19 Aug 2024

Intra-regional trade stands at a low of about 23 per cent, signifying that SADC member states are trading more with the rest of the world than they do amongst themselves.

SADC Executive Secretary Mr Elias Magosi made this observation when welcoming delegates at the 44th Ordinary Summit of SADC Heads of State and Government in Harare, Zimbabwe over the weekend.

Mr Magosi said one of the culprits driving these low levels of intra-regional trade was the usual non-tariff barriers.

“Despite zero import duty on 85 per cent of products traded among SADC Member States, intra SADC importers and exporters continue to encounter new and longstanding unresolved non-tariff barriers.

It is therefore imperative to rededicate our collective efforts to implement measures to reduce these barriers and promote intra-regional cooperation and integration.

The benefits of an enlarged regional market to the SADC economy and citizens cannot be overemphasised,” he said.

He said the collective market of 389 million people and a combined Gross Domestic Product (GDP) of US$841 billion dollars provided an enormous potential for trade and investment opportunities as well as economic growth.

Mr Magosi said in a quest to facilitate enhanced intra-regional trade within the SADC community, the secretariat was compiling information to produce a list of the top 10 exports and imports of SADC member states and on what the region traded with the rest of the world.

He said this would be used to develop strategic interventions and actions to improve access to markets within SADC and facilitate improved intra-regional trade within the region.

As part of the ongoing efforts to expand markets beyond the SADC region, Mr Magosi said the agreement establishing the Tripartite Free Trade Area among the common market for Eastern and Southern Africa (COMESA), the East African Community (EAC), and SADC entered into force last month.

“This paved the way for the member and partner states of the Tripartite to access a larger market of 26 countries, with a population of about 700 million, and a GDP of US$1 trillion.

As the chairperson of the Tripartite Task Force, I have already notified all the Tripartite member and partner states about this positive development, which is a key milestone in the promotion of intra-African trade and enhancement of economic integration in the Tripartite area” added Mr Magosi.

On peace and security, he said the SADC region continued to stand out as a beacon of peace, security and stability in the continent notwithstanding the security challenges in the Eastern part of the Democratic Republic of Congo (DRC).

He said the region remained resolute towards finding lasting peace and security in the DRC. Regarding the security situation in Mozambique and following the deployment of the SADC Mission in Mozambique (SAMIM) since July 2021, Mr Magosi reported that the mission was successfully concluded in July this year.

He highlighted that the 2023/24 rainfall season had been a challenging one with most parts of the region experiencing the negative effects of the El Niño phenomenon characterised by a late onset of rains, extended mid-season dry spells and extreme high temperatures.

He said as a result of the El Niño an estimated 67.7 million people in the region representing more than 17 per cent of the regional population had been negatively affected.

“We are equally grateful to the chairperson for launching the SADC Regional Humanitarian Appeal amounting to at least U$5.5 billion, to support the humanitarian needs and disaster response recovery of the affected population,” he said.

Mr Magosi said with the increased scope of the SADC agenda the region required adequate financial resources to implement interventions and programmes outlined in the SADC Regional Indicative Strategic Development Plan (RISDP) 2020-2030.

He said this would enable SADC to achieve its collective aspirations of a peaceful, inclusive, competitive, middle-to-high income industrialised region as envisioned in its Vision 2050.

Meanwhile, during the signing of the legal instruments by SADC Heads of State, His Excellency President Dr Mokgweetsi Eric Keabetswe Masisi put to pen the SADC Protocol on Employment and Labour.

The newly adopted protocol provided for establishment of strategic regional cooperation on labour and employment matters to facilitate decent work. ENDS