South Africa’s unfolding diplomatic furore with the US illustrates the severity of the current leadership deficiencies within national government
That this impasse with our second biggest trading partner remains unresolved is indicative of a Government that lacks the ability to foresee the potential impact.
Senior US legislators believe South Africa, as a consequence of its recent antics with Russian vessels, may soon lose access to a preferential trade deal that has been in place for nearly 20 years. If South Africa loses access to the African Growth and Opportunity Act (AGOA), it could cost us thousands of jobs, with the automotive and agricultural sectors most at risk.
The tragedy is that it is completely avoidable, just like the energy crisis or the numerous other self-inflicted crises the country endures. How can senior government leaders complain about economic sabotage within Eskom when through their own actions – or inaction – they jeopardise precious trade relations established over years?
The consequence of such poor leadership decisions is illiteracy, large scale poverty and unemployment, and growing internal instability. We should ask ourselves, does a country get the leaders it deserves? Or does our country deserve that we demand more of our leadership?
According to figures released last week by the Western Cape government, exports to the USA made up 9% of total exports last year. AGOA is a key component of this trade, with agricultural exports growing 14% per annum between 2015 and 2022, the figures show.
“As a Chamber we are deeply concerned that political expediency should trump economic considerations, particularly in light of current needs and challenges,” says Cape Chamber President Jacques Moolman. “We work hard to help our members grow their export footprint and contribute towards economic growth and employment, only to be banished to the sidelines when decisions are made that undo all our hard work.”
“Ill-considered decisions, whether in the realm of international relations or domestic policy and regulation, have a direct bearing on our collective wellbeing.”
“We appeal to our government partners to work with us, not against us, in standing up for what is right, both abroad and at home,” Moolman said.
Jacques Moolman
President of the Cape Chamber of Commerce & Industry