The Joint Trade and Investment Committee (JTIC) would spread across the public and private sectors of both countries to "pursue available economic opportunities" in both countries.
"The department of trade and industry has proposed to Algeria four sectors, as key focus areas to commence the implementation of the JTIC – agriculture, infrastructure, industry, and investment," deputy minister Elizabeth Thabethe said in a statement.
"Each of these sectors are key job drivers and I believe if both countries concentrate on these sectors a lot can be accomplished, and mutually beneficial business linkages can be created."
She said the JTIC would improve trade and investment between the two countries and allow senior officials from both countries to "discuss and agree on a joint and mutually beneficial work programme".