A South African delegation has returned from a visit after positive talks on a new trade deal with Indian authorities
The latest round of disputes between South Africa and the US has increased the former’s focus on consolidating trade links with countries in the Far East and Southeast Asia.
A recent combined South African Department of Agriculture and Fruit South Africa delegation to India returned with positive noises made that a new trade deal between the two countries could soon be negotiated.
“During visits in India we discussed existing and new market access for SA Fruit to India,” said Derek Donkin, CEO of Subtrop and vice chairman of Fruit South Africa.
“In discussions with officials of the Indian Ministry of Agriculture and Farmers Welfare, and the Indian Ministry of Commerce, it was clear that India would like to increase bilateral trade in fresh fruit with South Africa,” he confirmed. “There is a willingness to prioritise market access from both sides.”
During the visit, the South African delegation also participated in Fresh Produce India, where a special discussion focusing on South Africa was held.
“It was a very useful experience to also engage with people in the Indian fresh produce trade and we hope that the visit will now lead to a strengthening of ties between South Africa and India,” Donkin outlined.
While South African produce leaders are generally positive about new opportunities in the East, they pointed out that high import tariffs in certain countries remained a problem.
In some countries this varies between 20 per cent and 30 per cent. They suggested that this was a barrier to promoting further trade with countries in the region.
There is presently no time frame on discussions between South Africa and India and it is expected that the matter will now be escalated to government level.
South Africa is hosting the G-20 Summit in November this year, with this event normally being the ideal opportunity to complete the signing of new agreements.
Reciprocal trade would mean that Indian produce would also gain access to South Africa. Indian subtropical fruit may be one of the categories that would benefit.
South Africa is totally self-sufficient in terms of apples and table grapes, and it will perhaps be more difficult to reach an agreement there.
