Zuma, Obama in talks

Saturday, June 29, 2013

Pretoria - President Jacob Zuma and visiting US President Barack Obama are locked in an official bilateral meeting in Pretoria.

Accompanied by the Ministers of International Relations and Cooperation, State Security, Health and Economic Development, Zuma today welcomed Obama, who arrived at the bedecked Union Buildings at 9:30am, accompanied by his wife Michelle Obama.

Security is tight in and around the Union Buildings, with several streets closed off to the general public. Curious South Africans could, however, be seen lining up Stanza Bopape street in the hopes of getting a glimpse of the Obamas, whose Marine One helicopter landed on the front lawn of the Union Buildings.

Obama observed a silent guard of honour before being whisked away for the official talks.

Discussions between the South African and American delegations are expected to be dominated by trade issues, the status of bilateral relations, investments, education, health, development assistance, as well as security on the continent.

According to the itinerary, during the official meeting, the US First Lady will have tea with Zuma’s wife, Thobeka Zuma.

Obama’s Air Force One landed at the Waterkloof Air Force Base last night after wrapping up his visit to Senegal, which focused on improving food security and promoting democratic institutions.

Government has indicated that the visit will take economic, political and people-to-people relations between the two countries to a higher level, while also enhancing cooperation between the USA and continent.

Stimulating trade

The South African delegation will use the meeting to highlight the importance of the extension of the African Growth and Opportunity Act (Agoa).

Agoa - which expires in 2015 - offers incentives for African countries to continue their efforts to open their economies and build free markets.

But some in the US congress are questioning if SA should be allowed to continue being involved in Agoa because they think the country is developed. The South African government has, however, said SA’s exclusion from the Act would be detrimental, as Agoa boosts SA–US trade.

On Wednesday, Trade and Industry Minister Dr Rob Davies said around 43% of SA exports, totalling about $4.6 billion, have entered under the Agoa programme. This has helped to enhance SA exports and in so doing, has helped support the development of the economy - notably in manufacturing.

African governments are speaking in one voice with regards to Agoa. They are of the view that a rollover or an extension of Agoa for a reasonable period of time, along more or less the same lines as the current Act, would be better than no agreement at all with the world’s largest economy.

The US is a major export market for SA, with over 600 US companies in the country employing more than 150 000 local people.

Analysts believe that the visit shows the USA sees SA, and the continent at large, as major trading partners. The continent is largely seen as the best place to invest in because of its high return on foreign direct investment over the last three years.  

Some observers say the visit is also imperative, especially now that China is growing its influence on the continent, driving the US to have a policy conducive to commerce.

“The reality is that Africa is turning around… We are looking at partnerships that will strengthen our economy,” said Davies on Wednesday, adding that Africa has come to a point in its development where it was being viewed as an important trade, investment and economic partner.

Meanwhile, another issue on the agenda is the President's Emergency Plan for Aid Relief Programme (PEPFAR) and the impact it has had on the health care sector in the country.

The US Congress took a decision in 2010 to significantly reduce funding to all countries through PEPFAR. This move will reduce programmes addressing HIV significantly over a five-year period.

Strengthening ties with Africa

This is Obama’s first tour of the continent. He has previously had a one-day stopover in Ghana at the beginning of his term.

The White House hopes that this three-nation tour will compensate for what some view as neglect, saying it will “underscore the President’s commitment to broadening and deepening cooperation between the United States and the people of sub-Saharan Africa to advance regional and global peace and prosperity”.

Obama visits South Africa at a time when the country, including the international community, continues to pray for the ailing former President Nelson Mandela. Obama has been quoted in the media as having called Mandela “a hero for the world” when he began his tour in Senegal. 

After the media briefing at the Union Buildings, Obama will leave for Soweto where he will address African leaders at the University of Johannesburg’s Soweto Campus.

He will also hold talks with Dr Nkosazana Dlamini Zuma, chairperson of the African Union Commission.

In the evening, the Obamas will then attend an official dinner hosted by President Zuma.

On Sunday, they will fly to Cape Town to visit the prison museum on Robben Island.

Obama will then stop at a community centre focused on healthcare with retired Archbishop Desmond Tutu.

He will go on to give a speech of his African tour at the University of Cape Town before heading to Tanzania, his last stop before returning to Washington next week. - SAnews.gov.za