SA, Switzerland to strengthen relations

Sunday, March 13, 2011

Pretoria - South Africa and Switzerland are set to strengthen bilateral relations at the upcoming South Africa-Switzerland (SA-SWISS) 3rd Annual High Level Consultations (HLC) on Tuesday.

International Relations and Cooperation Deputy Minister Ebrahim Ismail Ebrahim will depart today for Berne, Switzerland where he will co-chair with his Swiss counterpart, State Secretary Peter Maurer, the HLC.

Deputy Minister Ebrahim will lead a South African delegation to this session of the HLC within the context of consolidating North-South relations in terms of South Africa's priority to strengthen bilateral political, economic and trade relations with Switzerland. 

The MoU on strengthening mutual cooperation signed in 2008, by the two countries marked a milestone for further engagement which led to the establishment of the HLC. 

Since the establishment of the HLC, many bilateral engagements have taken place as stipulated in the MoU. These include the signing of the scientific cooperation, the establishment of the Joint Economic Cooperation mechanism and the agreement on the support for energy efficiency monitoring and implementation project signed in August 2010. 

The upcoming HLC will outline the importance of bilateral relations between SA and Switzerland. It will also highlight issues concerning multilateral engagements and issues of global nature. 

The visit by Deputy Minister Ebrahim will cover, amongst others, the following:

* Promotion of the African Agenda as a cornerstone of South Africa's Foreign Policy
* Work with Switzerland towards strengthening the United Nations Security Council, deepening the reform of the United Nations and promoting South Africa's foreign policy objectives on the reform of the global governance system
* Further strengthen cooperation on science and technology following the signing of an Agreement on Scientific and Technological Cooperation in December 2007
* Consolidate and strengthen diplomatic relations that exist between South Africa and the Swiss Confederation with specific emphasis on the National Priorities
* Broaden and deepen economic relations, especially increased direct investment

Relations between South Africa and Switzerland are very good and are based upon growing bilateral and economic ties. Relations have since 1998 been regulated by a Joint Working Group, established after a Declaration of Intent on Joint Activities was signed during the State Visit of President Flavio Cotti to South Africa in August 1998. 

In recent years many bilateral engagements have taken place at a higher level, providing excellent opportunities to discuss relations between the two countries. The first High Level Consultations under the newly-signed Memorandum of Understanding (MoU) (which replaced the Joint Working Group) took place on 28 May 2008 in Bern.

Trade between South Africa and Switzerland has been increasing over the years. Total trade increased by approximately R16,586 billion from R11,044 billion in 2005 to R27,630 billion in 2009, representing an increase of over 150%. 

Exports from South Africa to Switzerland were valued at R21,3 billion in 2009 compared to imports valued at only R6,3 billion in the same year. This resulted in a balance of trade surplus for South Africa of about R15,1 billion in 2009. South Africa has been enjoying a positive balance of trade surplus with Switzerland since 2001.

The HLC comprises of four committees from various departments, namely Science and Technology, Water and Environmental Affairs, Treasury as well as the Department of Trade and Industry. There are other departments that have signed agreements with the Swiss government but are not yet formally part of the HLC.