Trade Agreements Between Canada And South Africa

South Africa and Canada are major global producers of mineral resources with extensive mining. This is a natural area of cooperation and both sides are increasingly interested in increasing investment and mining trade. In the field of mining equipment and technologies, there are many opportunities on both sides. South Africa and Canada signed a Memorandum of Understanding on Mining and Mineral Cooperation in March 2015. Bilateral consultations between the two countries take place each year and generally focus on foreign policy, trade, defence and economic development issues. [3] Each contracting party may request consultations with the other party on all issues relating to bilateral trade and investment relations. These consultations are gaining quickly. The African Free Trade Agreement (AfCFTA), signed on 21 March 2018 in Kigali, Rwanda, is being implemented to integrate the African economy. The agreement includes protocols on trade in goods and services and dispute resolution procedures aimed at eliminating tariffs and non-tariff barriers, improving cross-border transit of goods and services, liberalising service providers and establishing recognition of standards and licences across Europe. South Africa has a modest but well-established trade relationship with Canada. South Africa is Canada`s third largest trading partner in sub-Saharan Africa and is considered a gateway to the continent.

The trade partnership as a whole is on a positive trajectory, with the total volume of trade amounting to R10.7 billion (exports and imports) in 2016. Exports from South Africa amounted to R5.6 billion, an increase of R5.1 billion in 2015, while imports fell from R5.8 billion in 2015 to R5.1 billion. Although the average GDP growth for African countries is 4%, Dr. Samy pointed out that due to recent imports of relatively cheap Chinese products, the manufacturing sector is not expanding and does not contribute to this growth. In addition, Dr. Samy pointed out that Africa is made up of a diverse group of counties with very different COUNTRIES of GDP; levels of poverty and development, governance and security risks vary from country to country. As a result, Canada should examine African countries from strategic groups to facilitate trade rather than generalize them across the continent. 3. The advisory group meets regularly, usually every eighteen months. The advisory group meetings will take place in turn between Canada and South Africa, as can be agreed between the parties.

The advisory group meetings are chaired by the host party. Trade and investment between Canada and South Africa will be facilitated by a declaration of intent on cooperation in the development of the mining and minerals industry and a double taxation convention. In 2015, Export Development Canada opened its permanent office in Johannesburg to help Canadian businesses take advantage of business opportunities in sub-Saharan Africa. 2. Strengthen cooperation towards trade liberalization between them, in line with the principles of the World Trade Organization, given that many African companies are SMEs wishing to trade with regional neighbours relative to the rest of the world, Mr.

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