Jacob Zuma.
"Japanese companies have a tradition of taking a long-term view and placing emphasis on contributing to society," President Jacob Zuma said in a speech prepared for delivery at the South Africa-Japan Business Forum on Tuesday.
"Therefore, South Africa and the region will only benefit from the continued presence of more Japanese businesses."
He said Japanese companies were participating in South African infrastructure programmes, particularly in the rail sector.
" … I also want to encourage more Japanese companies to take advantage of South Africa as a manufacturing platform to increase their market share on the growing African continent.
"Of late, we have also witnessed keen interest from Japanese banks to support their clients on the ground in South Africa."
Zuma said this was "a very encouraging sign".
The president said South Africa was researching beneficiation of raw minerals and Japan was envisaged as a strategic partner in achieving this.
"Despite the lack of natural resources, Japan is able to claim global leadership in a vast number of manufacturing sectors, ranging from the automotive sector to the most sophisticated high technology sectors.
Japan pledges $32bn aid
Japan is South Africa's third largest export destination and the fifth largest source of imports.
In 2010, Japanese direct investment into South Africa amounted to almost R20-billion.
Zuma said South Africa hosted 110 Japanese companies, generating about 150 000 jobs.
"What is more, manufacturing companies, such as Toyota, contribute significantly to raising the capacity of local industries through supplier development and skills development programmes."
He said Japan was the largest bilateral donor in the infrastructure sector in Africa and a strong supporter of the programme for infrastructure development in Africa.
Japan on Saturday pledged African leaders $32-billion to help growth on the continent and encourage Japanese firms to invest there.
The package, unveiled by Japan's Prime Minister Shinzo Abe at the opening of the Tokyo International Conference on African Development (Ticad), includes $14-billion official development aid and $6.5-billion support to help infrastructure.
Resource-poor Japan has long been keen on Africa's vast natural resources, even more so since dependence on oil and gas imports surged after the March 2011 Fukushima nuclear disaster shut almost all of the country's nuclear reactors.
Japan's direct investment in Africa was $460-million in 2011, compared with China's $3.17-billion, according to the Japan External Trade Organisation and China's government data.
Some 50 African leaders and officials – including African Union chairperson Hailemariam Desalegn, African Union Commission chairperson Nkosazana Dlamini-Zuma and United Nations secretary general Ban Ki-moon – gathered for the three-day conference held in Yokohama near Tokyo to discuss issues such as economic development, peacemaking and anti-piracy. – Sapa