South Africa: Trade surplus narrows as agricultural exports slow

Arab Sea Newspaper - Follow-ups:

Official data showed that South Africa's trade surplus decreased in October 2025 to 15.6 billion rand (about $820 million), compared to 22.3 billion rand (about $1.17 billion) in September after revising the figures. This decline was a result of a 7.2% increase in imports, reaching 176.6 billion rand ($9.27 billion), driven by a 29% increase in imports of crude oil, precious metals, and gemstones, and an 18% increase in original equipment and base metals, in addition to vehicles and transportation equipment (+8%). Imports from Africa and Asia also increased by 20% and 12.4%, respectively, while they decreased from Europe and the Americas. On the other hand, exports recorded a slight increase of 2.8% to reach 192.2 billion rand ($10.1 billion), supported by precious metals and base metals, while agricultural exports decreased by 35%, reflecting challenges facing the sector due to climate fluctuations and declining external demand. Analysts indicate that the shrinking trade surplus reflects South Africa's increasing dependence on energy and raw material imports, while the decline in agricultural exports raises concerns about the country's ability to diversify its export base away from precious metals, which form the backbone of the country's foreign trade.