Mozambique: Exports to SA increase but trade deficit remains

12 March 2008

Maputo, Mozambique, 12 March – Mozambican exports to South Africa have nearly doubled in two years but the trade balance between the neighboring states remains favorable to Pretoria, according to figures released Tuesday by Maputo’s National Statistics Institute (INE).

Exports to South Africa climbed from US$ 193.9 million in 2004 to US$ 361.7 million in 2006, the last year with available data. This increase is primarily due to natural resources, particularly electricity and natural gas, as well as traditional products like shellfish, cotton and citric fruit.

Mozambique’s imports from South Africa rose from US$ 841.9 million in 2004 to 947.9 million in 2006, giving Pretoria trade surpluses of US$ 647.9 million and US$ 586.2 million, respectively.

South Africa’s economy generates 68 percent of total wealth in Southern Africa, according to the executive secretary of the Southern African Development Community (SADC), Tomás Salomão of Mozambique, whose country accounts for only 3 percent of total SADC prosperity. (macauhub)