SADC-China trade fair heralds massive Chinese investment in SA
When President Jacob Zuma signed the agreement on April 14 which confirmed South Africa’s membership of the economic alliance of the major emerging markets of Brazil, Russia, India and China (BRIC), he opened the door to multi-million dollar investments into the country.
A major SADC-China trade fair and investment forum which opens in Johannesburg in a month’s time will be the first demonstrable result of BRIC membership and the benefits it will have for the SADC region as a whole.
The IMEXPO SADC-China Trade Fair and Investment Forum at the MTN Expo Centre from May 18 – 20 is expected to kick-start the biggest-ever investment of Chinese money into the South African and SADC economies. The important forum will be the first meeting of SADC and Chinese business players following South Africa’s joining of the BRIC grouping.
China has already overtaken Britain and the United States as South Africa's biggest single trading partner and more than 60 major Chinese industrial concerns will participate in the trade fair and investment forum.
The list is headed by the China Coal Group and the Sinopacific Shipbuilding Group, and includes CRBC International, a major road and bridge construction company, China Gezhouba, a company specialising in hydro-electric projects, the China International Water and Electric Corp and the China Railway Construction Corporation. In addition, no fewer than 21 Chinese mining enterprises will be participating.
MK Malefane, a lobbyist who has acted as consultant and facilitator for the organisers, IMEXPO, said the trade fair and investment forum is highly significant as it follows hot on the heels of South Africa having become a formal member of BRIC.
South Africa signed up as an official member of BRIC in Beijing on 14 April, after being formally invited by Chinese President Hu Jintao to join.
President Zuma was accompanied by a high-level South African delegation, including International Relations and Cooperation Minister Maite Nkoana-Mashabane, Economic Development Minister Ebrahim Patel and Minister of Trade and Industry Rob Davies at the two-day Third BRIC Summit, which, this year, has, as its theme, Broad Vision, Shared Prosperity.
Malefane said the high-powered delegation of Chinese industrialists and investors will bring a multi-billion dollar investment package to South Africa and SADC through the expo.
“It will, without doubt, bring demonstrable, tangible benefits to South Africa and the region. These companies and financiers across the major sectors will be actively looking to invest in those sectors in joint venture partnerships with locals.”
Malefane said the Expo is highly significant as “it could result in one of the biggest injections ever of Chinese money into the region.”
Malefane, who is co-ordinating preparations for the launch, in September, of the Southern African Customs Union Business Forum, said this move will enable the private sector to become the implementation agency for the new SA Customs Union (SACU) policy of industrial diversification, replacing the existing revenue-sharing base of SACU. According to Malefane, the Expo is an opportunity for all SADC countries to assemble a portfolio of their high economic impact, job-creating, investment and development projects and bring them to the table for negotiations with potential Chinese joint venture partners and access to Chinese capital.
To find out more about IMEXPO or to register, go to http://bit.ly/hKSfH9 For further information, go to www.expo-international.com
Issued on behalf of IMEXPO by HIPPO Communications For further information please contact Beryl Eichenberger on 021 556 8200/082 490 6652 [email protected]