South Africa companies to seek trade and investment opportunities in Ghana
Twenty-seven South African companies will get an opportunity to explore trade and investment opportunities in Ghana when they participate in an Outward Trade and Investment Mission from 24-30 March 2019.
The mission is organised and funded by the Department of Trade and Industry (the dti) through its Export Marketing and Investment Assistance Scheme. The mission will comprise of 27 companies participating in a trade and investment seminar, business-to-business meetings and site visits.
According to the Minister of Trade and Industry, Dr Rob Davies, the mission is part of South Africa's economic strategy for Africa, which is premised on implementing an outward investment-led trade approach which will result in two-way trade and investment that will benefit both South Africa and its trading partners.
This investment-led trade approach is aligned to the Integrated National Export Strategy (INES) which aims to increase South Africa's capacity for exporting diversified and value-added goods and services to various global markets.
“One of the dti’s strategic goals is to grow the South African manufacturing sector in order to promote industrial development, job creation, investment and exports. To achieve this objective, the department embarks on international trade and investment missions in order to promote exports of South African value-added goods and services in an effort to increase their market share in strategic markets identified by the INES. This ultimately enables South African businesses to access global markets which will result in increased production, thereby growing the SA economy and creating much-needed employment opportunities,” says Davies.
The Minister added that South Africa’s commitment to increasing intra-African trade and investment in line with the objectives of the Continental Free Trade Agreement was confirmed by the establishment of Trade Invest Africa (TIA) in the dti.
The unit is responsible for creating a closer working relationship between the South African Government and the private sector in order to implement an outward investment-led trade approach on the rest of the African continent.
“Trade Invest Africa is mandated to contribute to increasing the levels of intra-Africa trade by facilitating South Africa's exports of value-added goods and services, while creating sourcing relationships for imports from other African markets. In this regard, the mission to Ghana will contribute significantly in strengthening trade relations between the two countries. Businesspeople who will be participating in the mission will get an opportunity to market their companies, products and services to their Ghanaian counterparts and exchange information and ideas on investment and trade opportunities that companies from both countries can jointly explore,” he added.
Trade between South Africa and Ghana increased considerably from almost R4 billion in 2014 to R13bn in 2018. South Africa exported R4.4 billion worth of goods to Ghana in 2018 while imports were valued at R8.7 billion, thus registering a trade deficit of R4.3 billion with Ghana in 2019.
In respect of direct investments, a total of over 180 projects by South African companies have been recorded between January 2006 and 2017 with an investment value of over US$770 billion.
The majority of the South African investment projects are in the services sector with a total of over 100 projects valued at over US$780m. Other sectors that South Africa has invested in include agriculture, building and construction, manufacturing and tourism.