Minister Dlamini Zuma's Statement on the Granting of a Preferential Trade Status to South Africa by the Russian Federation

Minister of Foreign Affairs, Dr. Nkosazana Dlamini Zuma, today, Thursday 27 March 2003, welcomed the Decree of the Government of the Russian Federation of 18 March 2003 which includes South Africa on the list of Developing Countries enjoying preferential trade status with the Russian Federation. The Decree becomes effective from Tuesday, 1 April 2003.

This decree is a direct result of the outcomes of the 2nd Session of the Joint Inter-Governmental Committee on Trade and Economic Co-operation between the Republic of South Africa and the Russian Federation held in Pretoria from 18 to 21 November 2002 and Co-Chaired by Minister Dr. Nkosazana Dlamini Zuma and Deputy Prime Minister Valentina Matviyenko, respectively.

This decision by the Russian Government creates the necessary prerequisites for further substantial growth in the bilateral trade between the two countries. In general terms South African exports to the Russian Federation will now enjoy a 25% reduction in import tariffs. In essence this will open-up the lucrative Russian market to the South African private sector.

The granting of preferential trade status to South Africa provides further impetus to the agreement reached between President Thabo Mbeki and President Vladimir Putin to enhance economic and trade relations between the two countries. In practical terms the overall political and economic bilateral relations between the two countries will be enhanced to an even higher qualitative plain, to that of a strategic partnership.

This partnership within the current global order will in the future develop into a highly profitable relationship creating a better life for the people of South Africa and Russia.

For further information contact Ronnie Mamoepa on 082-990-4853
Issued by the Department of Foreign Affairs
Private Bag X152
Pretoria, 0001
27 March 2003