Citrus exports, totaling US$55.84 million, may see duties rise from US$2.23 million to US$16.75 million under similar conditions. The U.S. currently holds a significant portion of the market for South African goods, making up 7% of agricultural exports based on 2023 data.
A framework agreement proposal aims to foster mutually advantageous relations and address agricultural market access while encouraging investment in pivotal sectors. Digital trade cooperation focusing on regional integration and industrial capacity is a highlighted priority.
Minister of Trade, Industry and Competition, Parks Tau, noted that the proposed U.S. tariffs add uncertainty to global economic stability. He emphasized the lack of direction before the 9th of July, predicting vast impacts without resolution. The U.S. remains South Africa’s second-largest trading partner, the department noted, with intentions to strengthen and reset trade relations.
Apart from U.S. engagements, South Africa has shifted focus towards enhancing trade with Africa, reporting export growth to approximately US$31.4 billion from US$30.1 billion in the previous year. Imports also rose from around US$9.2 billion to US$10.5 billion, resulting in a trade surplus of about US$20.9 billion. Agricultural exports to the continent surged by 40.5%, underscoring their growing role in trade dynamics.
Within South Africa’s G20 presidency, critical topics such as climate change, food security, and sustainable development-promoting value chains will be on the agenda.
Source: FoodFor Mzansi