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INTERNATIONAL TRADE ARRANGEMENTS

INTERNATIONAL TRADE ARRANGEMENTS. SA TRADE AGREEMENTS DIRECTORATE: INTERNATIONAL TRADE FEBRUARY 2012. AGREEMENTS. WORLD TRADE ORGANISATION

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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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