South African Jewish Report. <\/a><\/p>\nThe Orange Basin has rapidly emerged as one of the world\u2019s hottest offshore oil and gas frontiers following a string of major discoveries over the past four years. Energy giants including TotalEnergies, Shell and Galp have announced significant finds, transforming the basin into one of the industry\u2019s most sought-after regions. Analysts view it as one of the few remaining frontier basins capable of producing multiple billion-barrel discoveries.<\/p>\n
The investment comes at a politically delicate moment.<\/p>\n
Since Hamas\u2019s Oct. 7, 2023, attacks on Israel and the war that followed, South Africa has positioned itself among Israel\u2019s fiercest international critics. Pretoria\u2019s decision to bring a genocide case against Israel before the International Court of Justice in The Hague marked a low point in bilateral relations, while senior South African officials have repeatedly accused Israel of violating international law in Gaza.<\/p>\n
Against that backdrop, the Navitas announcement quickly became the focus of political controversy.<\/p>\n
Environmental advocacy group The Green Connection called on South African President Cyril Ramaphosa to adopt a policy barring Israeli companies from operating in South Africa\u2019s offshore energy sector, arguing that such investment was incompatible with the country\u2019s position before the ICJ.<\/p>\n
In a separate opinion article published in The Star, Economic Freedom Fighters parliamentarian Carl Niehaus urged the government to halt the transaction, writing that Israeli companies \u201chave no place in our waters or our economy.\u201d<\/p>\n
The debate surrounding a single energy deal has exposed a broader question: Has the collapse in diplomatic relations between Jerusalem and Pretoria translated into a corresponding breakdown in commercial ties?<\/p>\n
According to Daniel Yakcobi, CEO of the South African Friends of Israel and the South African Israel Chamber of Commerce, the answer is no.<\/p>\n
\u201cCommercial relations remain far more resilient than the political relationship suggests,\u201d Yakcobi told JNS.<\/p>\n
\u201cWhile government-to-government ties are at a historic low, businesses in both countries continue to see clear value in cooperation.\u201d<\/p>\n
Commercial ties endure<\/p>\n
That distinction, he argues, reflects the fundamentally different forces driving diplomacy and commerce.<\/p>\n
While political tensions have unquestionably affected the business climate, companies continue making decisions primarily on commercial considerations.<\/p>\n
\u201cSouth African and Israeli companies are still trading, forming partnerships and exploring investment opportunities,\u201d Yakcobi said. \u201cTrade is driven by demand, innovation, expertise and mutual benefit\u2014not only political sentiment.\u201d<\/p>\n
He acknowledges that the relationship has changed.<\/p>\n
\u201cThe main change has been greater political and reputational sensitivity,\u201d he said. \u201cSome transactions now require more internal scrutiny, but the underlying commercial demand remains intact.\u201d<\/p>\n
That increased scrutiny has led some South African companies, particularly larger institutions, to approach Israeli partnerships more cautiously because of public campaigns, shareholder pressure and reputational concerns.<\/p>\n
Yet Yakcobi believes caution should not be mistaken for disengagement.<\/p>\n
\u201cMost businesses still evaluate opportunities on commercial merit,\u201d he said. \u201cMany South African executives recognize that excluding Israeli technology or expertise for political reasons could reduce competitiveness.\u201d<\/p>\n
In many cases, he said, commercial cooperation has simply become less visible.<\/p>\n
\u201cSome companies prefer to avoid unnecessary publicity,\u201d Yakcobi said. \u201cThe partnerships continue, but they\u2019re often conducted with a lower public profile than before.\u201d<\/p>\n
For Yakcobi, the Navitas investment itself demonstrates that commercial considerations continue to outweigh political disagreements for many businesses.<\/p>\n
\u201cAn Israeli-headquartered company committing capital and expertise signals that commercial logic and confidence in South Africa\u2019s resources can persist despite political differences,\u201d he said.<\/p>\n
\u201cIsraeli companies continue to see South Africa as a market where they can contribute technology, investment and specialist expertise, even while the political environment has become more challenging.\u201d<\/p>\n
\u2018The fit between the two economies remains strong\u2019<\/p>\n
Despite the political headwinds, Yakcobi believes the underlying economic relationship remains compelling because the two economies complement rather than compete.<\/p>\n
\u201cSouth Africa offers scale, natural resources, industrial capacity and access to the African continent,\u201d he said. \u201cIsrael brings advanced technology, research, entrepreneurship and solutions to pressing challenges.\u201d<\/p>\n
That combination, he said, continues to create opportunities across sectors including agriculture and agri-tech, water management, food technology, cybersecurity, fintech, healthcare, renewable energy and mining technology.<\/p>\n
\u201cThe fit between the two economies remains strong,\u201d Yakcobi said.<\/p>\n
Energy is now emerging as another area of potential cooperation.<\/p>\n
South Africa has long grappled with electricity shortages, aging infrastructure and the challenge of balancing economic growth with energy security. Although commercial production in the Orange Basin remains years away, the discoveries have generated optimism that domestic oil and gas resources could help reshape the country\u2019s energy future while attracting billions of dollars in foreign investment.<\/p>\n
For Israeli companies with offshore exploration expertise, the basin represents an opportunity that is difficult to ignore.<\/p>\n
Recent trade patterns also suggest that, despite the diplomatic rift, commercial ties have endured. South Africa continues to export commodities and agricultural products to Israel, while Israeli companies remain active in sectors where their technology and expertise address South African needs.<\/p>\n
Yakcobi cautions, however, against interpreting that resilience as immunity from politics.<\/p>\n
\u201cThere is no question that the political environment has become more complicated,\u201d he said. \u201cInvestors value predictability and stability. Political uncertainty inevitably becomes another factor businesses have to consider.\u201d<\/p>\n
While some Israeli companies have delayed investment decisions or reassessed their exposure, he said he has not observed any broad withdrawal from the South African market.<\/p>\n
\u201cThere has not been a systematic exit,\u201d Yakcobi said. \u201cSome firms may delay decisions because investors value stability, but many Israeli companies continue to take a long-term view and see significant opportunity in South Africa.\u201d<\/p>\n
He believes the same commercial logic applies to South African companies considering partnerships with Israeli firms.<\/p>\n
\u201cBusinesses ultimately have to remain competitive,\u201d he said. \u201cIf an Israeli solution is the best solution, many companies will still pursue it.\u201d<\/p>\n
One of the biggest misconceptions surrounding the bilateral relationship, Yakcobi argues, is that South Africa\u2019s increasingly hostile political rhetoric has effectively shut down trade with Israel.<\/p>\n
\u201cThey have not,\u201d he said. \u201cPolitical rhetoric is highly visible, while day-to-day trade and investment activity is much less visible. That creates a distorted public perception.\u201d<\/p>\n
He also rejects the notion that doing business with Israel necessarily constitutes support for Israeli government policy.<\/p>\n
\u201cTrade is not political endorsement,\u201d Yakcobi said. \u201cIt creates jobs, transfers knowledge and delivers solutions.\u201d<\/p>\n
South Africa, he noted, maintains commercial relationships with many countries despite political disagreements, and he argues that Israel should be viewed through the same commercial lens.<\/p>\n
Looking ahead, Yakcobi believes the opportunities for cooperation remain substantial despite diplomatic uncertainty.<\/p>\n
South Africa continues to require investment, innovation, water technologies, agricultural solutions and energy expertise, while Israeli companies continue seeking overseas markets where their technology and experience can add value.<\/p>\n
\u201cThe main constraint is not opportunity,\u201d he said. \u201cIt is political uncertainty and perceptions around fairness and predictability for Israeli businesses.\u201d<\/p>\n
For organizations such as the South African Israel Chamber of Commerce, that means continuing to strengthen commercial relationships regardless of the political climate.<\/p>\n
\u201cOur role is to maintain the commercial bridge,\u201d Yakcobi said. \u201cGovernments may disagree, but businesses and innovators must continue building relationships that serve long-term mutual interests.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"(July 30, 2026 \/ JNS) At a time when South Africa has become one of Israel\u2019s most outspoken…\n","protected":false},"author":2,"featured_media":566920,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[85,46,43],"class_list":["post-566919","post","type-post","status-publish","format-standard","has-post-thumbnail","category-israel","tag-il","tag-israel","tag-news"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/566919","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=566919"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/566919\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/566920"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=566919"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=566919"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=566919"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}