Big opportunities for SA to integrate with Africa

Major opportunities exist in the shipping sector for South Africa to vertically integrate with Africa, according to Collins Makhado, executive head of corporate strategy for the SA Maritime Safety Authority (Samsa). “South Africa’s intraregional trade with the rest of Africa accounted for 24.9% of total intraregional trade in Africa according to a recent Unctad report,” Makhado told the Western Cape Exporter’s Club recently. He said the robust growth in the large emerging African economies such as Ghana, Angola and Namibia, combined with their deepening economic integration and intensified intra-regional trade, could power the expansion in South Africa’s merchandise trade. “The share of developing countries in global trade increased from about one third to more than 40% between 2008 and 2011. This in the future could have a significant impact on African marine transport and other maritime-related services.” According to Makhado, a symposium held on the third day of the recent SA Maritime conference in Cape Town illustrated the growing need for closer co-operation amongst African countries. “This symposium has led to remarkable activity amongst South African companies and their West African counterparts.” He said the discussions around mutually beneficial projects would be taken further in a more formalised format, with Samsa and its African counterparts playing the role of midwife to facilitate a Pan African Maritime Industry programme of action based on the outcomes of the conference.