www . refrigerationandaircon . co . za RACA Journal I April 2024 11
Events and Exhibitions
However , challenges included limited resources and competition with national programmes or projects in member states .
Specifically regarding trade facilitation , Sakr mentioned the development , review and adoption of trade and customs instruments by SADC structures . These include the SADC electronic certificate of origin framework and the SADC trusted economic operators programme , aimed at streamlining customs processes and minimising border congestion . Additionally , Sakr discussed the establishment of the SADC Customs to Business Forum under the SADC Business Council , which aims to involve the private sector in the development and implementation of customs-related instruments from the outset .
“ It ' s evident that significant strides have been made , especially with the adoption of key protocols and the mobilisation of private sector engagement . The focus on creating a businessfriendly environment and addressing legal frameworks demonstrates a commitment to fostering sustainable trade and investment across the continent ,” he said .
Mention of the Pan African Payment and Settlement system and the adjustment facility highlights the importance of developing infrastructure and financial mechanisms to support trade facilitation and economic development . Additionally , the guided trade initiative and participation of countries like South Africa underscore the collective effort to pilot effective strategies for AfCFTA implementation .
MAURITIUS Narrainen of the Mauritius chamber of commerce and industry head of advocacy proposed that in the landscape of international trade agreements , Mauritius occupies a unique vantage point , serving as a hub for various regional and global trade pacts . From the Southern African Development Community ( SADC ) to the Common Market for Eastern and Southern Africa ( COMESA ), and from AfCFTA to the World Trade Organisation ( WTO ), Mauritius plays a key role in facilitating trade across borders . However , not all agreements yield the same outcomes , he noted : “ Some flourish , while others falter .”
When dissecting the anatomy of successful trade agreements versus those that fall short , he argued that it is imperative to delve into the underlying factors that contribute to their efficacy or lack thereof . “ At MCCI , we have had the privilege of observing and participating in trade negotiations firsthand , providing us with valuable insights into what makes trade agreements work and what hinders their effectiveness . “ First and foremost , successful trade agreements are built on a foundation of robust consultations and stakeholder engagement . Prior to entering into negotiations , it is crucial to solicit input from diverse stakeholders , including businesses , to ensure that their interests are adequately represented . Market access provisions lie at the heart of any trade agreement .
For an agreement to be effective , it must offer favourable market access for key export products while also safeguarding the interests of domestic industries . Strike the right balance between promoting exports and protecting local industries is essential for sustainable economic growth ,” says Narrainen .
Furthermore , rules of origin play an important role in ensuring the impact of trade agreements . By establishing clear rules of origin that are conducive to local operators , countries can foster industrialisation and economic diversification . This necessitates extensive consultations with the private sector to ascertain their needs and preferences .
“ However , the efficacy of trade agreements extends beyond their inception . Implementation is where the rubber meets the road . Merely signing agreements is not enough : governments must demonstrate a firm commitment to translating policy into action . This entails developing comprehensive action plans , building capacity within the private sector , and establishing efficient platforms for dispute resolution . An efficient National Trade Portal ( NTP ) can streamline trade procedures and minimise bureaucratic hurdles , thereby enhancing the ease of doing business .
“ Yet , even the most well-crafted trade agreements can falter in the face of extraneous challenges . Connectivity constraints , inadequate infrastructure , and lack of digitalisation pose significant impediments to trade facilitation . Addressing these underlying issues requires concerted efforts at the national level , with each country taking proactive steps to improve its trade ecosystem .”
Looking ahead , as we approach the 10-year implementation anniversary of the industrialisation strategy and roadmap adopted by African heads of state in 2015 , it is imperative to reflect on both the successes and challenges encountered thus far . While progress has been made in certain sectors , such as mining and climate change initiatives , formidable obstacles remain , particularly in pharmaceuticals where global supply chains present formidable hurdles .
While trade agreements provide a framework for economic co-operation and integration , their effectiveness hinges on a myriad of factors , including stakeholder engagement , robust implementation and addressing systemic challenges . By navigating these complexities with diligence and foresight , we can unlock the full potential of trade agreements to drive economic growth and prosperity in Africa . RACA
“ Implementation is where the rubber meets the road .”
www . refrigerationandaircon . co . za RACA Journal I April 2024 11