We should look south - Davies

Johannesburg - South Africa's growth prospects increasingly depended on economic links with countries like India and China, Trade and Industry Minister Rob Davies said on Thursday.

While South Africa's links with traditional trading partners remained important, the country's development depended increasingly on ties with the economies of the South, and with Africa, he said in Jakarta, Indonesia, according to a copy of his speech.

“The expansion of South Africa's trade and direct investment with the countries of the South, notably the BRIC (Brazil, Russia, India, and China) countries, continues apace, with China and India at the forefront.”

The share of the European Union in South Africa's total trade had declined from 36 percent in 2005 to 26.5 percent in 2011.

By contrast the BRIC countries' share of South Africa's total trade increased from 10 to 18.6 percent over the same period.

Davies said BRIC could help Africa's development by increasing financial aid for building infrastructure and industrial capacity, and importing more manufactured products from the continent.

Africa's abundant natural resources, its growing middle class, and high growth rates presented opportunities for mutually beneficial relationships with Africa in the next decades. - Sapa