Davies urges US to invest long-term in Africa

6 Aug 2012

Trade and Industry Minister Rob Davies says US companies should consider more long-term and strategic investment in Africa. In an interview after his address at the Africa Growth and Opportunity Act (AGOA) conference on Friday‚ Davies said US companies needed to take account of Africa's rising status as the "next growth frontier".

More than 600 US companies invest in SA.

AGOA is a unilateral trade preference programme enacted by the US in 2000.

"From SA's point of view‚ we would like to see a roll-over of AGOA from its current form. We are urging South African stakeholders to get involved in the debate‚" Davies said.

"Trade with the US has been growing and recovering since the recession. We have diversified the products we export to the US‚" he said.

Davies described to the current level of industrialisation on the continent as low‚ and reiterated his call for more investment in infrastructure development‚ which he said would put the continent on a better footing when investors choose investment destinations.

"I think if you listen to African leaders you'll hear many of them saying that the next phase of African growth must ensure much broader industrialisation‚" the minister said.