SADC Trade in Services: Negotiating the National Interest

The document examines the role of services in SADC economies, noting that while the sector is a primary driver of GDP and employment, it is often characterized by inefficiency and high costs. It compares two primary regulatory frameworks: the EU-SADC EPA, which is described as more ambitious and driven by EU interests, and the SADC Protocol on Trade in Services, which is viewed as less ambitious and unlikely to push member states beyond existing WTO commitments. The authors argue that external agreements may provide the necessary stimulus for domestic regulatory reform where political or capacity constraints hinder unilateral action.

• The service sector's contribution to GDP varies significantly across SADC, with high-income tourist destinations like the Seychelles and Mauritius showing high contributions, while less-developed countries such as Tanzania, the Democratic Republic of Congo, Angola, and Zambia contribute less than 40% to GDP.
• SADC countries are generally net importers of commercial services, with South Africa and Angola accounting for 70% of the region's service imports. South Africa is the largest exporter, providing 56% of total commercial services exported in SADC in 2009.
• Telecommunications in SADC suffer from low penetration and high costs; a 2008 study found dial-up Internet prices were 88.6% higher and mobile telephony prices were 25.2% higher than a comparable peer group.
• Access to finance is a critical barrier in the region, with five out of ten SADC countries in the 2011 WEF Africa Competitiveness Report ranking it as the single-biggest problem in doing business.
• Transport infrastructure in SADC is widely regarded as inadequate, with road and rail networks being particularly underdeveloped compared to air transport.
• The EU-SADC EPA is more ambitious than the SADC Protocol on Trade in Services and could force the adoption of regulatory best practices, particularly in telecommunications and financial services, though it is primarily driven by EU interests.
• The SADC Protocol on Trade in Services is considered less ambitious than the EPA and is unlikely to stretch member states beyond their current World Trade Organization General Agreement on Trade in Services (GATS) commitments.
• South Africa has expanded its service industry extensively across Africa, particularly in media, retail, and ICT, though many of these activities are conducted via FDI and are not recorded as services trade in national accounts.

APA

Stern, M., True, S., & Ramkolowan, Y. (2011). SADC Trade in Services: Negotiating the National Interest. South African Institute of International Affairs. https://saiia.org.za/wp-content/uploads/2011/09/Occasional-Paper-93.pdf

Chicago

Stern, Matthew, Sarah True, and Yash Ramkolowan. SADC Trade in Services: Negotiating the National Interest. South African Institute of International Affairs, 2011. https://saiia.org.za/wp-content/uploads/2011/09/Occasional-Paper-93.pdf.

Wikipedia

{{cite report |last1=Stern |first1=Matthew |last2=True |first2=Sarah |last3=Ramkolowan |first3=Yash |title=SADC Trade in Services: Negotiating the National Interest |publisher=South African Institute of International Affairs |date=September 2011 |url=https://saiia.org.za/wp-content/uploads/2011/09/Occasional-Paper-93.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{stern2011sadc, author = {Stern, Matthew and True, Sarah and Ramkolowan, Yash}, title = {{SADC Trade in Services: Negotiating the National Interest}}, institution = {South African Institute of International Affairs}, year = {2011}, month = sep, url = {https://saiia.org.za/wp-content/uploads/2011/09/Occasional-Paper-93.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }