The objective of the project is to examine trade flows into and out of the GCR and establish their potential contribution and costs to the GCR economy. In 2012/13 the project will focus on formal large scale trade flows and small and medium enterprise (SME) cross border trade with the rest of Africa, concentrating on SADC nationals involved in trade with the GCR. In 2013/14 the research focus will shift to intra- and interprovincial trade in and with the GCR. The project will explore the extent of formal trade taking place with the GCR including: the geographical extent of trade and transport networks; the volume and primary sectors of trade; and obstacles to and opportunities for trade. In the realm of SME trade it will examine: the spatial extent of trade and transport networks; types of goods; where goods are bought; use of the retail, wholesale and hospitality sectors; relationships with the informal and formal sectors; and obstacles to and opportunities for maximising benefits of SME trade for the future GCR economy.
Trade in goods makes a significant contribution to the economy of South Africa and Gauteng. Trade is also important to the GCR economy and is reflected in the strength of the retail and wholesale sector as well as the manufacturing sector of the province. Research on SME cross border trade and the SADC suggests that the terms ‘small’ and ‘medium’ in SME mask the significant aggregage contribution made by SADC SME traders to the Gauteng economy in the retail, wholesale and hospitality sector as well as manufacturing and possibly agriculture. Furthermore, tourism data shows that of the five leading countries in terms of direct spend by visitors (many of whom are traders) four were SADC countries – Mozambique, Zimbabwe, Lesotho and Swaziland.
The research will provide information to policy makers on the shape of trade in the GCR, the extent of the spatial reach of the economy of the GCR, as well as how to maximise future opportunities presented by trade to the key retail and wholesale, hospitality, manufacturing and transport sectors. These sectors all provide opportunities to expand job creation and entrepreneurial opportunities for residents of the GCR, including those with a lower skills base. The study will contribute to the academic and theoretical literature relating to conceptualisations of city regions as well as that exploring SME cross border trade. It will also provide opportunity for comparisons with other city regions.
This project runs alongside and in conjunction with the proposed ‘People and the Peripheries of the GCR’ project.
Partnerships
Partnerships will be established with academics in key SADC countries (Angola, Botswana, the DRC, Lesotho, Malawi, Mozambique, Swaziland and Zimbabwe) to facilitate exploration of formal and SME trade relationships with the GCR. Relationships will also be developed with the African Center for Migration and Society at the University of the Witwatersrand, other HEIs and civil society organisations as appropriate.
Outputs in 2012/13
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Research report on formal sector trade and the GCR, including potential contributions to the GCR economy and analysis of opportunities and barriers to trade;
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Draft research report on SME cross border trade including potential impact on GCR economy and analysis of opportunities and barriers to trade;
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Journal article on trade and the GCR.
