What Role for South Africa in EPAs and Regional Economic Integration?
Summary
This research paper examines the potential for European Union (EU) Economic Partnership Agreements (EPAs) to disrupt regional economic integration in Southern Africa, specifically within the Southern African Development Community (SADC) and the Southern African Customs Union (SACU). The authors argue that the requirement for 'reciprocity'—where ACP states remove tariffs on EU imports—risks fracturing regional blocs because member states often have incompatible lists of sensitive products they wish to protect. The paper specifically analyzes the tension between the existing Trade, Development and Co-operation Agreement (TDCA) between the EU and South Africa and the needs of the BLNS countries (Botswana, Lesotho, Namibia, and Swaziland), suggesting that SACU expansion could be a strategic alternative to mitigate these stresses.
Key insights
- The EU's insistence on Economic Partnership Agreements (EPAs) creates a significant risk of fracturing the Southern African Development Community (SADC) due to the requirement of 'reciprocity', where ACP states must remove tariffs on some EU imports.
- Research across sub-Saharan African regions indicates very little natural overlap in the products countries wish to exclude from liberalisation. In most regions, over half of a country's exclusion basket is absent from the lists of its regional partners, with West Africa reaching 92 percent.
- For the BLNS countries (Botswana, Lesotho, Namibia, and Swaziland), the majority of products they would likely wish to exclude from an EPA are already being liberalised under the Trade, Development and Co-operation Agreement (TDCA). For example, in Botswana, only 15 out of 225 potential exclusion products remain completely protected under the TDCA.
- The authors suggest that the TDCA could be 'retro-fitted' to allow BLNS countries to maintain specific preferences in the EU market that South Africa does not have, particularly for products like sugar, beef, and citrus, as logistical systems to keep these exports separate already exist.
- Expanding the Southern African Customs Union (SACU), potentially to include Mozambique, is proposed as a way to neutralise the anti-regionalism bias of EPAs. Preliminary research suggests such expansion could have positive revenue effects for existing members and modest negative effects in some cases.
Cite the original document
- APA
- Stevens, C., & Kennan, J. (2005). What Role for South Africa in EPAs and Regional Economic Integration? South African Institute of International Affairs. https://saiia.org.za/wp-content/uploads/2008/04/SAIIA-Nov-2005.pdf
- Chicago
- Stevens, Christopher, and Jane Kennan. What Role for South Africa in EPAs and Regional Economic Integration? South African Institute of International Affairs, 2005. https://saiia.org.za/wp-content/uploads/2008/04/SAIIA-Nov-2005.pdf.
- Wikipedia
- {{cite report |last1=Stevens |first1=Christopher |last2=Kennan |first2=Jane |title=What Role for South Africa in EPAs and Regional Economic Integration? |publisher=South African Institute of International Affairs |date=November 2005 |url=https://saiia.org.za/wp-content/uploads/2008/04/SAIIA-Nov-2005.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{stevens2005what, author = {Stevens, Christopher and Kennan, Jane}, title = {{What Role for South Africa in EPAs and Regional Economic Integration?}}, institution = {South African Institute of International Affairs}, year = {2005}, month = nov, url = {https://saiia.org.za/wp-content/uploads/2008/04/SAIIA-Nov-2005.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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