International Relations and Cooperation Minister Ronald Lamola says South Africa must prepare for every eventuality as uncertainty surrounds the renewal of the African Growth and Opportunity Act (AGOA).

Launched in 2000, the trade programme provides eligible African countries with preferential access to the US market.

Amid tensions between Pretoria and Washington, Lamola says the government is working to diversify export markets.

“In the past two years, since we realised this unpredictability, we have been working very hard to diversify the markets for South African exports. As I speak, 45% of our exports go to the African continent through the African Continental Free Trade Area. Asia has also taken a big chunk of our export market, and the European Union has done the same. So, we believe we will be cushioned against exclusion if it does happen.”

Lamola adds that Pretoria wants to maintain constructive relations with Washington despite disagreements, while recognising the importance of continued access to the American market.

“Our engagement has not been confrontational with the US, we have been very cordial. We have told them firmly but nicely that we don’t agree, because we understand that the US is not on an equal footing with South Africa. We may want it to be equal; we must be equal but it’s a reality of pragmatism. And the fact that, under AGOA and the preferential access of our goods into the US market, the US remains a very important, mature market for a number of our goods.”

VIDEO | South Africa’s future AGOA trade access uncertain: 

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