An Investment and Trade Initiative (ITI) – scheduled to take place in Moscow, Russia from 20-23 June 2016 – will be led by Deputy Minister of Trade and Industry, Mzwandile Masina.
The ITI is part of the Department of Trade and Industry (the dti’s) export and investment promotion strategy to focus on Russia as a high-growth export market and foreign direct investment source.
Masina says the objective of the ITI is to increase South African value-added products and services in Russia and to promote South Africa as a trade and investment destination.
“The ITI is targeting South African companies seeking to attract foreign direct investment and also businesspeople seeking joint venture partnerships with a particular sectoral focus on agro-processing,” he said.
According to Masina, although current bilateral trade has demonstrated an upward trajectory in terms of total trade, South Africa is still experiencing a trade deficit.
“South African exports to Russia increased from R2.1 billion in 2011 to R3.7 billion in 2015. Total imports from Russia increased significantly from R1.2 billion in 2011 to R6.1 billion in 2015,” says Masina.
He highlights that South Africa’s export basket to Russia is dominated by primary sector products, particularly in the agricultural sector such as citrus fruit; apples; and pears.
“Russia’s imports basket is made up of more fabricated products, like: fertilizers; rubber products; and so on. The ban introduced by Russia on imports of various agricultural products presents an opportunity for South Africa to export more agricultural products into the country,” he said.
Masina says there are also trade opportunities in live fish and other seafood; milk; potatoes and; other vegetable products and as well as fruits and nuts.
The programme for the ITI will include targeted business to business meetings; site visits; investment and export-related round table discussions, and seminars.
