Sadc Preferential Trade Agreement

The CDAA`s intentions to streamline customs procedures and trade facilitation are set out in the Trade Protocol, In Appendix II, on customs cooperation within the Southern African Development Community. Operates as part of a Free Trade Area (FTA) established in August 2008 under the direction of the CDAA Trade Protocol. Member States are currently meeting their progressive tariff commitments in order to achieve the target of expiry by 2012. Swaziland is a member of SACU and complies with the customs period during which no tariffs are applied on products imported from CDAA Member States outside saCU. The customs phase is guaranteed by the fact that all products originating from the CDAA are duty-free, which promotes intra-SADC trade and thus strengthens regional economic integration. Swaziland obtains preferential prices when it exports to Angola, Botswana, DRC, Lesotho, Malagasar, Malawi, Mauritius, Mozambique, Namibia, Seychelles, South Africa, Tanzania, Zambia, Zimbabwe. The CDAA is committed to removing trade barriers, such as import/export quotas and administrative monitoring. IG: The EPA contains a bilateral protocol between the EU and South Africa on the protection of geographical indications and trade in wines and spirits. The EU will protect names such as rooibos, South Africa`s famous infusion and many wine names such as Stellenbosch and Paarl.

In return, South Africa will protect more than 250 EU names in the food, wine and spirits categories. This agreement includes SACU Member States and EFTA members (Iceland, Norway and Luxembourg). SACU and each EFTA state have agreements on agricultural trade. These agreements are part of the instruments for setting up the free trade area between the EFTA states and SACU. The agreement was the first regional EPA in Africa to be fully operational after Mozambique began implementing the EPA in February 2018. Since 2000, when the CDAA trade protocol was implemented, intra-SADC trade has more than doubled, from about $13.2 billion in 2000 to about $34 billion in 2009, an increase of about 155%. Trade is essential to the economic development of a region. However, it also has broader benefits that support the process of regional integration. Nations that expand trade with others by liberalizing trade policy increase economic growth and improve the quality of life of their people. The CDAA is setting up a trade monitoring and compliance mechanism to monitor the implementation of the free trade area, with a specific mechanism for identifying and removing non-tariff barriers to trade.

This mechanism has the potential to facilitate the movement of goods and strengthen trade. Intra-SADC trade increased from only 15.7% to 18.5% over the same period. The CDAA`s rules of origin are product specific, with each tariff position assigned to one or more criteria to be met for the transmission of the origin. To receive preferential treatment in the CDAA market, all products must comply with the protocol`s rules of origin and be accompanied by a valid CDAA certificate of origin. The CDAA Free Trade Area was reached in August 2008, when a phased tariff reduction programme, launched in 2001, achieved minimum conditions for the free trade area – 85% of intra-regional trade between partner countries did not achieve tariffs.