2016-08-04
The Minister of Trade and Industry, Dr Rob Davies met with his Zimbabwean counterpart, Mike Bimha. The consultation between the two Ministers was an opportunity to discuss the trade restrictive measures that Zimbabwe has introduced since 2011. The meeting follows previous bilateral engagements that the two Ministers held in recent months, and it was aimed at finding a solution that is consistent with Zimbabwe’s trade obligations under the Southern African Development Community (SADC) Trade Protocol.
Minister Bimha underscored the importance of South Africa as one of Zimbabwe’s main trading partners and agreed to work with South Africa to address its concerns. He emphasised that the measures are aimed at addressing an import surge and to protect its industry and are due to balance of payment challenges. Minister Davies reiterated grave concerns about the continued introduction of trade restrictive measures on South African exports destined to Zimbabwe. He expressed support for Zimbabwe’s industrial development objectives, and also expressed understanding for the balance of payments challenges that Zimbabwe is experiencing. The two Ministers agreed that Zimbabwe will respond to South Africa’s request that where there is no productive capacity in Zimbabwe, such products should not be subjected to trade restrictive measures. Zimbabwe committed to provide a response in preparation for the extra-ordinary Committee of Ministers meeting scheduled for 24 August 2016. Furthermore, Minister Bimha indicated that Zimbabwe will apply for a derogation and will provide greater clarity on the duration of these measures.
Minister Davies reminded his Zimbabwean counterpart that the integrity of the SADC Trade Protocol is placed at risk by introduction of a range of trade restrictive measures that limit intra-SADC trade, but have the effect of opening the Zimbabwean market to non-SADC imports into Zimbabwe.
South Africa hopes that the government of Zimbabwe will respond positively to the concerns raised by South Africa to ensure that the Zimbabwean market remains open to South Africa while at the same time being sensitive to Zimbabwe’s industrial development and balance of payments challenges.
Enquiries:
Sidwell Medupe-Departmental Spokesperson
Tel: (012) 394 1650
Mobile: 079 492 1774
E-mail: MSMedupe@thedti.gov.za
Issued by: The Department of Trade and Industry
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