A new report on trade in Africa’s biggest economy has revealed that conditions remained “slack” in March, falling even further into negative territory.

In its latest survey, the South African Chamber of Commerce and Industry (SACCI) said its Trade Activity Index, a measure of current conditions, fell to 38 in March, from 41 a month earlier.

“It appears that conditions will only improve once real overall economic activity picks up. A recovery might therefore take longer and may not come about through monetary policy actions alone,” said SACCI in a statement.

The one positive note in the survey was a decline in price pressures, as inflationary pressures continued to ease. The index on selling prices declined slightly measured 54 in March compared to 55 in February 2009.

Looking ahead, respondents remain pessimistic with the Trade Expectations Index (TEI) slipping marginally to 43 in March, from 44 in February 2009.