Johannesburg - South Africa and India were pushing to accelerate bilateral trade between the two countries to $18 billion (R261bn) by 2018, President Jacob Zuma said on Friday.
Trade between the two members of the Brics grouping stands at R94bn.
Addressing the SA-India Business Forum in Pretoria, Zuma said South Africa and India should seek ways and means to increase and diversify trade and investment between the two economies.
The business forum was part of Indian Prime Minister Narendra Modi’s maiden official visit to the country.
“Our countries are major players in the global economy and share a common vision at shaping the development agenda through (India-Brazil-South Africa Dialogue Forum), Brics and other related trade platforms.
“In this vein, we have set ourselves ambitious goals, including a bilateral target of advancing trade to the level of $18bn by 2018. Achieving this target will require an increase in private sector deliberations, as well as government focusing on the resolution of barriers that are impeding the expansion of trade, among others,” Zuma said.
Zuma said beneficiation of iron ore and steel, platinum group metals, polymers, titanium, upstream mining inputs and the energy value chain offered opportunities for synergies between the two countries.
Co-operation
He said the South African government would consider various instruments in order to increase co-operation between South African and Indian businesses. Such instruments included the envisaged launch of the South African-Indian joint trade committee.
“Beyond bilateral co-operation, our partnership extends to the Brics and (the India-Brazil-South Africa Dialogue Forum). In this context, active processes are underway to facilitate and implement plans on expanded trade and investment flows and to identify and address barriers to trade and investment,” Zuma said.
Modi told the business forum that the two countries should cement trade ties and punted India as an attractive investment destination for South African businesses.
“India is suited to help South Africa in technology and skills. We can work together in many ways, from defence to milk, hardware to software, medicine to medical tourism.”
He said bilateral trade between South Africa and India had increased by about 380 percent in the past 10 years.
He said in the past two years India had worked hard to boost its economy, and this had enabled the country to see growth even in a slow growth global environment.
“India is a bright star in the global economy,” he said.
BUSINESS REPORT