/ MEDIA STATEMENT / The content on this page is not written by Polity.org.za, but is supplied by third parties. This content does not constitute news reporting by Polity.org.za.

President Jacob Zuma will lead South African Ministers and a business delegation on an Official State Visit to France from 11 to 12 July 2016. South Africa and France will hold a Business Forum on 11 July 2016. The key objective for State Visit during the visit is to promote South Africa’s exports and attract investment in the following targeted sectors:

One of the key outcomes for the State visit will be the signing of a Declaration of Intent between Invest SA (a South African One Stop Shop on investment promotion and facilitation) with Business France. As well as an agreement by the IDC with its counterparts on cooperation on industrial development.

South African imports from France increased to R24.5 billion in 2015 from R23.9 billion in 2014. South Africa has a deficit trade balance with France that stood at R15.3 billion in 2015. SA’s total exports contracted by 3.7% in 2015 to R9.1 billion from R9.5 billion in 2014.

France is the 4th biggest trading partner in the EU after Germany, UK, Italy. As an import partner they are our 11th trading partner and the 27th export partner.

South Africa`s export basket into France is dominated by products such as Vehicles other than railway, tramway; Machinery, nuclear reactors, boilers,: Mineral fuels, oils, distillation products etc; Iron and steel; chemicals, precious metal compound, isotopes; over the five year period. South Africa’s exports of Aircraft, spacecraft, and parts to France increased from R400 million in 2013 to R1 billion in 2015 increasing its share of total exports to France from 4.4% in 2013 to 11% in 2014. SA’s exports to France are therefore in value-added products thus contributing to SA’s industrial objectives. However, the exports are concentrated in a few products, thus South Africa could benefit from its trade with France if the country could increase its production of high value added products from the manufacturing sector and diversify its exports.

There is potential to increase SA exports of agriculture and agro-processed products into the French market, including some manufactured products such as Diesel powered trucks, wheeled tractors, lead-acid accumulators, vacuum cleaners and pneumatic tyres.

South Africa’s top 5 imports from France include; Aircraft parts, Vaccines, human use, Turbo jets Lubricatg oil additives cntg pet oils/oils obtained from bitu minerals.

South Africa is France’s 5th export partner in Africa after Algeria, Morocco, Tunisia and Egypt. France leading export products Machinery, nuclear reactors, boilers; Electrical, electronic equipment; Pharmaceutical products; Cereals; Mineral fuels, oils, distillation products. These top 5 export categories constituted over 44% of all products exported to Africa.

On the investment side, between January 2011 and April 2016 a total of 30 Foreign Direct Investment (FDI) projects were recorded. These projects represent a total capital investment of R16.85 billion which is an average investment of R561.25 million per project. During the period, a total of 2,858 jobs were created. France capital investments into South Africa increased by 66.8% in 2015 compared to 2014 from R1.82 billion in 2014 to R5.49 billion in 2015. Renewable energy, chemicals and IT services sectors received the biggest capital investment respectively. South Africa would also like to see investments and technical collaboration in composite applications such as aerospace, automotive, marine, infrastructure, pipes & vessels and wind turbine blades.

Today they are more than 365 French companies operating in South Africa employing 36 000 South African employees. There are about 17 South African companies that have 26 branches employing around 10 000 French employees.

On 12 July 2016, President Zuma will lead the South African delegation of Ministers to the 100th Anniversary of the Battle of Delville Wood. The Commemoration of South Africans that fought in the first major battles on the Western front during the Battle of Somme will be held in Longueval on 12th July 2016.

Issued by Department of Trade and Industry