President Thabo Mbeki to Host Mozambican Counterpart, President
Armando Emilio Guebuza, Tshwane, South Africa
Tshwane - South African President
Thabo Mbeki, accompanied by Deputy Foreign Minister Aziz Pahad, will hold discussions
with his Mozambican counterpart, President Armando Emilio Guebuza at the Presidential
Guesthouse in Tshwane on Sunday, 13 November 2005.
The visit to South Africa
by Mozambican President Guebuza comes within the context of South Africa's commitment
to consolidate political and economic relations with all countries of the SADC
In this regard, Deputy Foreign Minister Aziz Pahad, from 31 October
- 1 November 2005 co-chaired, together with his Mozambican counterpart, Deputy
Foreign Minister Dr Eduardo Koloma the 4th session of the South Africa - Mozambique
Joint Permanent Commission for Co-operation (JPCC) in Tshwane.
Mbeki and Guebuza are expected to discuss the status of bilateral political and
economic relations between both countries, including co-operation projects between
both countries inter alia, the Mozal I and II and the Natural Gas Project.
Guebuza will be accompanied by Foreign Minister Dr Alcinda Abreu and Minister
of Energy Salvador Namburete.
President Guebuza is expected to depart from
South Africa on conclusion of discussions with President Mbeki.
Mozambique is South Africa's second largest export
market, with trade having increased dramatically over the past three years. South
Africa is currently Mozambique's largest foreign investor. Foreign Direct Investment
by South Africa in Mozambique exceeds US$ 7 billion.
South Africa and Mozambique's
economic relationship is the strongest in the Southern Africa region. Trade between
the two countries is on the increase, with 57.2% of Mozambique's imports emanating
from South Africa (18% of South Africa's exports to Africa). About 26.2% of Mozambique
exports are destined for South Africa.
SOUTH AFRICA - MOZAMBIQUE TRADE
The Industrial Development
Corporation (IDC) has been utilised by the Government of South Africa as the primary
catalyst for South African investment in Mozambique. To date, the IDC has approved
funding for 10 projects geographically spread throughout Mozambique and is currently
considering/investigating 6 additional projects in the country. The spread ranges
from mining and mineral beneficiation, agriculture, tourism, chemicals, forestry,
transport infrastructure to energy.
The Mozal Aluminium Smelter (Mozal 1
and II) remains the IDC's largest investment outside the borders of South Africa.
Another major project funded by the IDC is the titanium-bearing mineral sands
in southern Mozambique (US$ 600 million). Other major investments of South African
origin in Mozambique are:
- Sasol Gas Pipeline Project (US$ 1.4 billion);
- US$50 million investment by SABMiller in beer factories in Maputo and
- US$63 million by Illovo Sugar in Maragra sugar mill;
(US$ 70 million);
- CDM (US$ 22 million); and
- US$15,5 million
investment by McCormack to construct Matola Plaza outside Maputo.
of Foreign Affairs
Private Bag X152