South Africa aims to attract investments that will drive industrialisation. This will include minerals beneficiation, which will ensure that South Africa produces high value goods, rather than export raw minerals.

This was outlined by Trade, Industry and Competition Minister Parks Tau, who was speaking at an Investment Forum on the critical minerals value chain during the 32nd Investing in African Mining Indaba, currently under way in Cape Town.

“The focus is now on ensuring that investments from other countries are linked to industrialisation in South Africa. The objective is to review and negotiate trade partnerships to prevent minerals from being exported without delivering meaningful benefits to the country,” Tau said.

The session was hosted by the Department of Trade, Industry and Competition (the dtic) in partnership with the Department of Mineral and Petroleum Resources (DMPR) and the Department of Water and Sanitation (DWS).

It was attended by investors and private sector players involved in critical minerals, including battery manufacturers, clean and alternative energy producers, and associated financiers.

Tau used the session to highlight the importance of Special Economic Zones in advancing industrialisation, noting that efforts are focused on attracting targeted investors to utilise these zones as platforms for industrial development. 

Last Friday, Tau led the signing of the Framework Agreement on Economic Partnership for Shared Prosperity with China.

The partnership focuses on trade cooperation, investment cooperation, new energy cooperation and multilateral cooperation.

Separately, South Africa last week became the 54th member and shareholder of the African Export-Import Bank (Afreximbank), which pledged an initial investment package of $8 billion.

Part of this funding will be directed towards supporting mineral beneficiation through industrial parks, SEZs, and the construction and revival of smelters and furnaces.

“The dtic is tasked with implementing measures to ensure genuine beneficiation. The emphasis is on moving beyond the extraction and export of minerals to adding value through local processing, close to the source, for broader societal benefit,” Tau said.

Measures to support value addition include repositioning trade agreements, particularly with developed countries, reviewing how South Africa partners with other nations, and providing targeted fiscal and supply-chain support to local industries.

Mineral beneficiation is an energy-, water-, technology- and capital-intensive process, and South Africa will need to address challenges related to electricity and water supply, skills availability and government financial support to attract long-term investment.

Tau also highlighted the importance of critical minerals in advancing e-mobility and digitisation, outlining policy strategies linked to the transition of the automotive sector.

These strategies align with South Africa’s broader objectives of decarbonisation, digitisation and diversification.

Critical minerals are materials considered essential for the transition to clean energy and are used across sectors such as defence, aerospace, electronics and automotive manufacturing.

In addition to platinum group metals, nickel and copper, they include lithium, cobalt and rare earth elements.

Tau emphasised that policy stability under the Critical Minerals Strategy and the G20 Framework remains vital to the economy.

“South Africa has adopted a Critical Minerals Strategy and Implementation Plan that positions the country as a reliable supplier and value-adding hub for minerals essential to the global energy transition, digitalisation and advanced manufacturing. This is further reinforced by the adoption of the G20 Critical Minerals Framework at the G20 Leaders’ Summit,” he said.

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SA Federation of Trade Unions general secretary Zwelinzima Vavi has blasted the South African government, particularly the Trade, Industry and Competition Department, for continued coal exports to Israel.

“To the government and the DTIC, can you stop bring hypocrites. We saluted and we were happy that [the government] took Israel to International Criminal Court, yet you are still doing trade with Israel. You have not closed the Israeli embassy, you are allowing Glencore and other companies to ship coal to fuel the genocide,” Vavi told Inside Politics.

He was speaking on the sidelines of a protest outside the department’s offices in Pretoria.

Several unions, including the National Union of Metalworkers of SA (Numsa), joined a protest organised by the South African Boycott Divestment and Sanctions (BDS) Coalition. It forms part of an energy embargo campaign.

In their memorandum, demonstrators demand that the government withdraws any form of engagement it has with Israel, including diplomatic ties. They contend that Palestine also aided South African in its fight against apartheid. 

“It is in this spirit that we urge you to respect and uphold our constitution, international law, our moral responsibility and ethical duty to not only sanction, but to sever all forms of complicity – diplomatic, economic and material – in Israel’s system of occupation, apartheid and genocide,” said BDS Coalition coordinator Roshan Daddo.

Numsa spokesperson Phakamile Majola told Inside Politics that government taking Israel to the ICJ for genocide was commendable.

It had elevated the gravity of the situation and the crimes being committed by Israel against Palestinians.

Majola asserted that South Africa’s activism against Israel on the global stage made it target of countries affiliated to Israel, especially the United States.

She urged the government to apply the same pressure in implementing a coal embargo. 

“We need the SA government to go further. We have coal that is coming from our country and is being used in the genocide against Palestinians, in the mass murder of Palestinians. The government must ban any coal exports to Israel,” Majola demanded.

She said the government would need to implement an approach that would safeguard job security during the embargo. 

“There must also be measures that are implemented to make sure that there are no jobs lost as a result of the embargo. Numsa adopted a resolution earlier this year that it would support any campaigns around the banning of coal to Israel,” Majola said.

“We would also like measures in place to ensure that jobs are not lost and that alternative markets are found so that there is no disruption in employment.” 

Department spokesperson Bongani Lukhele confirmed that Minister Parks Tau would respond in due course to the memorandum of demands.

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South Africa is preparing a last-minute “enhanced” trade proposal at the urging of U.S. officials in hopes of avoiding a 30% tariff which kicks in on Friday, its trade minister said on Thursday.

South Africa initially submitted a proposed trade deal to President Donald Trump’s administration in May and revised it in June, but received no response.

“We’re having to navigate a last-minute proposal that’s enhanced from the proposal that we had initially given,” Trade Minister Parks Tau said on South Africa’s 702 radio, adding: “And to tell the truth, it’s wait and see.”

The countdown to the August 1 deadline has stirred fear and uncertainty in South Africa, where the central bank governor has estimated a 30% U.S. tariff would put 100,000 jobs at risk, with the agriculture and automotive sectors hit hardest.

The U.S. is South Africa’s second-largest bilateral trading partner after China. South Africa exports cars, some manufactured goods, citrus fruits and wine to the U.S.

Tau said South Africans spoke to U.S. officials on Wednesday night, both at the level of Washington’s embassy in Pretoria and also the U.S. trade representative, but uncertainty lingered on what would happen as the tariff deadline approached.

“They (said) they would encourage us to resubmit our proposal, possibly an enhanced proposal, to the United States government,” Tau said.

A top South African diplomat said on Tuesday that U.S. demands on domestic affirmative-action policies were complicating efforts to secure a trade deal.

Bilateral relations have been strained by South Africa’s Black Economic Empowerment (BEE) policies to address the legacy of centuries of racial inequality and its genocide case against Israel at the World Court, which Israel and the U.S. vehemently oppose.

Reuters

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Trade, Industry and Competition Minister Parks Tau will launch two local e-commerce platforms to help boost small businesses next Tuesday.

They are initiated by the government and will be hosted by Proudly South African.

The platforms will be known as Shop Proudly SA and Market Access Platform (MAP).

The former links customers with businesses that supply locally sourced goods, while the latter is a business to business (B2B) portal, which aims to link large corporate procurement departments with local suppliers.

The department said in a statement that the platforms were “aimed at transforming and ensuring the success of the ecommerce industry in South Africa”.

Tau said the platforms would help boost support for Small, Medium and Micro Enterprises (SMMEs) and locally manufactured goods and services, create much-needed jobs and grow the resilience of South Africa’s economy.

“These platforms are meant to provide a seamless and centralised portals that will make it easier for consumers and procurement officers to source locally manufactured products and services and to meet their localisation targets.” said Tau.

The platforms would also enable local manufacturers to claw back some of the lost ground they have lost to cheaper imports.

Over 1700 locally made products will be housed in the platforms covering all sectors in South Africa.

“There will be something for everyone,” said Tau.

Proudly SA CEO Eustace Mashimbye said the MAP platform was in response to complaints from many large corporates operating in South Africa that they did not have access to locally made products.

The MAP portal plugged the gap between corporates and suppliers, said Masimbye.

“MAP is a database of reliable, local manufacturers and service providers from which businesses that have undertaken to increase their uptake of local products and services, can procure. In essence, the database is a source of local content and quality vetted companies,” said Masimbye.

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Despite objections, Trade, Industry and Competition Minister Parks Tau has awarded fourth National Lottery and Sports Pool Licence to Sizekhaya Holdings (RF) (PTY) Ltd.

This follows the successful completion of negotiations with the preferred bidder, as confirmed by the National Lotteries Commission.

“As I indicated previously, I intended to announce the successful bidder on 28 May 2025 provided that the licence agreement negotiations with the preferred bidder were successfully concluded,” Tau said in a statement on Wednesday.

He expressed disappointment that the matter has already led to litigation and a ruling by the High Court over a one-year temporary licence. The minister said he was currently seeking legal advice with the intention of appealing the court’s findings and orders.

“With due respect to the honourable High Court, my announcement is the result of my undertaking made to the bidders and the court before the hearing of the application,” the minister said.

Tau further said that he looked forward to a strong partnership between his department and the National Lottery Commission as well as increased support for beneficiaries.

Meanwhile, the Economic Freedom Fighters which opposed the awarding of the licence to Sizekhaya Holdings from the onset over concerns about transparency, possible conflict of interest and political inference, has condemned the appointment.

Party spokesperson Sinawo Thambo said in a statement that the decision reinforced its view that Tau was unfit to oversee and protect one of the country’s key public institutions.

“Minister Tau’s refusal to listen, refusal to appear before Parliament and decision to proceed with this appointment anyway represents a complete betrayal of his constitutional responsibilities,” he said.

“Instead of ensuring fairness, transparency and compliance with the Lotteries Act, he has compromised a public asset by awarding a contract worth over R180 billion over the next eight years to benefit the ANC’s cronies in a clear case of state capture.”

According to Thambo, serious concerns have emerged over the integrity of the NLC bid process, with revelations that some members of the bid committee have links to Goldrush.

These ties reportedly include personal attendance at Goldrush-hosted events and directorships in companies that operate its gambling machines.

Thambo further noted that Goldrush co-owner Sandile Zungu has been actively involved in internal ANC political contests and maintains a close relationship with former president Jacob Zuma, now leader of MK Party.

 Whilst co-owner Moses Tembe is also known to be a strong ANC ally.

“… Goldrush Group has publicly admitted to being in the process of expanding its operations, indicating that it does not currently have the full technical and operational capacity to run the National Lottery,” Thambo reiterated.

“This directly contravenes Section 13(2)(b)(i) of the Act, which requires bidders to have sufficient capacity to operate the Lottery effectively.”

Thambo accused Tau of betraying his constitutional duties by disregarding repeated calls for transparency and accountability in the awarding of the National Lottery licence.

He criticised the minister’s refusal to engage with Parliament and his decision to move forward with the appointment despite serious concerns, claiming that the R180 billion contract has been handed over to individuals aligned with the ANC in what he described as a blatant act of state capture.

The party has written to Portfolio Committee on Trade, Industry and Competition chairperson Mzwandile Mesina again, requesting that Tau to ordered to account for the serious concerns surrounding the National Lottery licensing process.

It wants answers on the the process followed in selecting Sizekhaya as the operator, the minister’s failure to address the flagged conflicts of interest and political exposure, whether legal advice was sought in light of Sizekhaya’s eligibility or lack thereof, and Tau’s justification for proceeding despite the pending legal matters and previous
correspondence raising these issues.

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