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Dubai champions South Africa will play in Pool A at the HSBC Cape Town Sevens against Kenya, France and Russia as they aim to make it two tournament wins in a row.
New Zealand, who lost 24-12 to South Africa in the Dubai Cup final, have been drawn with Australia, Spain and USA in Pool B.
Reigning Cape Town champions England will play in Pool C against Scotland, Argentina and Uganda.
Series champions in 2015-16 Fiji, have been drawn in Pool D against Samoa, Canada and Wales.