South African Delegation concludes Visit to Poland, Warsaw, Poland, Tuesday, 14 September 2004

Deputy Minister of Foreign Affairs, Aziz Pahad, today - Tuesday, 14 September 2004 - concluded bilateral political discussions with his Polish counterpart, Secretary of State for Foreign Affairs, Alan Rothfeld in Warsaw, Poland. This interaction took place on the fringes of Deputy President's Jacob Zuma's official visit to Poland,

In addition, Minister of Science and Technology, Mosibudi Mangena had discussions with the Minister-Chairman of the State Committee for Scientific Research, Michael Kleiber and the President of the Polish Academy of Sciences, Professor Andrzejh Legocki, while Deputy Minister of Agriculture, Professor Dirk du Toit met with his Polish counterpart, State Secretary for Agriculture and Rural Development, Josef Pularczyk, and Deputy Minister of Trade and Industry, Lindiwe Hendricks met the Undersecretary of State for Economy and Social Policy, Mr Zielinski.

On Monday, 13 September 2004, Deputy President Jacob Zuma concluded bilateral discussions with Prime Minister Marek Belka of Poland. Deputy President Zuma was accompanied by Minister Mosibudi Mangena and Deputy Ministers, Aziz Pahad and Dirk du Toit.

During the meeting, Deputy President Jacob Zuma briefed the Polish delegation on the current political situation in South Africa and thanked Poland for its support during the liberation struggle.

Deputy President Zuma also briefed the Polish delegation of African responses to current challenges. Among these, mention was made of the operationalisation of the African Union (AU) and all its institutions, including the launch of the Peace and Security Council and the opening of the Pan-African Parliament in its permanent South African home later this week as well as NEPAD as the Continent's socio-economic programme for development. The delegation was also briefed on Africa's attempts to create conditions for peace, security and stability on the Continent as a means to expedite African development.

Prime Minister Belka briefed the South African delegation of the consequences of Poland's accession to the European Union (EU) on 1 May 2004 - primarily, that while Poland had always been a recipient of development assistance, it was now in a position to donate aid within the EU context and structures. Poland has also joined the debt relief programme towards the Highly Indebted Poor Countries (HIPC) and was part of the EU's breakthrough at the recent World Trade Organisation (WTO) talks.

The discussions concluded with an undertaking by both delegations that bilateral and multilateral discussions between both countries should occur more frequently within a regulated framework.

Following this, Deputy President Zuma and his delegation paid a courtesy call on President Kwasniewski.

Bilateral Economic Relations

Trade with Poland accounts for over US$100 million worth of goods and services. South Africa is among the first 5 African countries doing business with Poland.

Trade is steadily increasing between the two countries with South Africa enjoying a positive balance of trade.

In Imports Exports Turnover

Million from to Trade

US$ Poland Poland Balance

2001 20 100 79 902 +59 802 100 002
2002 35 162 84 873 +49 711 120 034
2003 35 900 92 700 +56 800 128 600

Main exports to Poland: minerals, ores, machinery, mechanical appliances, fruit and vegetables products, chemical products, base metal, metal products, skins and hides.

Main imports from Poland: fuels and power, metallurgical, electro-engineering, chemical, mineral, energy and food industry products, stone, concrete, plaster asbestos, ceramics.

SA Investments in Poland

Several South African and Polish enterprises are playing an important role in the promotion of the economic relations between the two countries.

South African Breweries (SABMiller) holds the controlling share in the company Kompania Piwowarska (KP), a leading Polish beer brewer. At present SABMilller is taking over another Polish beer company in north east Poland - Bialystok.

MONDI EUROPE, a subsidiary of MONDI SA, owns the largest pulp and paper mill in Europe which is based in Swiecie, Poland. With its Austrian subsidiary Frantschach it now owns 70% of the stake and is listed on the Warsaw Stock Exchange.

STEINHOFF International, a South African furniture manufacturer, has 17 factories in Poland and exports to the whole of Europe.

Polish investment in SA

The GROMADA TOURIST COOPERATIVE, the second largest tourist consortium in Poland, has invested in a medium sized hotel in Cape Town in 1999. GROMADA SA represents the company's second biggest foreign investment after Germany.

Polish companies in South Africa are involved in the production of aircraft, heavy industrial equipment, mine rescue systems, pharmaceuticals and glassware.

PEZETEL, an aviation company manufacturing electric cars, claims it is the world's first totally reliable and maintenance-free electric vehicle, ferrying golfers around the turf.

POLFA, also a producer of pharmaceuticals based in Warsaw, is engaged with another South African pharmaceutical group exchanging a range of products in an attempt to break into each others' market.

Before concluding his visit to Poland, Deputy President Jacob Zuma will meet with the Speaker of Parliament, Mr J Oleksv; the Deputy Speaker of the Senate, Mr R Jarzembowski; and the President of Warsaw, Mr L Kaczynski.

Deputy President Zuma also, today - Tuesday, 14 September 2004, laid wreaths at the Tomb of the Unknown Soldier and the Monument of the Warsaw Uprising.

Deputy President Zuma and the South African delegation will later today proceed to Romania where the Deputy President will pay an official visit from Wednesday, 15 - Thursday, 16 September 2004.

Issued by Ronnie Mamoepa on 082 990 4853.

Department of Foreign Affairs
Private Bag X152
Pretoria
0001

14 September 2004