Despite facing ongoing challenges, South Africa’s supply chain sector is experiencing growth fuelled by a surge in e-commerce and advancements in technology.
This is according to Deputy President Paul Mashatile, who was speaking at the opening ceremony of the China International Supply Chain Expo (CISCE) in Beijing on Wednesday.
“Our business communities have been resilient and adapting through strategies like diversifying suppliers, holding more inventory, and investing in digital transformation,” he told delegates.
Mashatile is in China for a strategic working visit, which began on Monday. Its aim is to strengthen bilateral relations and enhance economic cooperation between the two nations.
The Deputy President participated in the CISCE at the invitation of Ren Hongbin, the chairperson of the China Council for the Promotion of International Trade. The event highlights the latest advancements in supply chain management.
Mashatile said the high-level expo was essential for both countries, as it fostered trade, investment, cooperation, innovation and learning within the global supply chain ecosystem.
“South Africa is committed to strengthening global supply chains and fostering resilience in the face of challenges. In today’s rapidly changing world, the global supply chain landscape is facing unprecedented challenges, from natural disasters to political upheavals.”
He assured the expo that government had also adopted policies and strategies that were conducive for businesses to thrive.
“We understand the importance of building robust supply chains that can withstand disruptions and ensure the efficient flow of goods and services.
“Our diverse economy and strategic location make us a natural gateway for trade and investment, connecting Africa to the rest of the world.”
The Deputy President described China as an essential partner in South Africa’s economic journey, recognising significant opportunities for collaboration and mutual growth.
“Together, we can leverage our strengths and capabilities to further build supply chains that are not only efficient and cost-effective, but also sustainable and resilient.
“The fact that China and South Africa have a strong desire to diversify and expand trade between Africa and China is crucial to our efforts to create a solid supply chain.”
Mashatile said South Africa’s export portfolio to China comprised mainly basic commodities.
“While the trade volumes confirm South Africa’s natural endowment, the heavy slant towards mineral-based exports belies our advanced infrastructure, our diversified industrial base, and our leading service sectors.”
Thirty manufacturers and producers of uniquely South African products and services accompanied the government delegation on the trip. These ranged from producers of cosmetics comprising natural extracts to makers of electro-technical equipment that has passed the test of extreme African climate conditions.
“Naturally, our offering would not be complete without the companies that are showcasing the finest of South African clothing, leather and footwear,” Mashatile said.
“We are exceptionally proud of the delegation that comprises plastics, chemical and mining engineering firms, whose services have met Chinese standards, such that they have been able to jointly complete infrastructure projects with Chinese firms.”
The Deputy President believes the expo is instrumental in linking up Chinese buyers and importers with South African producers.
“One of the most critical steps in South Africa’s journey to balancing its trade with China will be the extensive listing of South African products on e-commerce platforms like Alibaba.
“We are also making efforts to ensure the placement of quality South African products in free trade zones throughout China,” said Mashatile. – SAnews.gov.za
