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INTERNATIONAL TRADE ARRANGEMENTS

This document provides an overview of various international trade agreements involving South Africa, emphasizing the roles of the World Trade Organization, SACU, SADC, and other trading partners. It outlines the types of agreements such as Free Trade Agreements (FTA), Preferential Trade Agreements, and Unilateral Agreements, detailing their objectives and structures. The text addresses the implementation status and rules necessary for compliance, including sanitary measures and market access requirements. For further information, contact the International Trade Directorate.

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INTERNATIONAL TRADE ARRANGEMENTS

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  1. INTERNATIONAL TRADE ARRANGEMENTS SA TRADE AGREEMENTS DIRECTORATE: INTERNATIONAL TRADE FEBRUARY 2012

  2. AGREEMENTS • WORLD TRADE ORGANISATION • Various agreements – Agriculture, Sanitary & Phytosanitary, Technical Barriers to Trade, Trade Related Intellectual Property Rights, etc. • Rules for trade between members • Establishes rules for trade agreements • Types of Agreements • Free Trade Agreement (FTA) – substantially all trade • Preferential Agreements – selected products, between developing countries • Unilateral Agreements – unilateral tariff concessions granted to developing countries

  3. Africa SACU SADC Americas AGOA MERCOSUR Europe TDCA (reviewed: EPA) EFTA In Process India Tripartite (SADC, Comesa, EAC) TRADE AGREEMENTS

  4. Southern African Customs Union (SACU) • Customs Union established in 1910 • Members: RSA, Botswana, Lesotho, Namibia & Swaziland • “New” SACU Agreement - 2002 • Agreement provides for: • Common External Tariff • Free flow of goods • Sharing of customs & excise revenue • Common negotiating mechanism – Trade Agreements • Harmonization of the industrial and trade policies

  5. Southern African Development Community (SADC) Established in 1980; RSA joined in 1994 SADCTrade Protocol (FTA) implementation: 2000 SADC Trade Protocol (FTA) fully implemented: 2008 by 12 of 14 members With some exceptions, all trade essentially free of customs duties Electronic system of reporting NTBs

  6. SA-EU Trade and Development Cooperation Agreement (TDCA) • FTA, EU is SA’s main trading partner (EU: currently 28 member states) • TDCA entered into force in 2000 • Implemented over 10 (EU) and 12 (RSA) years • Substantially all trade, agriculture in EU favor • Some sensitive products excluded from liberalization on both sides • South Africa has positive agricultural trade balance with EU • TDCA is under review – EPA (Economic Partnership Agreement)

  7. OTHER AGREEMENTS: EFTA • SACU: EFTA (European Free Trade Area, includes Switzerland, Norway, Lichtenstein & Iceland • FTA – substantially all trade • Implementation since 2008 • Review currently underway

  8. OTHER AGREEMENTS: PREFERENTIAL • MERCOSUR(Argentina, Brazil, Uruguay & Paraguay) • Agreement finalized in 2009, not yet implemented • Preferential access for selected products (+ 160 tariff lines) • SACU huge agricultural trade deficit • INDIA • Negotiations recently started • Limited coverage envisaged

  9. OTHER AGREEMENTS: FTA • TRIPARTITE FTA • SADC, COMESA, EAC • Full Free Trade Agreement – Substantially all trade • 26 Countries • Negotiations started in 2011

  10. SOUTH AFRICAN AGRICULTURAL TRADER - MILLION

  11. SOUTH AFRICAN AGRICULTURAL EXPORTS: 2010

  12. SOUTH AFRICAN AGRICULTURAL IMPORTS: 2010

  13. MARKET ACCESS REQUIREMENTS • Compliance are required on: • Rules of Origin (SARS Website) • Sanitary and Phytosanitary (SPS) measures and technical standards always apply • Procedures, e.g. application for permits/quotas or certification if required • Specific forms, related to each agreement, that must accompany every consignment (may be obtained from SARS). • Full agreements are available online: www.sars.gov.zaand follow links:  Customs and Excise Trade  Trade agreements

  14. FOR MORE INFORMATION CONTACT Directorate: International Trade Department of Agriculture Forestry and Fisheries Tel: 012 319 8452 Fax: 012 319 8001 Email: DITR@daff.gov.za

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