South African market access challenges in the European Union: a case of regulatory compliance and non-tariff measures
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Date
2023-03
Authors
Hlungwani, Khanimamba
Journal Title
Journal ISSN
Volume Title
Publisher
African Economic Research Consortium
Abstract
The World Trade Organization (WTO) was formed in 1995. Since then, trade liberalisation has
been on the agenda, resulting in diverse trade agreements and a subsequent decline in import
tariffs. With the decrease in import tariffs, trade is expected to increase. However, despite this
trend as well as a great increase in global trade since the 1990s, certain developing countries
still struggle to participate in global trade.
South Africa and the European Union (EU) trade agreements have existed since 2000. This is
through the Trade, Development and Cooperation Agreement (TDCA)—later replaced by the
Southern African Development Community-European Union Economic Partnership
Agreement (SADC-EU EPA) in 2016. The expected result of such agreements is an
improvement in trade relations and flows between the partners. Thus, it can be expected that
South Africa would export more orientated products to the EU.
South Africa became a net beef exporter in 2014. Trade flows for beef between South Africa
and the EU, however, reveal the opposite of what was expected. Beef exports from South Africa
to the EU have declined since the early 2000s. Trade patterns demonstrate that South Africa
increasingly traded with countries with which it had no formal trade agreements, such as in the
Middle East and East Asia. South African beef exports to the EU rapidly declined despite trade
liberalisation between the two trading partners and South Africa becoming a net beef exporter.
Thus, this research investigates South Africa’s market access challenges in the EU.