The European Union (EU) is currently negotiating a series of Economic Partnership Agreements (EPAs) with the 79 countries from the African, Caribbean and Pacific (ACP) region with the aim of promoting ACP-EU trade and ultimately contributing, through trade and investment, to sustainable development and poverty reduction. They are based on the principle of asymmetrical market opening, meaning that they provide a better access to the EU market for ACP partners. EPAs replace the previous market access regime of unilateral preferences for ACP countries.

On 10 June 2016, the EU and six countries of the Southern African Development Community (SADC) EPA Group – comprising Botswana, Lesotho, Namibia and Swaziland (BLNS), South Africa and Mozambique – signed an Economic Partnership Agreement (EPA), the first of its kind between the EU and an African region pursuing the objective of economic integration. The signature took place in Kasane, Botswana. Provisional implementation commenced on 10 October 2016 between the EU and South Africa and the BLNS. Following ratification of the Agreement by Mozambique in April 2017, the SADC EPA is now fully operational.

pdf SADC-EU Economic Partnership Agreement - signed 10 June 2016 (5.68 MB)

pdf EU-SADC Economic Partnership Agreement: Key advantages - June 2016 (153 KB)

The first meeting of the EU-SADC EPA Joint Council took place in Cape Town on 19 February 2019, just over two years after the start of the provisional application of the EU-SADC EPA. This was followed by the 6th meeting of the Trade and Development Committee on 19-20 February 2020 in Brussels, Belgium.

pdf Joint communiqué of the 1st Joint Council meeting of the EU-SADC Economic Partnership Agreement - 19 February 2019 (270 KB)

 

pdf Joint communiqué of the 6th Meeting of the EU-SADC EPA Trade and Development Committee - 20 February 2020 (60 KB)

The full text of the Agreement and its Annexes is available to download below.

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• SADC-EU Economic Partnership Agreement: Legal texts

  Background

  On 3 April 2014, Heads of State and Governments of Africa and of the European Union, gathered at the Fourth EU-Africa Summit, declared: "Our economies remain closely linked, and we will work to ensure that the growth of the one will help the other. We are also convinced that trade and investment and closer economic integration on each of our continents will accelerate that growth." While acknowledging the "valuable role" of development assistance, they called for "a fundamental shift from aid to trade and investment as agents of growth, jobs and poverty reduction." In this context, the EPA between the EU and the Southern African Development Community (SADC) EPA Group establishes a long-term and stable trade relationship between both Parties, in compliance with international trade rules.

  The negotiations on the EPA between the EU and Botswana, Lesotho, Mozambique, Namibia, South Africa and Swaziland (the SADC EPA Group) were concluded on 15 July 2014, after more than 10 years of negotiations. The Agreement was initialled on the same day in Pretoria by the Chief Negotiators, and was signed on 10 June 2016 in Kasane, Botswana.

  • EU-SADC EPA: Why it matters - Speech by Cecilia Malmström at the EU-SADC EPA signing ceremony, Kasane, Botswana - 10 June 2016

  • The Economic Impact of the SADC EPA Group-EU Economic Partnership Agreement - European Commission report, June 2016

  Following signature of the EPA in June 2016, the agreement was submitted for approval to the European Parliament, and for ratification in the Southern African countries and in the 28 EU Member States according to national ratification procedures. The European Parliament gave its consent on 14 September 2016.

  On 10 October 2016, the SADC EPA entered into provisional application between the EU and Botswana, Lesotho, Namibia, South Africa and Swaziland. Mozambique ratified the agreement on 28 April 2017, becoming the last piece of the SADC EPA puzzle to fall into place. The SADC EPA is the first regional EPA in Africa to be fully operational.

  The EU had earlier concluded negotiations for an EPA with Botswana, Lesotho, Mozambique, Namibia, South Africa and Swaziland on 15 July 2014, ending 10 years of negotiations. Although an Agreement was reached to replace the interim EPA signed by the EU and Botswana, Lesotho, Mozambique and Swaziland in June 2009, it was never ratified.

  The other six members of the SADC regional economic bloc – the Democratic Republic of the Congo, Madagascar, Malawi, Mauritius, Zambia and Zimbabwe – are negotiating EPAs with the EU as part of other regional groups, namely Central Africa or Eastern and Southern Africa. Angola remains an observer.

  • SADC-EU Economic Partnership Agreement (Consolidated text and Annexes) - September 2016

  • EU-SADC Economic Partnership Agreement - signed 10 June 2016

    • Annex I: EU regime for tariff phase down to EU tariff

    • Annex I: EU tariff schedule HS 2008 to 39 11 90 99

    • Annex I: EU tariff schedule HS 3912 to 64 02 99 98

    • Annex I: EU tariff schedule HS 6403 to 84 58 99 00

    • Annex I: EU tariff schedule HS 8459 to Part III on Treatment of BLMNS products by EU

    • Annex II: SACU regime for tariff phase down to SACU tariff

    • Annex II: SACU tariff schedule HS 3702 to 72 15 90

    • Annex II: SACU tariff schedule HS 72 16 to 99 99 00 20

    • Annex III: Mozambique regimes for tariff phase down to Mozambique

    • Annex IV, V, VI and VII and Protocol 1, 2, 3 and 4

  An earlier version of the SADC-EU EPA text, dated 23 October 2015, is available below:

  • Draft SADC-EU EPA Consolidated text and Annexes

• South Africa’s transition from the TDCA to the SADC EPA

  South Africa has enjoyed preferential market access to the EU under the Trade, Development and Cooperation Agreement (TDCA) since 1 January 2000. The TDCA established a free trade area that covered 90% of bilateral trade between the EU and South Africa. The liberalisation schedules were completed by 2012.

  With the provisional entry into force of the SADC-EU Economic Partnership Agreement, Articles contained in Titles II (Trade) and III (Trade-Related Issues) of the TDCA and its corresponding annexes and Protocols, with the exception of Article 31 (Maritime transport), have been repealed and the TDCA “Trade Chapter” has now been replaced by the SADC-EU EPA.

  The new market access provisions of the SADC-EU EPA for agricultural products came into effect for both the EU and South Africa on 1 November 2016.

  • South Africa’s agricultural trade: market access permits and export quotas for 2019

  • Trade, Development and Cooperation Agreement (TDCA) between the European Community and the Republic of South Africa - signed 11 October 1999

  • Repeal of TDCA – Government Gazette No. 40356, R.1290: Amendment of Customs and Excise Act, 1964, Schedule No. 10 (includes full EPA text except Protocol 1) - 21 October 2016

  • EU-South Africa End of Implementation Period (EIP) Report: Joint Submission by the Parties on TDCA to the WTO Committee on Regional Trade Agreements - 31 October 2016

  • South Africa’s transition from TDCA to EPA: Agricultural market access - November 2016

Implications of Brexit

On 23 June 2016, the United Kingdom voted to leave the European Union, after almost 44 years of membership. Brexit is due to happen on 29 March 2019 but there is no agreement yet on how the future relationship between the UK and the EU (the UK’s most important trading partner) will work. The nature of Brexit will have an impact on the detail of the UK’s future WTO membership and trade with third parties, including with African nations.

On 28 August 2018, British Prime Minister Theresa May confirmed plans to carry over the EU’s Economic Partnership Agreement with the Southern African Customs Union (SACU) and Mozambique once the EU’s deal no longer applies to the UK. A Joint Statement was subsequently issued following a meeting of the United Kingdom, SACU member states and Mozambique trade ministers on a future UK, SACU and Mozambique Economic Partnership Agreement (EPA).

South Africa-UK Business Forum: Speech by Prime Minister Theresa May - 28 Aug 2018

Joint statement on UK, SACU and Mozambique EPA - 29 Aug 2018

Research and analysis

tralac has been monitoring the SADC-EU EPA negotiations with keen interest. Several papers, briefs and policy notes have been published to encourage discussion and debate on key issues affecting the trade and regional integration agendas of countries in the southern African region.

pdf SADC-EU Economic Partnership Agreement: FAQs (442 KB)  - July 2018

pdf EU-SADC EPA booklet (4.51 MB)  - tralac and Wesgro, July 2018

Trade between the SADC EPA countries and the EU - July 2018

Infographic: Trade routes – goods trade between SADC and the EU - July 2018

Mozambique Trade Profile: SADC EPA infographic

A full list of related tralac Working Papers and Trade Briefs, as well as Discussions and Blogs, is available below.

• tralac Publications and Blogs

  • Simulating UK-Africa Trade Liberalisation: South Africa

    John Stuart - 30 Oct 2018

  • Exports from the Southern African Development Community to the European Union by mode of transportation: implications of Brexit

    Willemien Viljoen - 11 Oct 2018

  • BREXIT: Where does it stand and what are the options?

    Gerhard Erasmus - 12 Sep 2018

  • Brexit on Tour in Africa

    Trudi Hartzenberg and Gerhard Erasmus - 4 Sep 2018

  • SADC EPA Trade Defense Mechanisms

    Gerhard Erasmus - 30 July 2018

  • Exceptions in the SADC-EU Economic Partnership Agreement

    Gerhard Erasmus - 30 July 2018

  • The Settlement of Disputes under the SADC EPA

    Gerhard Erasmus - 30 July 2018

  • Is Brexit now in the Emergency Ward?

    Gerhard Erasmus - 30 July 2018

  • SADC EPA TRQ Utilisation Update and opportunities under SADC EPA

    Taku Fundira - 15 Mar 2018

  • Cumulation provisions in the SADC EPA

    Eckart Naumann - 25 Jan 2018

  • From the TDCA to the SADC-EU EPA – the significant changes

    Willemien Viljoen - 6 Dec 2017

  • Safeguard measures in the SADC-EU Economic Partnership Agreement

    Willemien Viljoen - 6 Dec 2017

  • Export opportunities for South African producers under the new market access conditions in the SADC-EU EPA

    Willemien Viljoen - 6 Dec 2017

  • South African poultry and the SADC-EU EPA

    Willemien Viljoen - 18 Oct 2017

  • South African citrus exports under the SADC-EU EPA

    Willemien Viljoen - 18 Oct 2017

  • Institutional architecture of the EU-SADC Economic Partnership Agreement

    Talkmore Chidede - 31 Aug 2017

  • Overview of South Africa’s wine opportunities under the EU-SADC Economic Partnership Agreement

    Talkmore Chidede - 26 Jul 2017

  • Recognition and protection of geographical indications in the EU-SADC Economic Partnership Agreement

    Talkmore Chidede - 29 Jun 2017

  • Implementing the SADC EPA – challenges and impact

    Taku Fundira - 1 Mar 2017

  • ITAC’s agricultural safeguard investigation into chicken imports from the EU and the transition from the TDCA to the EU-SADC EPA

    William Mwanza - 24 Feb 2016

  • The Conclusion of the SADC EPA

    Gerhard Erasmus - 23 Jul 2014

tralac participated in the SADC-EU EPA High-Level Civil Society Forum in Johannesburg, South Africa on 16 October 2017. The Forum aimed to inform civil society on the EPA and its provisional implementation, focusing particularly on the sustainable development objectives and to identify the role of civil society in implementing and evaluating the impact of the EPA.

pdf SADC-EU EPA Civil Society Forum: Event Report (728 KB)  - October 2017

pdf The EU-SADC EPA: Monitoring of the Agreement and its impact - Speech by EU Trade Commissioner Cecilia Malmström (118 KB)