THE value of exports from the Eastern Cape in the first quarter of 2024 increased to R10.6 billion. The majority of exports were destined for Europe at R2.6 billion, followed by Asia at R246 million and then Oceania. The Eastern Cape Development Corporation (ECDC) says the growing value of exports points to the success of strengthening the province’s economic diplomacy.
Addressing more than 350 delegates and 50 export-ready businesses at the 6th Eastern Cape Export Symposium and Exhibition at the East London International Convention Centre on 22 August, Eastern Cape Premier Lubabalo Oscar Mabuyane says the improvements in provincial exports is driven by a focus on export-led growth.
“Central to export-led growth is the development of a solid industrial base. We are focusing on building industries that can compete globally while addressing the challenges of poverty and the high cost of living locally. This is not an either-or situation. We must simultaneously invest in people and infrastructure to create a business-friendly environment that attracts local and international investors,” says Mabuyane.
Mabuyane says Eastern Cape ports and railways are the lifelines of the province’s export ambitions.
“We are committed to upgrading and expanding this critical infrastructure to facilitate seamless trade. But infrastructure alone is not enough. We are ensuring that our industries are equipped with the latest technology and that our workforce has the skills to thrive in a modern, competitive economy. This is why we are investing heavily in technical programs to develop competencies across multiple industries, including ICT, tourism, and agriculture,” Mabuyane says.
Reiterating Mabuyane’s sentiments, the deputy minister of Trade, Industry and Competition (DTIC) Andrew Whitfield expressed his pleasure with the strides made by the Eastern Cape in stimulating export growth.
“The Eastern Cape has established itself as a gateway for expanding export markets due to it being geographically well-positioned, with three ports providing the province with a unique competitive advantage over other provinces.
“The Eastern Cape is also the country’s second-largest citrus-producing province contributing 25% of the province’s Gross Domestic Product. The Eastern Cape is also the fifth-largest exporter of lemons in the world, and produces other fruits including mandarins, oranges, and grapefruit. Additionally, the province hosts the largest percentage of the country’s livestock, producing 30% of South Africa’s milk, 36% of its wool, and 75% of its mohair, with 70% of the mohair exported to Italy and China,” Whitfield says.
He says government intends to find ways to diversify exports in terms of the product mix, with a particular emphasis on manufactured goods, as well as from a regional perspective, to take advantage of stronger growth in non-traditional external markets. This underscores the need to raise the level of competitiveness of local companies in order to reduce the country’s high import reliance.
An entity of the Eastern Cape Department of Economic Development, Environmental Affairs and Tourism, the Eastern Cape Development Corporation (ECDC) which hosts the two-day symposium, says this annual key economic intervention shines a spotlight on the region’s powerful contribution to global production in several sectors.
“The Eastern Cape Export Symposium and Exhibition brings together current and new local exporters as well as international trade partners, trade policy experts, government support agencies, financiers, logistics and infrastructure role-players, under one roof.
It is part of the ECDC’s government-led commitment to grow the province’s significant contribution to global markets. The platform assists companies in bolstering their export and supply networks, exploits opportunities to build regional integration (Intra-African trade), it casts a global and national spotlight on export-ready new and existing companies in the Eastern Cape, while collating, sharing and leveraging resources to stimulate exports and growing trade relationships,” says ECDC chief executive officer Ayanda Wakaba.
Wakaba says the goal is to familiarise Eastern Cape exporters and its existing and prospective trading partners with changes in global trade policy in relation to the African Continental Free Trade Area (AfCFTA), BRICS, African Growth Opportunity Act and the European Union.
“It aims also to provide cutting edge insight and case studies that drive action around the global trade context, including recent supply and trade disruptions, and to resource delegates with the most relevant information, analysis, contacts and resources needed to practically materialise opportunities,” says Wakaba.
