FREE TRADE BETWEEN SOUTH AFRICA AND THE EUROPEAN UNION

This study summarizes the findings of the technical assistance provided jointly by UNCTAD and the Trade and Industrial Policy Secretariat (TIPS) to the Department of Trade and Industry of South Africa during its negotiations with the European Union for a Free Trade Area (FTA) Agreement. The technical assistance programme involved preparing and keeping up to date a complete data set of South African-European Union trade and tariffs as well as the negotiating proposals in digital format at the tariff line level. This effort was completed by the customization of the SMART (Software on Market Analysis and Restrictions on Trade) simulation model for the specific purpose of the negotiations. This allowed for the simulation of the impact of the proposed FTA Agreement on bilateral trade flows as well as on trade with other commercial partners.