South Africa is keen to set up a consul office in Chennai to raise its visibility as a trade and investment destination among the business community in south India, Elizabeth Thabethe, Deputy Minister of Trade and Industry for South Africa, said here on Monday.
Addressing a press conference, Ms. Thabethe, who is leading a 45-member multi-trade delegation to Chennai, said that South Africa saw immense potential in partnering with States such as Tamil Nadu, which contributed significantly to India's GDP and had a legacy of manufacturing and technology adoption.
South Africa currently has a consul office in Mumbai, besides its embassy in New Delhi.
The Rainbow Nation would wait for an “opportune” time and chart out a well-defined action plan and charter of services for the business community before opening its office in Chennai.
“Chennai has been on South Africa's radar for a long time…and we are looking to open an Honorary Consul Office here in Chennai. But not now, as the conditions are not yet conducive”, South Africa's High Commissioner to India, Harris Majeke, said.
On why India and South Africa were yet to clinch a Preferential Trade Agreement all these years, Ms. Thathebe responded that they would rather sew up an agreement that benefited both sides than “jump the gun” in rushing into a deal. Negotiations that involve give and take were continuing.
The PTA focusses more on trade in goods whereas FTAs cover the spectrum of goods and services.
The Minister said that her country had set a target of achieving $15 billion by 2014. In 2011, bilateral trade touched a new high of $11,125 million in sectors such as transport equipment, pharmaceuticals, textiles, gems, agro-processing and telecommunication.
South Africa would like to see a shift from the traditional commodity-based trade basket to value-added trade that would help address the common concerns of poverty alleviation and unemployment. Growth in bilateral business should go beyond profits to benefit those at the “bottom of the pyramid”, said Zodwa Ntuli, Deputy Director-General for corporate and consumer regulation at the Department of Trade & Industry.
Earlier, Ms. Thathebe pitched for strengthening bilateral trade ties while addressing a B2B meeting hosted by the South Indian Chamber of Commerce and Industry to kick start the third edition of the annual Investment and Trade Initiative.
Developing nations such as South Africa and India should seize opportunities presented by the global economy to chart a path that will ensure that there is mutual benefit and improved trade between countries, she said.
Industry Minister P. Thangamani highlighted the advantages of Tamil Nadu as an attractive business and investment destination.
