CERCLE DIPLOMATIQUE - issue 02/2018

LE MONDE SOUTH AFRICA | INTERVIEW
H.E. Tebogo Seokolo
“South Africa is Austria‘s main trading partner in Africa.“
The Ambassador of South Africa to Austria is providing insights
into his country‘s economic relations and regards culture and
music as a vital link between the two countries.
Interview: Rainer Himmelfreundpointner
H.E. TEBOGO SEOKOLO
FOTOS: XYXXYXYXY
PHOTO: RALPH MANFREDA
CD: Excellency, could you please give a survey of
the state of the bilateral relations between South
Africa & Austria?
Tebogo Seokolo: Cooperation in science
and technology is one of the flagship programmes
between South Africa and Austria.
In 2016, the two countries concluded a
Memorandum of Understanding on Scientific
and Technological Cooperation in order
to: (a) contribute to scientific advancement
in both countries by funding
researchers mobility in the frame of joint
research (b) provide an opportunity for
young researchers in the two countries to
meet and interact (c) support the advancement
of basic research and to (d) contribute
meaningfully to research capacity development.
What is important about this
programme of cooperation is that it is
jointly equally financed by both countries.
Recently, in 2017, the bilateral relations
between the two countries were enhanced
with the visit to South Africa by Former
Austrian Minister of Foreign Affairs and
current Chancellor, Sebastian Kurz who
was accompanied by a a high-level delegation
of Austrian companies led by the Austrian
Chamber of Commerce.
Visiting each other’s countries is another
key contributor to fruitful relations.
We have witnessed a growing increase of
Austrians visiting South Africa. In 2017, a
total number of 29,602 tourists from Austria
visited South Africa and this number is
expected to grow with the introduction of a
direct flight from Vienna to Cape Town by
Austrian Airlines in October this year.
South African Airways (SAA) also services
the Austrian tourism market via a
code-sharing arrangement with the Lufthansa
Group and flies from Munich and
Frankfurt to Johannesburg.
In addition, there is also an intensive cooperation
in the field of culture.
Particularly music is one area with great
potential. A number of young South African
musicians, mostly in the classical genre,
are placed in various institutions and
opera houses in Austria. The trailblazer in
this area is none other than the late indomitable
Johan Botha, a South African tenor
who settled in Austria in the early
1990s. The high-point in the South Africa-
Austria cooperation in the field of music
was in 2015 the hosting of the “Tribute to
Nelson Mandela Concert“ which featured
both Johan Botha and Pretty Yende, supported
by the Vienna Chamber Orchestra
conducted by Stefan Vladar. It was the late
Johan Botha’s wish to make this collaboration
an annual event, alternating between
South Africa and Austria - this however,
was not to be. I am glad that the newly
elected President, His Excellency, Mr Cyril
Ramaphosa has on 28 April 2018 bestowed
on Johan Botha (posthumously) the Order
of Ikhamanga for his excellent contribution
to opera music and putting South Africa
on the world stage.
What is the state of economic relations between
South Africa & Austria - could you please give us
a short overview of Austrian companies active in
South Africa as well as South African investment
activities in Austria?
South Africa is Austria’s main trading
partner in Africa. One third of Austria’s
exports to Africa are with South Africa.
According to the SA Reserve Bank’s
Quarterly Report from December 2017,
South African total direct investments in
Austria in 2016 amounted to Euro 3.4 billion,
while the Austrian direct investments
to South Africa amounted to Euro 758 million.
According to the Austrian National
Bank report, Austrian total direct investments
in South Africa in 2016 amounted to
Euro 220 million.
Mondi, whose head office in Vienna is
responsible for the rest of the world excluding
Africa, has invested US$ 250 million
in the Austrian paper and pulp sector, including
shares in Austria’s largest private
company Patria Paper. In 2014, Mondi invested
a further Euro 24 million in its plant
in Frantschach, Carinthia. Sappi Ltd. owns
a paper mill in Gratkorn, Styria. Sasol Wax
GmbH has a small plant in Linz, Upper
Austria. In 2013, Steinhoff International
bought the furniture group Kika-Leiner. In
2014, Dimension Data SA acquired 100%
of the NextiraOne Austria.
About 79 Austrian companies are directly
involved in South Africa, of which 16
have direct investment, 51 have distribution
and sales offices and 12 are involved in
projects, training and other services.
Among the top investors are Voestalpine,
Alpla, Christof Industries, Constantia Flexibles,
Benteler International, Doka, Efkon/Strabag,
Plasser&Theurer, Tyrolit, Andritz,
Agrana, Kapsch TrafficCom and
Swarovski (Tyrolit).
The economy of South Africa has been catching
up again in 2017, but it still has to overcome
many problematic issues of the former Zuma
administration. What are the major pillars of
President Cyril Ramaphosa’s economic strategy
and his goal to attract more investments in the
coming years?
The President and government have announced
a strong intention to attract
around 100 billion US dollars worth of investments
into the economy in the next five
years. In this regard, later this year, South
Africa will host a major International Investment
Conference, which will bring together
potential investors from both South
Africa and abroad. Among some of the
strong attributes which we believe count in
on South Africa’s favour, include the fact
that the country has stable institutions, a
thriving democracy as well as an independent
judiciary.
South Africa has an advanced financial
sector and a sound regulatory and legal
framework. Furthermore, South Africa recognizes
that to attract more investments,
it needs to invest in its infrastructure. That
is why in recent years, the country has upgraded
and continues to upgrade its infrastructure
especially in the fields of energy,
road, rail and ports. South Africa has also
established special economic zones which
offer a range of incentives. These special
economic zones are becoming manufacturing
hubs thus significantly boosting the
country’s export capacity.
The Ambassador of South Africa to Austria, Slovakia
and Slovenia also serves as the Permanent
Representative to the UN and International
Organisations which include among others the IAEA,
UNODC, UNIDO, CTBTO and UNOOSA.
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