Ramaphosa urges South African businesses to seize AfCFTA opportunities amid economic uncertainty
President Cyril Ramaphosa has called on South African businesses to seize the opportunities presented by the African Continental Free Trade Area
Image: GCIS
President Cyril Ramaphosa has called on South African businesses to seize the opportunities presented by the African Continental Free Trade Area (Afcfta), which he believes is fostering a more predictable and conducive environment for business growth across borders.
The Afcfta, created by the African Union (AU), aims to form a single market for goods and services across Africa.
It focuses on increasing trade between African countries, boosting production, and strengthening Africa's global economic ties.
Ramaphosa’s message comes at a time when South Africa’s relationship with the US, its second-largest trading partner, is at an all-time low.
Following the imposition of “reciprocal tariffs” by the Trump administration on several countries, South Africa was hit with a 30% tariff. However, the US has since paused the implementation of these tariffs for 90 days.
Experts and economists have warned that if fully implemented, these tariffs could have severe economic consequences for South Africa, potentially leading to widespread job losses.
"The African Continental Free Trade Area (AfCFTA) is creating a more predictable and conducive environment for businesses to thrive across borders. Our businesses must seize this opportunity even as the processes of harmonising regulations continue," Ramaphosa said.
Ramaphosa further pointed out that the upheavals in the global economy present a unique chance for Africa-focused trade and investment policies. He urged South African businesses to lead the charge in transforming African industry.
"South African business must be at the forefront of the transformation of African industry. As government, we are committed to provide the necessary supportive policy and regulatory frameworks," he added.
IOL previously reported that South African table grape producers have expressed concern over a proposed 31% tariff from the US.
mthobisi.nozulela@iol.co.za
IOL Business