africa injected
US$543,3 million into the Tanzanian economy.
According to the Tanzanian Investment Centre, as of December 2006, there
were 111 South African companies investing in Tanzania since 1990. These
include Illovo/Kilombero Sugar Co. Ltd, Unitrans Tanzania Ltd, Vodacom, African
Life Assurance, Nampack Tanzania Ltd, Score Supermarket, Engen Petroleum, and
Coin Securities.
South African investments in Tanzania span a range of sectors from
agriculture, commercial buildings, telecommunications and advertising,
financial services, transportation, manufacturing, natural resources, mining
and petroleum, and tourism infrastructure and services.
For further information, please contact:
Ronnie Mamoepa
Cell: 082 990 4853
Issued by: Department of Foreign Affairs
3 April 2007
