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Top 5 markets South African SMEs should target in 2026

South African small and medium enterprises (SMEs) have a window to expand internationally in 2026, as demand rises for premium and sustainably produced products, says Nelson Teixeira, managing director of operations for Sub-Saharan Africa.
Source: Rocker Sta via
Source: Rocker Sta via Unsplash

United Arab Emirates and Saudi Arabia

South Africa is the UAE’s second-largest African trading partner, accounting for nearly 8% of non-oil trade. Free zones in Dubai and Abu Dhabi allow 100% foreign ownership and duty exemptions, offering access to the wider Gulf region.

Saudi Arabia is becoming a growing trade hub, with improved logistics and connectivity for exporters.

Germany

Germany remains South Africa’s main European export partner. Buyers increasingly seek sustainably produced and traceable goods.

“This growing appetite for artisanal and sustainable brands creates attractive opportunities for South African brands in food, beverage, natural skincare, and fashion,” Teixeira says.

India

India’s population exceeds 1.5 billion, with a rapidly expanding middle class. Exports from South Africa to India approached $5 billion.

“India offers immense potential for South African SMEs,” Teixeira says. “Understanding import requirements and regional nuances is essential to understanding how to grow your customer base in the region. Partnering with logistics providers that offer reliable customs support, local warehousing, and e-commerce integration can help businesses succeed in this dynamic market.”

Singapore

Exports from South Africa to Singapore more than doubled between 2020 and 2024, with total trade reaching $1.4 billion. Key sectors include agri-processing, consumer goods, and industrial assembly.

Kenya and Nigeria

Kenya and Nigeria stand out for fast-growing consumer markets, youthful populations, and expanding e-commerce sectors.

“Kenya’s thriving fintech ecosystem and Nigeria’s expanding consumer class make them natural entry points for African exporters seeking intra-continental growth,” Teixeira says.

Logistics considerations

Efficient logistics and simplified customs processes are critical for SMEs seeking international growth.

“For local SMEs, there has never been a better time to go global. The demand is there, but success will depend heavily on reliable cross-border delivery, simplified customs processes, and effective digital tracking platforms,” Teixeira says.

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