‘SADC before Brics’

Global export figures reflect the
massive opportunity that the
Southern African Development
Community (SADC) presents
– and taking this for granted
will be to our own detriment,
says Duncan Bonnett of trade
consultancy Africa House.
“We are very focused on the
Brics countries and do not always
pay enough attention to our
neighbouring countries, taking
them for granted.”
South Africa’s value added
exports to Africa were in the
region of R225 billion last year
of which about 85% went into
the SADC region.
“Of our value added exports
globally 41% went into Africa
– and the bulk of that was into
southern Africa – while the
total value-added exports to
Brics countries amounted to
only 9%,” said Bonnett. “As a
country we need to look at our
focus. There is no denying our
strong foothold in SADC but
it is being eroded and I am not
sure we are reacting quickly
enough as SA Incorporated to
the emergence of competitors in
our stronghold.”
He said a response was
definitely required from an SA
Incorporated level. “We need
an integrated approach to this
challenge. The same applies to
East Africa which is showing
incredible promise and offers
some big opportunities to South
African companies.”
Bonnett said it was
increasingly evident that while
companies involved in exports to
the region were increasing sales
annually – often by more than
15% in global terms – South
African companies were not
gaining market share, and more
often than not losing it.