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14 April 2005

South African President, Thabo Mbeki will lead a senior South African delegation to Indonesia on a state visit and to attend the historic Africa – Asia Summit, co-hosted by South Africa and Indonesia, and the Commemoration of the 1955 Bandung Conference from Tuesday – Sunday, 19 - 24 April 2005.

President and Mrs Mbeki’s delegation will include Foreign Minister, Dr Nkosazana Dlamini Zuma, Minister of Trade and Industry, Mandisi Mpahlwa, Minister of Land and Agriculture, Thoko Didiza and Minister of Science and Technology, Mosibudi Mangena.

The state visit is from Tuesday – Wednesday, 19 - 20 April 2005, during which he will be hosted by Indonesian President General Susilo Bambang Yudhoyono.

On conclusion of the state visit, President Mbeki will lead the South African delegation to the Africa – Asia Summit in Jakarta from Friday – Saturday, 22 - 23 April 2005. On Sunday, 24 April, President Mbeki will attend the Commemoration Ceremony of the 1955 Bandung Summit in Bandung, which laid a firm foundation for the Asia-Africa solidarity against colonialism and apartheid.

The Conference will bring together leaders of Africa and Asia as well as the UN Secretary-General, Kofi Annan in the context of building and consolidating strategic south-south relations between the two continents.

Both South Africa and Indonesia have played a crucial role in advancing the cause of the South and in the promotion of North-South dialogue. It is significant to note that whilst Indonesia hosted the Bandung Asia Africa Conference of 1955, South Africa was also represented by the ANC in the event. The conference called for world peace and greater respect for individual sovereignty, and non-interference in each other’s internal affairs. The principles adopted in the form of a resolution became known as the "Dasa Sila".

The opportunity of co-hosting the Asia-Africa Summit has drawn the countries closer and provided a base for a common vision on regional and global issues. Both countries have identified trade, investment and tourism, education, science and technology as well as people to people cooperation as their priorities.

Bilateral relations between South Africa and Indonesia can be traced back to the historical Bandung Conference of 1955, where Indonesia provided a platform for, and obtained Asian support for the struggle against apartheid.

A joint commission has been established between the two countries to ensure a more co-ordinated approach in pursuit of common bilateral agreements that have been signed between the two countries and they include:

a. Politics
b. Trade
c. Tourism
d. Education
e. Culture

Trade between South Africa and Indonesia has expanded fast (by over 300% since 1993) with the trade balance in favour of South Africa. There exist numerous opportunities for South African companies in the fast-expanding mining, infrastructure and energy sectors (oil and gas). There are also excellent opportunities for co-operation in the forestry sector, as Indonesia is a major producer of hard-wood products and pulp, while South Africa is a world player in soft-wood production and the supply of pulp.

Indonesia is a prominent "South" country, and combined with its strong interest in the Indian Ocean Rim (IOR- ARC) and the plight of developing countries is a strong ally in promoting the needs and aspirations of the developing world.

Bilateral Economic Relations

The possibility of establishing joint ventures in the South African textile, forestry and wood-manufacturing sector is being investigated by the Embassy.

South Africa's main exports to Indonesia include prepared foods (i.e. dried fruit, fruit cereal, fruit juices etc.), pulp & paper, while importing the following products from Indonesia: vegetable products, fats & oils, plastics & rubber, timber, pulp & paper, footwear, stone & plaster. The biggest imports from Indonesia are textiles, which in 1998 amounted to approximately US$ 26 million.

Bilateral Trade Statistics (ZA Rand'000) (Source: DTI)

Year: 1994
SA Exports: 268,422
SA Imports: 266,694
Total Trade: 535,116

Year: 1995
SA Exports: 527,865
SA Imports: 366,208
Total Trade: 894,073

Year: 1996
SA Exports: 742,940
SA Imports: 480,414
Total Trade: 1,223,354

Year: 1997
SA Exports: 1,101,625
SA Imports: 638,020
Total Trade: 1,739,645

Year: 1998
SA Exports: 500,396
SA Imports: 904,867
Total Trade: 1,405,263

Year: 1999
SA Exports: 781,692
SA Imports: 1,164,346
Total Trade: 1,946,038

Year: 2000
SA Exports: 785,965
SA Imports: 1,423,118
Total Trade: 2,209,083

Year: 2001
SA Exports: 911,680
SA Imports: 1,318,533
Total Trade: 2,230,213

Year: 2002
SA Exports: 1,055,843
SA Imports: 1,929,926
Total Trade: 2,985,769

Year: 2003
SA Exports: 1,228,433
SA Imports: 1,911,622
Total Trade: 3,140,055

There is increasing investment by South African companies in the vast mineral reserves of Indonesia.

Gencor (Ingwe) is very active, with Iscor, Anglo-American, and Plessey also showing interest. Murray and Roberts has an office in Jakarta and are hoping to obtain civil construction contracts in the infrastructure sector. In addition, Thebe Investment has signed an agreement with Indonesian-owned trading company PT. Prima Comexindo.

One of the biggest SA IT companies, M-Web, has a huge investment portfolio to the tune of US$16 billion in Indonesia.

Programme in Indonesia

AASROC Ministerial Meeting Wednesday, 20 – Thursday, 21 April 2005
AASROC Summit Friday, 22 – Saturday, 23 April 2005
Golden Jubilee Commemoration Sunday, 24 April 2005

Side Events

Asian-African Business Summit Thursday, 21 – Friday, 22 April 2005
Trade Fair Monday, 18 – Friday, 22 April 2005
World Renewable Energy Conference Sunday, 17 – Thursday, 21 April 2005
Asian-African Workshop on the Role of Women and Youth in furthering Asia Africa Co-operation Tuesday, 19 April 2005

PRESIDENT THABO MBEKI TO PAY A WORKING VISIT TO SINGAPORE

President Mbeki will interrupt his visit to Indonesia by paying a working visit to Singapore on Thursday, 21 April 2005 for bilateral political and economic discussions with his counterpart, President SR Nathan.

President Mbeki will also hold discussions with Prime Minister Lee Hsien Loong on conclusion of which a Memorandum of Understanding (MoU) will be signed between both countries.

President Mbeki is also expected to receive a courtesy call from Senior Minister Goh Chok Tong, meet with Singaporean Captains of Industry and deliver a public address organised by the Singaporean Foreign Ministry and Institute of Southeast Asian Studies.

Economic Bilateral Relations

Bilateral Trade Statistics (ZA Rand'000) (Source DTI)

Year: 1994
SA Exports: 1,260,470
SA Imports: 996,974
Total Trade: 2,257,444

Year: 1995
SA Exports: 1,092,420
SA Imports: 1,178,756
Total Trade: 2,271,176

Year: 1996
SA Exports: 1,619,106
SA Imports: 1,278,367
Total Trade: 2,897,473

Year: 1997
SA Exports: 1,108,666
SA Imports: 1,187,730
Total Trade: 2,296,396

Year: 1998
SA Exports: 830,311
SA Imports: 1,610,225
Total Trade: 2,440,536

Year: 1999
SA Exports: 1,039,374
SA Imports: 1,372,309
Total Trade: 2,411,683

Year: 2000
SA Exports: 1,581,939
SA Imports: 1,459,267
Total Trade: 3,041,206

Year: 2001
SA Exports: 2,061,880
SA Imports: 1,488,177
Total Trade: 3,550,057

Year: 2002
SA Exports: 1,839,156
SA Imports: 2,233,000
Total Trade: 4,072,156

Year: 2003
SA Exports: 1,796,017
SA Imports: 2,155,132
Total Trade: 3,951,149

President Mbeki is expected to return to South Africa on Monday, 25 April 2005.

MINISTER DLAMINI ZUMA TO PAY AN OFFICIAL VISIT TO JAPAN

At the conclusion of the state visit and the historic Asia-Africa Summit and the commemoration of the Bandung Conference, Foreign Minister Dr. Nkosazana Dlamini Zuma will pay a working visit to Japan where she will hold bilateral political and economic discussions with her Japanese counterpart.

Minister Dlamini Zuma will during the visit also have an opportunity to pay a courtesy call on the South African Exhibition stand at the World Expo in Aichi timed to coincide with South African Freedom Day on 27 April 2005 in which she will take the opportunity to thank the people of Japan for their support in the struggle against apartheid.

Ronnie Mamoepa
Cell: 082 990 4853

Issued by: Department of Foreign Affairs
14 April 2005