South Africa February 2007 |
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| Cross-border traders streaming in, (Business Report, 2007-02-08):-There is a network of small-scale African cross-border traders centred on Johannesburg, research has shown, but experts differed on its overall significance to the economy. Research by Strategic Business Partnerships for Growth in Africa (SBP) said an average shopper spent R12 823 a trip. On average, these shopper tourists visited the country four times a year. The favourite buys of visitors from Zimbabwe and even as far as Nigeria included clothes and bulkier items such as beds, according to the research. Investec said small-scale cross-border commerce with South Africa was expected to continue raising African tourist visits. The number of African tourists rose by 20.3 percent from a year earlier in the first half of last year. This compared with an overall rise of 15.4 percent in tourist visits. About 3 million out of the 4 million annual tourist visits to the country are from the rest of the continent. According to Investec, in the first half of last year African tourists spent up to R8.7 billion, more than the R6.3 billion spent by those from the rest of the world. But Nedcor Securities retail analyst Syd Vianello said that while he believed African cross-border shopping was on the rise, it did not have a "material" impact on overall consumer goods sold in the country. Vianello said the R8.7 billion spent by Africans in the half year was small fry compared with total consumer spending of R700 billion over the full year. Massmart's chief executive designate, Grant Pattison, said he thought cross-border African spending in this country might actually have dropped as his Game stores and Shoprite-owned supermarkets expanded into other African countries, including Mozambique, Zambia and Nigeria. On top of this, he said the supply chain between Africa and China, through the hub of Dubai, had led to efficiency improvements. Strong growth in Africa has led to an improved retail offering and cheaper prices on goods such as hi-fis and televisions. All the same, there are a slew of wholesalers centred on south-central Johannesburg that cater to African traders. Astor Cash and Carry's floor manager, Nelson De-Marcos, said soap and cooking oil sales to Mozambicans were particularly noticeable. He said the small traders could not afford to individually transport the goods home, so they clubbed together to pay for trucks and buses. SBP said challenges facing the development of this type of trade included crime, police harassment and delays at border posts. | |
South African Migration Project (SAMP) - Queen's University - http://www.queensu.ca/samp |