Trade Facilitation

Africa's economy is growing faster than any other continent. With foreign investment at an all-time high, financiers are now scouring the continent for investment opportunities, and Africa is often described as the last global frontier. While it is true that barriers to trade remain and growth is mainly due to a rise in commodity prices, at five percent, Africa's economy is growing faster than that of any other continent.

In September and October, SATH undertook Border Operations Assessments (BOA) at the Mamuno/Trans-Kalahari (Botswana/Namibia) and Kasumbalesa/Kasumbalesa (Zambia/ DRC) borders on the Trans Kalahari and Dar es Salaam Transport Corridors respectively. BOAs constitute the initial phase of SATH's Integrated Border Management (IBM) program: a program that seeks to support SADC in its efforts to reduce the high cost of transport (of goods) in the region.

Over the next eight months SATH will carry out an update of the Lesotho Diagnostic Trade and Integration Study (DTIS) at the request of the Ministry of Trade, Industry, Cooperatives and Marketing. A DTIS evaluates internal and external constraints on a country's integration into the world economy, and recommends areas where technical assistance and policy actions can help the country overcome these barriers.

Facilitating deeper discussion on the impact of non-tariff barriers (NTBs), internal as well as cross-border, on intra-SADC trade was the subject of two workshops held in Gaborone and Francistown, this month. The workshops, co-funded by the USAID Southern Africa Trade Hub (SATH) and Trade Mark Southern Africa (TMSA), were requested by the Government of Botswana, through the Ministry of Trade & Industry.

From its inception, the Directorate on Corruption and Economic Crime (DCEC) understood that collaboration with the private sector is critical in fostering an anti-corruption culture within Botswana's business community. To this effect, the DCEC worked closely with Botswana Confederation of Commerce, Industry and Manpower (BOCCIM) to develop a voluntary Business Ethics Code of Conduct for the private sector.

At the request of the Ministry of Trade and Industry, SATH trained 49 public/private sector participants in Dar es Salaam, Tanzania, from August 24-26. The three-day training program covered the African Growth and Opportunities Act (AGOA), Non-Tariff Barriers (NTBs); and Rules of Origin (ROO). Deliberations on NTBs and AGOA attracted a lot of interest and debate, especially during group work sessions.

At the request of SADC Secretariat, and as part of SATH's work in facilitating the implementation of the SADC Protocol on Trade, SATH conducted an audit on the status of implementation of various regional and international customs instruments and conventions by SADC Customs Administrations.

The audit examined various areas in the field of customs, and used questionnaires that covered all the approved instruments procedures, forms, charges and other customs activities, covering 13 of the 15 SADC member states.

Efficient border management requires effective coordination between customs services and all government and private sector agencies with customs-related responsibilities.

Working with the Malawi Ministry of Trade in Industry, SATH held workshops in Blantyre as well as at the Songwe and Mwanza border posts to establish Joint Border Committees (JBCs) and come up with preliminary road maps for their activities. At Mwanza the Clearing and Freight Forwarding Agents' Association will head up the JBC and at Songwe it will be the Malawi Revenue Authority (MRA). SATH will return in November for follow-up workshops and to flesh out the JBC work plans.