Business Day newspaper is reporting today that “Trade and Industry Minister Rob Davies has admitted that SA and other countries will miss the deadline to conclude an economic partnership agreement with the European Union by the end of the year.”
Failure to conclude a deal means that horticultural products, cut flowers, wine, oranges and fish products from SA could attract EU tariffs of between 8,5% and 24%.
“The EU is negotiating a new trade agreement with SA and other African regional blocs that will replace previous deals,”Business Day reported. “In 2000, SA signed a Trade and Development Co-operation Agreement with the EU allowing SA to trade up to 80% of its goods freely with the EU. It lapses this year.”
Good thing that my colleagues and I in the South African wine industry are looking to Asia as the future growth markets.