SADC should sweat the small stuff
Summary
A study of 50 companies in Southern Africa identifies a split in trade barriers between SACU members and non-members, with common constraints including customs delays, corruption, and infrastructure deficits. While large firms can manage these hurdles, the environment is not conducive to small-business growth. The report recommends the implementation of a SADC-wide business visa, uniform labour permit regulations, and improvements to weighbridge and border crossing systems to facilitate trade.
Key insights
- There is a distinct difference in the primary trade barriers experienced by Southern African Customs Union (SACU) members compared to non-member states. SACU states (South Africa, Botswana, Namibia, Lesotho, and Swaziland) rank customs regulations and delays, inefficient bureaucracy, and infrastructure deficits as their top three constraints, while non-member states prioritize infrastructure deficits, followed by customs delays, poor access to skilled labour, and finance.
- Specific national challenges include high levels of corruption in the Democratic Republic of Congo (DRC), which South African firms describe as making business nearly impossible, and significant non-tariff barriers in Zimbabwe, specifically roadblocks that necessitate bribes for truckers to avoid harassment.
- Non-tariff barriers related to weighbridges cause significant costs and confusion due to divergent readings across different locations and a reliance on cash payments, which may force truckers to abandon vehicles to find banks.
- The current regional environment is not conducive to the growth of small-business entrepreneurs because the regional infrastructure development master plan focuses on multimillion-dollar projects across 14 countries rather than the smaller regulatory barriers that disproportionately affect smaller firms.
- To improve the trading environment, businesses suggest the creation of a SADC-wide business visa, uniform regulations for foreign labour permits, a logistical map of ports and border posts, and a SADC e-platform for updates on tariff and excise duty changes.
Cite the original document
- APA
- South African Institute of International Affairs (2012). SADC should sweat the small stuff. https://saiia.org.za/research/sadc-should-sweat-the-small-stuff/
- Chicago
- South African Institute of International Affairs. SADC should sweat the small stuff. 2012. https://saiia.org.za/research/sadc-should-sweat-the-small-stuff/.
- Wikipedia
- {{cite report |author=South African Institute of International Affairs |title=SADC should sweat the small stuff |date=13 August 2012 |url=https://saiia.org.za/research/sadc-should-sweat-the-small-stuff/ |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{southafricaninstituteofinternationalaffairs2012sadc, author = {{South African Institute of International Affairs}}, title = {{SADC should sweat the small stuff}}, institution = {South African Institute of International Affairs}, year = {2012}, month = aug, url = {https://saiia.org.za/research/sadc-should-sweat-the-small-stuff/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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