US South Africa Trade

Trade between South Africa & USA

Trade between South Africa & USA

The Republic of South Africa occupies the southernmost portion of the African continent, stretching from the Limpopo River in the north to Cape Agulhas in the south. The discovery of diamonds near Kimberley in the year 1867 and of gold on the Witwatersrand in 1886 was contributory to the transformation of the country from a primarily agricultural area into a modern day industrial state (Robinson, 2008). Today, it is regarded as the strongest industrial economy found on the African continent despite uneven occurrences of development. White minority reliant on black labor were responsible for economic growth while its homelands remained lagging behind (Hartman, 2008).

Arable land was insufficient yet South Africa is virtually self-sufficient in foodstuffs. Forty-five percent (45%) of its homeland relies on imported food. The chief crops are corn and sorghum. Cash crops found in the place are grown by the white minority with sugarcane, wheat, citrus fruit, tobacco, grapes, cotton and even corn established as the primary sources. Fishing is regarded as a major industry while cattle and sheep-raising are also vital in the economy (Daniel, 2008).

Minerals account for 70% of the country's earnings in foreign trade. In fact, South Africa leads the world in the production of gold, vanadium and chrome. It is also standing along the lines of leaders in international business when it comes to gem production of diamonds, uranium, asbestos, antimony, platinum and manganese. The only industrial resources which did not contribute largely to the mining industry are petroleum and bauxite since they could not supplement commercial consumption (Robinson, 2008).

Domestic mining of coal makes up 80% of the country's primary energy needs. It is also considered as the world's largest producer of synthetic fuels. More than half of the ...