Speech by KwaZulu-Natal Premier Sibusiso Ndebele at the occasion of the Chinese/South Africa 10th anniversary reception, ICC Durban

His Majesty the King
His Excellency Chinese Consul General Mr Liu Yantao
The Honourable MEC for Education, Ina Cronje
Colleagues from the Consular Corps
Consul General of Lesotho Mr MC Ntholi
Consul of Mozambique Mr Mossassa
Consul of Greece Mr C Zacharopoulos
Honorary Consul of France Andre Arnaud
Honorary Consul of Poland Andrej Kiepila
Honorary Consul of Belgium Raymond Nazar
Honorary Consul of Germany Horst Achtzehn
Honorary Consul of Spain Granvile Erswell
Head of Chancery for the Consulate of India Mr V Ramalingam
HODS Present
Distinguished Guests
Members of the Chinese and South African media
Ladies and Gentlemen

I am delighted to be part of this very important reception organised by the Chinese Consulate in celebration of 10 years of diplomatic relations between South Africa and China.

It is very encouraging to note that South Africa's political work with China has been largely consolidated. The challenge is now to advance our economic relations and specifically to work towards establishing a more equitable trade balance.

In the last seven years, it has been estimated that Chinese investments in Africa has moved from 100 million United States (US) dollars to 60 billion US dollars in 2006. China's trade with the continent has also followed a similar growth trend, rising substantially. It is then not surprising that the continent of Africa has an economic growth of about five percent. China's economic growth has been about 10 percent for four years. Such growth for a country with a population of 1,4 billion and the second largest economy after the United States generates a huge market for products.

Over 800 companies, mostly state owned enterprises, are operating in 49 African countries. China has dealings with other African countries, our neighbours Zimbabwe and Mozambique, Angola, Ghana and Nigeria. Africa is effectively an integral part of China's long term economic development plan. The African Union has expressed support for the continued engagement of China and Africa. African governments have an obligation to have a common approach to relations with China, and learn from each other in doing business with our Chinese counterparts. It is reported that Ghana in doing business with the Chinese, established institutions and conditions favourable to international trade and encouraging the Ghanaian private sector to form joint ventures with the Chinese. The KwaZulu-Natal Government has a lot to learn from our fellow Africans.

Peace in Africa as we near the celebrations of Africa Day on 25 May.

In November 2006, the Beijing Summit and the Third Ministerial Conference of the Forum on China-Africa Cooperation (FOCAC) were held in Beijing. Heads of state, government and delegation as well as ministers of foreign affairs and ministers in charge of economic cooperation from China and 48 African countries attended the Summit and Ministerial Conference.

At the forum, China and Africa committed to strengthening and expanding their co-operation in the United Nations, the World Trade Organisation (WTO) and other international and regional organisations, and actively explore ways of pragmatic co-operation with third parties on the basis of equality and mutual benefit.

Furthermore, Forum for China-Africa Co-operation (FOCAC) stressed the importance of agriculture in our respective economies. Enhanced agricultural co-operation between our countries will play a positive role in eliminating poverty, promoting development and ensuring food security. For us as a province, Agrarian reform is priority where we say "no citizen of KwaZulu-Natal will go to sleep hungry."

KwaZulu-Natal has no less than three Memorandum of Understandings (MOUs) with Fujian, Shanghai and Jiangsu provinces in China. During July 2004, KwaZulu-Natal visited China where JUNCAO Mushroom and Dry land Rice co-operation agreements were reached. We also initiated co-operation arrangements between Fujian Agriculture and Forestry University (FAFU) and Department of Agriculture and Environmental Affairs. Targets that we set for the project included producing an average of one million mushroom and Dry land Rice cultivation bags per year, the mushroom used both for edible and medicinal purposes and to train 4 000 rural households, 20 000 persons and 200 technicians.

To mark the 10 year diplomatic anniversary, a KwaZulu-Natal delegation, comprising of Provincial Ministers of Agriculture, Education, Arts, Culture and Tourism will officially represent the province at the national celebrations in Beijing and Shanghai. The MECs will maximise and make use of the opportunity and hold high level discussions with Chinese counterparts in areas of agriculture, education, arts and tourism.

The objective of the discussions will be to evaluate the twinning projects and explore the expansion of projects in order to promote our economic diplomacy.

KwaZulu-Natal is ranked second in terms of its contribution to the South African economy, accounting for 16,7 percent of the country's Gross Domestic Product (GDP).

Our province boasts the highest propensity and the highest level on industrialisation in the country, with a large manufacturing sector. Due to the adequate supply of rainfall and large tracts of arable land, agriculture has a great potential to unlock export opportunities.

KwaZulu-Natal would like to explore co-operation in agricultural research to enhance agricultural productivity, as China has limited arable land of about 12 percent, but still manages to feed 1,4 billion citizens. KwaZulu-Natal will further investigate export markets for our arts and crafts in order to promote cultural understanding amongst us.

KwaZulu-Natal is currently nurturing relations with Beijing 101 Middle School for our young people to interact with each other and share experience. The Provincial Government will utilise this partnership to explore co-operation with our Chinese counterparts for Chinese language training. Tourism statistics reveal that arrivals from China to our province are still low, and we would like to work with our partners in China to host influential Chinese nationals in the province in order for them to become ambassadors of the KwaZulu-Natal brand.

Thank you.

Issued by: KwaZulu-Natal Provincial Government
12 April 2008