UK deal to trade with African countries
BRITAIN has agreed to a deal with six southern African countries including South Africa, the continent’s most developed economy, to ensure continuity of trade conditions after Brexit, the British High Commission in South Africa said yesterday.
Political turmoil in the UK has generated uncertainty over how, when and even if the country will withdraw from the EU. Its current exit date is set for October 31.
But while the situation has left the future trade relationship between Britain and the EU in doubt, London has been working to minimise the impact of Brexit on its other trading partners.
Britain initialled an Economic Partnership Agreement with the Southern African Customs Union comprising South Africa, Botswana, Lesotho, Namibia, eSwatini and Mozambique on Tuesday.
“This trade agreement, once it is signed and takes effect, will allow businesses to keep trading after Brexit, without any additional barriers,” Britain’s international trade secretary Liz Truss said.
The agreement is still subject to final checks. But once signed formally, it will mirror the trade conditions the southern African nations currently enjoy with the EU.
Trade between Britain and the six countries was worth £9.7 billion pounds (R176.1bn) last year, with machinery and motor vehicles topping British exports to the region. The UK has imported some £547m worth of fruit and nuts.
Britain signed trade continuity agreements with countries worth £89bn of its external trade.
Prime Minister Boris Johnson said Britain must leave the EU next month, but parliament passed a law compelling him to ask Brussels to delay Brexit until 2020.