By PRABASHINI MOODLEY | Managing Director, Old Mutual Corporate
South Africa’s trade and industrial policies reveal a pragmatic focus on sectors with high growth potential: green energy, smart agriculture, automotive manufacturing, iron and steel, organic chemicals, and the digital economy.
These sectors aren’t chosen at random; they are carefully selected to build local skills, create jobs, and foster sustainable industrial growth. The goal? To create a resilient economy that serves the needs of South Africans, today and tomorrow.
One of South Africa’s most promising opportunities lies close to home, in the form of increased trade with our African neighbours.
Currently, about a quarter of South Africa’s exports are destined for other African countries, with Southern Africa accounting for the lion’s share. Agricultural exports, for example, reached nearly $13.7 billion in 2024, with 44% heading to African markets.
The African Continental Free Trade Area (AfCFTA) stands as a game-changer. AfCFTA offers South African businesses access to a vast, integrated market by reducing tariffs and harmonising trade regulations across the continent.
This is an opportunity to deepen regional economic integration, stimulate industrialisation, and create jobs.
Of course, there will be challenges. Recent export restrictions by countries like Botswana and Tanzania on certain agricultural products underscore the need for continued diplomatic engagement and regional cooperation.
South Africa must lead efforts to resolve such disputes swiftly, ensuring that trade flows remain uninterrupted and mutually beneficial.
