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President Thabo Mbeki to Host the Tanzanian President Benjamin
Mkapa in Tshwane South Africa, 21-23 September 2005 Background Notes Bilateral
relations with Tanzania are cordial and progress is made in a wide range of fields
of mutual interest. Both countries have experienced similar constitutional developments
and challenges and share similar views on multilateral issues. Bilateral
Economic Relations Trade between South Africa and Tanzania is steadily
increasing and a number of exchanges took place at officials level enhancing cooperation.
Two meetings related to trade and investment led by the Department of Trade and
Industry took place in Midrand and Dar Es Salaam respectively in July 2004. The
meetings were attended by leading SA businesses, senior Tanzanian and South African
government officials and the Tanzanian Prime Minister Frederick Samaye. The
first Economic Bilateral Meeting took place in February 2003. The meeting was
held following the Memorandum of Understanding (MoU) on Co-operation in the Industry
and Trade Programs between the Ministry of Industry and Trade of Tanzania and
the Department of Trade and Industry of South Africa, which had been signed in
1998. The key purpose of the meeting was firstly, to review the implementation
of the decisions reached during the Second Bilateral Technical Meeting held in
Dar- Es- Salaam January 21 - 25, 2002; secondly, to draw up the program of co-operation
for the years ahead. In 1998 South Africa started a process of formalizing
economic relations by signing a Memorandum of Understanding on Cooperation in
Trade and Investment Programs between the Ministry of Industry and Trade of the
United Republic of Tanzania and the Department of Trade and Industry of the Republic
of South Africa. Trade and investment between South Africa and Tanzania
continues to grow at a slow but steady pace. The Memorandum of Understanding in
the Industry and Trade Programs was signed in 1998 between the respective Ministers
of Trade and Industry in the areas of project development, research and technology,
trade facilitation, development of physical and economic infrastructure and spatial
development initiatives. In this regard, the Tanzanian market offers viable
business opportunities for South African investors and exporters, as a means of
facilitating increased job creation and skills and technology transfer in both
countries. More than one hundred and fifty South African companies are economically
active in Tanzania, which is rated as a premier investment destination for South
African business people. South African exports to Tanzania are predominantly in
the spheres of manufacturing, i.e., machinery, mechanical appliances, paper, rubber
products, vehicles, iron, steel, services and technology. The positive progress
recorded by the Tanzanian government in promoting Public Private Partnerships
(PPPs) to address the development challenges facing Tanzania, furthermore provides
myriad opportunities for South African investors to strategically position themselves
in the region, by forging mutually beneficial joint venture partnerships with
Tanzanian stakeholders. The Presidential Economic Commission would provide
the necessary co-operative framework to manage the development and implementation
of bilateral projects as well as the Spatial Development Initiatives (SDI's) Program,
in particular the Mtwara and Central Development Corridors, which have been identified
as regional NEPAD priority programs. The Presidential Economic Commission
would further serve as an enabling instrument in support of regional NEPAD programs
and in particular, assist the process of accelerating regional economic integration
by way of strengthening the East African Community (EAC) as a building block to
address the challenges posed by poverty and underdevelopment. Issued
by Ronnie Mamoepa on 082 990 4853 Department of Foreign Affairs
Private
Bag X152
Tshwane
0001 20 September 2005 | 
