An assessment of the Trade and Development Cooperation AgreementPosted on Wednesday, February 13th, 2013 in Highlights, Working Papers
Authors: Ron Sandrey and Tania Gill
The Trade and Development Cooperation Agreement (TDCA) between South Africa and the European Union (EU) is an important trade agreement for South Africa, as it enables preferential access to its largest market for many product lines. The Department of Trade and Industry (dti) reports that it was signed in October 1999 after five years of negotiations. It was provisionally but only partially applied from 1 January 2000 and fully entered into force on 1 May 2004 albeit with phasing periods. The TDCA had several objectives that included strengthening dialogue between the parties, supporting South Africa in its economic and social transition process, promoting regional cooperation and the country’s economic integration in southern Africa and in the world economy, and expanding and liberalising trade in goods, services and capital between the parties. It is the trade objective that we concentrate upon here, with an emphasis upon the agricultural trade.
While it is natural that South Africa should be focusing upon the opportunities it has been afforded through its relationship with the newly-emerging BRIC (Brazil, Russia, India and China) countries it is crucial to look back and assess the TDCA against the prospects of an enhanced trading and economic relationship with the BRICs. This is especially so in the present policy environment where the Economic Partnership Agreements (EPAs) between the EU and African countries are being vigorously negotiated.
- Download: S13WP032013 Sandrey Gill Assessment of TDCA 20130213.pdf
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