Post-Brexit trade agreement under the spotlight
23 Sep 2019
The post-Brexit trade agreement between South Africa, Botswana, Lesotho, Namibia, Eswatini and Mozambique (SACUM) and the United Kingdom (UK) will ensure certainty and continuity in trade and investment relations.
The minister of trade and industry, Ebrahim Patel, declared this in parliament during a briefing on Brexit and its impact on South Africa’s economy.
The SACU+Mozambique and the UK have decided to roll-over the current SADC-EU Economic Partnership Agreement (EPA) into a standalone trade agreement with the UK.
The new EPA will come into effect in the event that the UK leaves the EU on 31 October 2019.
It will govern bilateral trade between the six SACUM countries and the UK.
The minister pointed out the new EPA will support regional value chains as component-products made in the EU and used in UK products will qualify for preferential access to South Africa and SA exports to Britain that use components from any EU country and SACUM country will also have preferential access.(This article is provided for informational purposes only and not for the purpose of providing legal advice. For more information on the topic, please contact the author/s or the relevant provider.)