Gas-for-wine’ push: South Africa seeks strategic trade deal with Canada

As Prime Minister Mark Carney prepares to travel to Johannesburg for the G20 summit, Canada and South Africa are exploring a new economic partnership that could see increased South African wine imports paired with Canadian gas exports. South African High Commissioner Rieaz Shaik described the proposal as a “gas-for-wine deal,” noting that the discussions aim to boost bilateral trade and deepen private-sector ties.

Negotiations are centred on five key sectors — agribusiness, infrastructure, mining, energy, and advanced technologies — and would likely take shape as a foreign investment promotion and protection agreement rather than a traditional goods-focused trade deal. Shaik said the main challenge remains establishing a dispute-resolution system acceptable to both sides.

South African officials are planning a visit to Saskatchewan, which Shaik praised for its leadership in seed development and plant-based protein innovation. He said South Africa is eager to learn from
Canada’s cold-chain systems to reduce food spoilage and hopes provincial liquor boards will carry more premium South African wines. A new marketing campaign launching next week aims to shift Canadian imports away from low-cost bulk wine toward higher-end labels.


Shaik added that South Africa is interested in purchasing liquefied natural gas from Canada if export capacity materializes. Canadian companies are already involved in helping South Africa transition to cleaner coal technologies as the country works to reduce reliance on fossil fuels. He also pointed to the

Anglo American–Teck Resources merger, which will form a new Vancouver-based critical minerals giant called Anglo Teck, as a development that could transform copper exports and create new mining partnerships — particularly given South Africa’s deep-mining expertise.

Further collaboration could extend into advanced manufacturing, artificial intelligence, and nuclear technology. With South African President Cyril Ramaphosa hosting the G20 this week, he and Carney may discuss progress on the talks as early as Friday. According to Shaik, both leaders are analytical “number crunchers” eager to see measurable results.

Federal officials, speaking on background, said Canada is working to build a comprehensive framework to strengthen commercial and diplomatic ties with South Africa — a country, like Canada, seeking to diversify beyond heavy reliance on U.S. trade. Shaik drew parallels between Africa’s push for a continent-wide free-trade area and Canada’s ongoing attempts to break down interprovincial trade barriers.

He also noted the long-standing affinity between the two nations, rooted in Canada’s central role in opposing apartheid and supporting South Africa’s transition to democracy. While he describes the relationship as familial, Shaik said it needs new energy and greater interaction to reach its full potential.