President of Mozambique strengthens business ties with South Africa

Mozambique’s President Daniel Chapo recently embarked on a significant visit to South Africa to strengthen ties between the two countries. President Cyril Ramaphosa hosted him earlier this month to bolster political relations.

One of the highlights of the visit was a dinner meeting hosted by the South African Chamber of Business in Mozambique (SACBM), bringing together President Chapo, Minister of Economy Basílio Muhate, Minister of Transport and Logistics João Matlombe, Minister of Foreign Affairs Maria Manuela Lucas and 11 top CEOs from various industries including logistics, agriculture, energy, financial services, security, telecoms and hospitality.

The intimate and informal setting of the dinner provided a unique opportunity for the captains of industry to express their views and keen interest in investing in Mozambique.

Grindrod, a prominent player in the logistics industry, has significant operations in Mozambique, specifically in Maputo, Matola, Nacala and Pemba, and has committed to further investments. Grindrod is aligned with the port of Maputo’s expansion plans, enhancing its position as a critical logistics hub for southern Africa’s mining sector.

Similarly, major companies like Mozal Aluminium, a subsidiary of South32, and Sasol reiterated their commitment to their ongoing investments in Mozambique – signalling a positive outlook on the country’s economic potential.

Despite facing challenges such as electoral protests and border closures in recent months, the sentiment toward investing in Mozambique remains optimistic.

Said Ike Cha, secretary-general of SACBM, “The close connection between South African businesses and Mozambique was emphasised, with the staggering statistic that South African companies lost R455 million per day during the post-election riots and border closures. The proactive response by BUSA‘s [Business Unity South Africa] logistics and transport sectors and the SACBM’s crisis committees ensured the continued flow of cargo, especially food and fuel, to ensure availability. These actions demonstrated South African businesses’ commitment to the well-being of the people of Mozambique, who are our ultimate customers and stakeholders.”

During the dinner meeting, President Chapo attentively listened to the challenges voiced by the business leaders and was inspired by the passion and commitment exuded by the room. The collective enthusiasm for collaboration and investment opportunities showcased the symbiotic nature of the relationship between South Africa and Mozambique, paving the way for potentially lucrative partnerships and ventures in the near future.

Overall, the president’s visit and the fruitful dinner meeting served as a catalyst for strengthening business ties between Mozambique and South Africa, highlighting the mutual benefits that can arise from closer co-operation and investment in key sectors.

South African Chamber of Business in Mozambique

Image: Presidential dinner – Mozambique President Daniel Chapo, Mozambican Ministers of Economy, Transport and Foreign Affairs, and top executives