The Western Cape has big ambitions for trade with the United States (US). This, after it became the province’s top export market in 2021.According to trade promotion agency Wesgro, trade between the Western Cape and the US has increased by 11.4% on average over the past decade, with total trade valued at R23.59 billion in 2021. Exports accounted for R16 962 of that.Wrenelle Stander, Wesgro CEO, told Freight News a “Made in the Cape US” digital marketing campaign had been developed to boost trade. “It sets out to create increased visibility for Western Cape exporters in the lucrative US market while positioning the Western Cape as a trusted region of origin and supplier of quality goods and ser v ices.”Part of this campaign is to drive US buyers to the Cape Trade Portal – a 24/7 online virtual platform that hosts an online marketplace, an exporter resource centre, and a virtual export manager. The portal has some 600 registered exporters, listing over 3 000 products.“The campaign was born out of the need from local exporters for increased marketing support internationally. The Cape Trade Portal works efficiently to facilitate trade in new ways and acts as the catalyst for important conversations and connections. We are proudly pioneering new ways to promote the destination as a sought-after source market for goods and services, driving potential buyers directly to sellers visible via the portal,” she said.According to Stander, Western Cape companies exporting to North America face a host of challenges, making a marketing campaign such as this vital. “Country-specific challenges include inefficiencies at the Cape Town port as well as load-shedding, which have an effect on productivity and costs,” she explained. “Challenges, which are relevant to trade worldwide, are shipping rates which have increased exponentially to reach record highs, and a shortage of shipping containers. The conflict in Ukraine has impacted the cost of fertiliser, which in turn has impacted the input costs for farmers in the region. Likewise, the increase in fuel costs has substantially impacted input costs to most industries. In the future, the risk of the Agoa agreement ending in 2025 is a definite concern for exporters.”She said it was not just the US that was being targeted for export growth but also Canada. “This is also a substantial market for the Western Cape, ranking as the region’s 20th largest export market, with an export value of R2.516bn. Between 2020 and 2021, exports to the US grew by 54.14%; and by 1.6% to Canada .”According to the Western Cape Department of Finance and Economic Opportunities, the new marketing campaign could not be more opportune, considering the recent announcements by US airlines United and Delta that they will start direct routes to Cape Town from Newark and Washington, and from Atlanta, respectively.“There is clearly a demand for proudly Western Cape goods, which is why now is the perfect time for a targeted push to boost exports to the US further,” said the department’s provincial minister Mireille Wenger. “Increasing connections to other markets is a strategic priority for the Western Cape government so that we can increase tourism and trade and attract the investment we need to grow the economy and create jobs.”
