Africa must reduce dependence on external markets - Lamola

Tuesday, May 26, 2026

International Relations and Cooperation Minister Ronald Lamola says Africa must urgently accelerate regional integration and intra-African trade to shield the continent from external economic shocks and geopolitical instability.

Delivering the 2026/27 Budget Vote for the Department of International Relations and Cooperation (DIRCO) in Parliament on Tuesday, Lamola said South Africa’s foreign policy remains firmly centred on advancing the interests of the African continent.

“We table this budget at a time when international cooperation is under sustained pressure from unilateralism, economic coercion, wars of aggression, deals of extraction and a winner-takes-all approach to global relations. South Africa cannot afford to shed the responsibilities that come with its history,” he said. 

Lamola said Africa remained heavily dependent on external markets, making the continent vulnerable to global disruptions. 

He said that the African Continental Free Trade Area (AfCFTA) has the potential for a common market of 3.4 trillion US dollars and a pathway to diversification, reduced dependence on external markets and greater resilience for economies.

“Yet, intra-African trade remains too low, at just 16% for the continent and 21% for SADC [Southern African Development Community]. This is far below Europe at 68% and Asia at 59%.

“Africa’s trade is also still heavily concentrated outside the continent. Over 50 percent of the continent’s imports and exports are tied to just five economies, all outside of Africa.

“This is the source of our vulnerability to external shocks. It is also why regional integration must move from aspiration to implementation,” he said.

The Minister said South Africa, as Chair of the African Union Ministerial Committee on the Follow-up and Implementation of Agenda 2063, was working to accelerate the continent’s development agenda.

He also highlighted the strategic importance of the Southern African Development Community (SADC), saying the region must prepare itself for future crises and economic disruptions.

“I have recently hosted the SADC Ministers of Foreign Affairs Retreat in Skukuza, Kruger National Park, where Ministers reflected on the geopolitical developments affecting our region.

“The Ministers agreed that SADC must be better prepared to respond to external shocks, whether they arise from conflict, climate disasters, food and fuel price volatility, public health emergencies or the decisions of powerful actors far beyond our borders,” he said. 

Lamola said Southern Africa’s vast mineral wealth could help drive industrialisation and economic transformation if properly managed.

“Our region is home to 30 percent of the world’s proven critical mineral reserves. We are also home to approximately 50 percent of the world’s cobalt reserves, 20 percent of the world’s graphite reserves and 10 percent of the world’s copper reserves. These resources, if harnessed properly, can propel our region’s structural transformation,” the minister said. 

He said South Africa’s priorities when it assumes full chairship of SADC in August 2026 would include strengthening political cohesion and deepening regional trade integration.

“When South Africa assumes the full Chairship of SADC in August 2026, our priorities will include deepening political cohesion, consolidating the SADC Free Trade Area, reducing non-tariff barriers and building regional value chains in agro-processing, critical minerals beneficiation, pharmaceuticals and other strategic sectors,” he said. 

Lamola also reaffirmed South Africa’s commitment to peacebuilding efforts on the continent, including in the eastern Democratic Republic of Congo and South Sudan.

“In all these areas, South Africa discharges its responsibility through diplomacy, mediation, regional solidarity and a firm belief that Africa must shape its own future,” he said.

The Department of International Relations and Cooperation has been allocated R7.227 billion for the 2026/27 financial year. – SAnews.gov.za