other economic activity in South Africa during the 1990’s. Mineral sales were worth R56,874,000 in 1995. About 80 percent of all mineral production is exported to more than 80 other countries. Mineral export sales accounted for 48.1 percent of total export revenue (CIA).In 1994, the United States Department of Commerce identified South Africa as one of the world’s top ten “Big Emerging Markets” (BEM) because of its enormous potential for U.S. business. South Africa was chosen as a BEM for the following reasons: It is the most productive and advanced economy in Africa, with a GDP nearly three times that of Egypt, its nearest competitor on the continent. Its 1994 annual growth rate of 2.3 percent indicated that the economy is responding positively to the economic policies of the new government. It is the gateway to the southern African region. It has well-developed transportation and communications infrastructure support and efficient distribution of imported goods to major urban centers throughout the region. It accounts for approximately 75 percent of GDP for the southern African region and 45 percent for the entire African continent. It has a diversified economy, with manufacturing representing the largest sector of the economy, contributing 26 percent of GDP, followed by finance and business services with 16 percent, commerce with 13 percent, mining with 11 percent, and agriculture with 6 percent. It is opening its markets to foreign investment. It has begun to implement tariff reductions in selected industries (such as textiles and automobiles) and to terminate past protective policies. Import surcharges on capital goods have been eliminated and foreign investors are allowed to have 100 percent ownership.The U.S. Department of Commerce has also identified the following areas ripe for foreign investment: aircraft and aircraft parts, industrial chemicals, ...
