In return, Canada could supply South Africa with liquefied natural gas (LNG). The idea comes as Canadian Prime Minister Mark Carney travels to Johannesburg for the G20 summit.
South Africa’s High Commissioner to Canada, Rieaz Shaik, told The Canadian Press that the two countries are exploring what he affectionately calls a “gas-for-wine deal.”
According to Shaik, the talks are looking at five main areas where both countries could work together: farming, mining, energy, infrastructure and new technologies.
Instead of a typical trade agreement, the plan is likely to become an investment-focused deal that encourages businesses in both countries to team up.
One issue still being ironed out is how the two sides will handle disputes if they arise.
Selling premium and niche SA wines
South Africa hopes the deal will help convince Canadian liquor boards to stock more of its premium wines. A marketing campaign launching next week aims to move global buyers away from cheap bulk wine and toward higher-quality South African bottles.
On the energy side, South Africa is open to buying Canadian LNG in future – as long as Canada finishes building the export facilities needed to ship it overseas.
Canadian companies are already helping South Africa update its power systems. This includes efforts to move toward cleaner coal technology, as South Africa tries to wean itself off fossil fuels.
Additionally, South African officials plan to visit Saskatchewan soon. Shaik said they want to learn more about the Canadian province’s modern farming techniques and cold-chain systems, which help keep food fresh from farm to market.
In terms of mining opportunities, Shaik pointed to the new Vancouver-based company Anglo Teck – created through the merger of Anglo American and Teck Resources – calling it a major development for future copper exports. He emphasised how South Africa’s experience in deep mining could be useful to Canada.
Both countries also see space to work together in advanced manufacturing, artificial intelligence and nuclear technology.
Canadian officials say they want stronger commercial and diplomatic ties with South Africa. Shaik noted that both countries rely heavily on trade with the United States and are now looking for ways to diversify.
He also said South Africans still remember Canada’s strong support during the fight against apartheid and in helping build the country’s democracy afterward.
“It feels like a family relationship,” Shaik added. “The bond is there – it just needs to become more active.”
