Geopolitical fragmentation does not bode well for the resilience of global supply chains: South Africa Deputy Minister Godlimpi
Johannesburg, Jul 30 (PTI): Geopolitical fragmentation does not bode well for the resilience of global supply chains, South Africa’s Deputy Minister for Trade, Industry and Competition Zuko Godlimpi said at the 14th BRICS Trade Ministers’ Meeting hosted in Moscow at the weeken.
Johannesburg, Jul 30 (PTI): Geopolitical fragmentation does not bode well for the resilience of global supply chains, South Africa’s Deputy Minister for Trade, Industry and Competition Zuko Godlimpi said at the 14th BRICS Trade Ministers’ Meeting hosted in Moscow at the weekend.
“Multilateralism today is under threat from global fragmentation as a result of geopolitical frictions. This fragmentation does not bode well for the resilience of global supply chains and could set back the gains developing countries have made over the years. We need to push back, defend the foundational principles of these institutions, and strive for meaningful development outcomes,” Godlimpi said.
He also emphasised the importance of building effective joint value chains for promoting industrialisation and enabling BRICS countries to integrate into the global economy on beneficial terms.
Godlimpi said South Africa supports the strengthening of the multilateral trading system and the World Trade Organisation (WTO) reforms that promote development.
“Strengthening the rules-based multilateral system is essential, especially to protect developing countries against the interplays of power. We can use the system to pursue our shared development interests. It is important that we amplify our voice and build a critical mass that orients the multilateral trading system towards promoting development,” Godlimpi said.
He added that the world was witnessing a growing tendency where developed countries are eroding critical principles in multilateral fora such as special and differential treatment in the WTO, and the Common but Differential Responsibilities and Respective Capabilities (CBDR-RC) in the United Nations Framework Convention on Climate Change (UNFCCC).
Godlimpi said that South Africa’s participation in BRICS has ensured that the African continent is well-positioned globally from an economic and investment perspective.
“The BRICS countries constitute Africa’s largest trading partners and an important part of the continent’s investment community. South Africa will continue to use the BRICS platform to advance the developmental interests of Africa and promote the African Continental Free Trade Area (AfCFTA),” Godlimpi shared.
He urged member countries to focus on a more balanced trade of higher value products in order to advance trade and investment within BRICS.
“We are of the view that cooperation on joint value chains should aim at diversifying production and supporting industrialisation objectives of the BRICS members and developing countries in general,” he said.
He also highlighted the potential for mineral beneficiation on the African continent.
“South Africa encourages all BRICS members to work together to enhance mineral beneficiation – value addition of mineral resources closest to source for the decarbonisation goals, and to offer the world products it needs and not just raw materials,” Godlimpi said. PTI FH GSP GSP
(This story is published as part of the auto-generated syndicate wire feed. No editing has been done in the headline or the body by ABP Live.)
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