Regional Seminar on EU- - Regional Seminar on EU SADC EPA SADC - - PowerPoint PPT Presentation

Regional Seminar on EU Regional Seminar on EU-

• SADC EPA

SADC EPA

South Africa and Tariff Alignment South Africa and Tariff Alignment

Catherine Grant, SAIIA Catherine Grant, SAIIA

Why Tariff Alignment? Why Tariff Alignment?

• South Africa and EU Trade, Development

South Africa and EU Trade, Development and Cooperation Agreement (TDCA) and Cooperation Agreement (TDCA)

• Interim EPA signed by Botswana, Lesotho,

Interim EPA signed by Botswana, Lesotho, Mozambique and Swaziland (initialled by Mozambique and Swaziland (initialled by Angola and Namibia) Angola and Namibia)

• Opportunity to restore integrity of SACU

Opportunity to restore integrity of SACU common external tariff common external tariff

• Administrative difficulties in implementing

Administrative difficulties in implementing IEPA if tariff not aligned for whole of SACU IEPA if tariff not aligned for whole of SACU

TDCA vs. IEPA TDCA vs. IEPA

• Alignment of TDCA market access for EU

Alignment of TDCA market access for EU (trade chapter) and IEPA offer from (trade chapter) and IEPA offer from Botswana, Lesotho and Swaziland (IEPA Botswana, Lesotho and Swaziland (IEPA Annex 3) Annex 3)

• IEPA based on TDCA

IEPA based on TDCA

• Key difference in areas of sensitive

Key difference in areas of sensitive products products

• TDCA due for full implementation by 2012

TDCA due for full implementation by 2012

• 86% of EU products will enter SA duty

86% of EU products will enter SA duty-

• free

free

Tariff Differences Tariff Differences

• Difference of 54 product lines between

Difference of 54 product lines between TDCA and IEPA TDCA and IEPA

• Eggs, honey, juice, beer, soap, candles,

Eggs, honey, juice, beer, soap, candles, paper [including toilet paper], slide paper [including toilet paper], slide fasteners and cotton fasteners and cotton

• Extended phase

Extended phase-

• downs for some to 2015

downs for some to 2015

• Few lines to 2018

Few lines to 2018 – – gingerbread, waffles, gingerbread, waffles, rusks rusks

Additional Market Access Additional Market Access

• TDCA Review provided scope for EU to request

TDCA Review provided scope for EU to request additional market access to SA additional market access to SA

• Agreement reached on fish in July 2010

Agreement reached on fish in July 2010

• Small progress made on NAMA

Small progress made on NAMA – – stoppers, stoppers, wood and paper products reclassified wood and paper products reclassified

• Discussion ongoing on clothing, textiles and

Discussion ongoing on clothing, textiles and footwear (12 six digit lines requested footwear (12 six digit lines requested by EU) by EU)

• Agriculture still most sensitive

Agriculture still most sensitive – – no agreement no agreement

• n process (e.g. simultaneous exchange of
• n process (e.g. simultaneous exchange of

requests and offers, step by step or formula requests and offers, step by step or formula cuts) cuts)