| President Mbeki to hold Discussions with French Prime Minister 
Dominique De Villepin in Pretoria Pretoria - South African President Thabo 
Mbeki will today Friday 1 December 2006 hold political and economic discussions 
with French Prime Minister Dominique de Villepin at the Presidential Guesthouse 
in Pretoria. 
 President Mbeki will hold discussions with Prime Minister 
de Villepin within the context of South Africa¡¯s priority to promote 
North-South co-operation with a view to pushing back the frontiers of poverty 
and underdevelopment.
 
 The meeting between President Mbeki and Prime Minister 
de Villepin will be preceded by a working luncheon between Minister of Foreign 
Affairs Dr Nkosazana Dlamini Zuma with Prime Minister de Villepin as part of preparations 
for the bilateral meeting between President Mbeki and Prime Minister de Villepin.
 
 Issues on the agenda of discussions between President Mbeki and Prime Minister 
de Villepin are expected to include, among others:
 The status of bilateral 
political and economic relations between both countries;Issues relating 
to Africa, in particular on EU and G8 programmes relating to the African Union 
and Nepad, conflict resolution and peace-building initiatives; Regional 
integration;North-South cooperation including debt relief, the comprehensive 
reform of the UN and progress in the Financing for Development initiative; andThe 
Middle East Peace Process.
 While in South Africa Prime Minister de 
Villepin will deliver an open address to the University of Witwatersrand and visit 
Soweto.
 Prime Minister de Villepin is expected to depart from South Africa 
on Saturday 2 December 2006.
 
 Bilateral Trade
 France ranks 
amongst South Africa¡¯s top ten trading partners. South African exports 
to France are dominated by machinery; mineral and base metal products; vegetable 
products; chemical and allied industry products; and textile and textile articles.
 South Africa¡¯s top five imports from France consist mainly of 
vehicles, aircraft (airbus), vessel and associated transport; machinery and mechanical 
appliances and electrical equipment; products of chemical or allied industries; 
plastics and rubber articles; and optical, photographic and cinematographic equipment.
 
 From January to June 2006, total trade between South Africa and France amounted 
to R12, 5 billion, with a trade surplus of R5,8 billion in favour of France. In 
2005, total trade amounted to R 22 billion with a trade surplus of R 13 billion 
in favour of France. Bilateral trade in 2004 was R24 billion and R20 billion in 
2003.
 
 Development Assistance to South Africa
 French 
ODA to South Africa from 1995-2005 amounted to R1.6 billion. Sectors that benefited 
from the ODA included DBSA, Education, SAPS, National Treasury and Provincial 
and Local Government. 
 
On 11 September 2006, Deputy Minister Moleketi 
and the French Deputy Minister for Cooperation signed the Partnership Framework 
Document for France's ODA assistance to South Africa for the period 2006 to 2010 
consisting of a package of more than R3,4 billion, of which 89% will be in loans 
and 11% as ODA. 
 Investment France and South Africa have an agreement 
to promote ¡°privileged economic relations¡± between the 
two countries. New French companies in South Africa have trebled over the past 
years and there are now 150 plus established French companies in South Africa.
 French investments in South Africa, including direct, portfolio and other 
investments, for the period including 31 December 2004 amounted to R4, 966b. The 
Largest of which was the purchase of Blue Circle by Lafarge SA worth R1.5 billion 
in 1998.
 
 Other French Investments in South Africa include: Danone-Clover, 
Mozal, Michelin tyres, Essilor, SIIAF, Alcatel, Boutgues Group, RATP Development, 
Total, Renault, Peugeot, Thompson CSF, Air Liquide. The French company Bouygues 
Travaux Publics, and the French railway and bus company RATP Development are part 
of the Bombela consortium that won the bid for the Gautrain.
 
 Institutional 
and Co-operation Initiatives
 The South Africa-France Forum for 
Political Dialogue (established in 1997) convenes on an annual basis. This forum 
is co-chaired by Director-General of the DFA and the Secretary-General of the 
French Foreign Ministry. The last meeting took place June 2005 in Pretoria while 
the next meeting is scheduled for 7 December 2006 in Paris. Other institutional 
mechanisms facilitated through partner departments include the Joint Committee 
on Trade and Industry, and the Joint Defence Committee. The Department 
of Science and Technology is currently negotiating an agreement with their French 
counterparts to establish a Science and Technology Committee. The Declaration 
of Intent on Co-operation on French Language Training between the Department of 
Foreign Affairs and the French Embassy was finalised in July 2005. Progress on 
this initiative has been very promising and the programme and discussions are 
underway to expand the programme to include elements such as translations, interpretation, 
advanced French and standards setting. The Picasso Art Exhibition held 
in February and March 2006 at the Standard Bank Museum in Johannesburg brought 
together 70 original Picasso art works to Africa. Several South African artists 
also showcased their artwork at the exhibition. Earlier this year, Eskom 
obtained a generator from Electricite de France (EDF) following the breakdown 
of the generator at Koeberg Nuclear Power Station.
 Issued by Ronnie 
Mamoepa on 082 990 4853 Department of Foreign AffairsPrivate Bag 
X152
 Pretoria
 0001
 
 1 December 2006
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