DEPARTMENT: AGRICULTURE

AGRICULTURAL TRADE

NEGOTIATIONS

AGRICULTURAL TRADE

NEGOTIATIONS

GERDA VAN DIJK

SENIOR MANAGER: INTERNATIONAL TRADE

PARLIAMENTARY COMMITTEE FOR AGRICULTURE

22 FEBRUARY 2005

RSA EXPORTS 2003RSA EXPORTS 2003

EU1543%

SADC-1421%

USA4%

DEVELOPED 11%

DEVELOPING AND LEAST DEVELOPED21%

RSA IMPORTS 2003RSA IMPORTS 2003

-EU-15- 23%

Argentina 11%

-SADC-14- 9%

United States 8%

Brazil 7%

China 6%

Thailand 6%

Malaysia 4%

Australia 4%

Zimbabw e 4%

India 4%

Indonesia 4%

Other10%

DEPARTMENT: AGRICULTURE

ExportsExports

Processed and Primary Exports & Percentage of

the Value of Agriculture Production

0

5

10

15

20

25

30

35

40

45

50

Perc

enta

ge o

f pr

oduc

tion

valu

e

0

2

4

6

8

10

12

14

16

18

20

Expo

rt V

alue

R b

il

Primary exports Processed exports Exports as % of Total prod value

DEPARTMENT: AGRICULTURE

ExportsExports

EXPORTS TO REGIONS

1%

61%

22%

5%2%

8%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

1988 2001

Americas mainly USA (8%)

SADC (19%)

Rest of Africa (6%)

Middle East (6%)

Asia & Pacifi c (20%)

European Union (38%)

Eastern Europe & Central Asia (3%)

DEPARTMENT: AGRICULTURE

ImportsImports

Spices, coff ee &

tea

4%

Wool

4%

Miscellaneous f ood

5%

Tobacco

5%Meat

6%

Beverages

8%

Animal f eed, f ood

waste

11%

Fats & oils

14%

Cereals

15%Others

28%

DEPARTMENT: AGRICULTURE

SA AGRICULTURAL TRADE STRATEGYSA AGRICULTURAL TRADE STRATEGY

Unfair competition, consumer concerns, IP, traceability, SPS and technical standards, animal welfare, environment

Less government intervention Effective market intelligence Value-added exports No free trade in subsidised products US, Middle East and Far East target markets Doha outcome favourable to Africa Improved transport infrastructure Harmonisation of regional SPS and technical standards Effective participation & alliances

DEPARTMENT: AGRICULTURE

DEVELOPING TRADE NEGOTIATING POSITIONSDEVELOPING TRADE NEGOTIATING POSITIONS

CLEAR OBJECTIVES INFORMATION & RESEARCHRECONNAISSANCE VISITSCONSULTATION WITH SOCIAL PARTNERS (ATF)CONSULTATION WITH SACU PARTNERS

DEPARTMENT: AGRICULTURE

STRUCTURES FOR CONSULTATIONSTRUCTURES FOR CONSULTATION

AGRICULTURAL TRADE FORUM (ATF)Forum for discussionChannel of communicationGathering of informationTesting of negotiating positionsStakeholdersConfidential basis

NEDLAC – ATF RECOGNIZED AS AGRICULTURAL CONSULTATION FORUM

INTERDEPARTMENTAL MEETINGS - PERMANENT TRADE FORUM

IRPS CLUSTER SACU NEGOTIATING FORUM

DEPARTMENT: AGRICULTURE

AGRICULTURAL TRADE FORUMAGRICULTURAL TRADE FORUM

Developing farming sectorCommercial farming sectorProcessors of agricultural productsTrade unions – farm workersTrade unions – processing industryConsumersOrganised AgricultureGovernment (DoA, DTI, DFA, PDAs)

DEPARTMENT: AGRICULTURE

SOUTHERN AFRICAN CUSTOMS UNION (SACU)SOUTHERN AFRICAN CUSTOMS UNION (SACU)

CAME INTO OPERATION 15 JULY 2004 SECRETARIAT - NAMIBIA EXECUTIVE SECRETARY INSTITUTIONAL ARRANGEMENTS

• COUNCIL OF MINISTERS

• SACU COMMISSION

• LIAISON COMMITTEES

• SACU TARIFF BOARD

• NEGOTIATION FORUM ANNEXES TO AGREEMENT

• TARIFF PROCEDURES

• COMPETITION POLICY

DEPARTMENT: AGRICULTURE

SOUTHERN AFRICAN DEVELOPMENT COMMUNITY (SADC)SOUTHERN AFRICAN DEVELOPMENT COMMUNITY (SADC)

SACU – IMPLEMENTED TRADE PROTOCOL CERTAIN MEMBERS BEHIND ON IMPLEMENTATION REVIEW OF THE SADC TRADE PROTOCOL

• REPORT ON REVIEW – MEMBERS TO COMMENT

• ELIMINATION OF NON TARIFF BARRIERS SADC GROUPING – ECONOMIC PARTNERSHIP AGREEMENTS

(EPAs)

DEPARTMENT: AGRICULTURE

SA/EU TRADE DEVELOPMENT AND COOPERATION AGREEMENT (TDCA)SA/EU TRADE DEVELOPMENT AND COOPERATION AGREEMENT (TDCA)

IMPLEMENTED 1 JANUARY 2000 REVIEW OF THE TDCA

• INCREASED MARKET ACCESS

• DOMESTIC SUPPORT INPUTS RECEIVED FROM AGRICULTURE SECTOR DoA DEVELOPING POSITION FOR REVIEW IMPLEMENTATION OF DEVELOPMENT PART OF AGREEMENT

• DISCUSSIONS IN DoA ICC ENLARGEMENT OF EU – EVALUATED (QUOTAS ADJUSTED)

DEPARTMENT: AGRICULTURE

SACU/EFTA FREE TRADE AGREEMENT NEGOTIATIONSSACU/EFTA FREE TRADE AGREEMENT NEGOTIATIONS

TARGET DATE FOR FINALIZATION – EARLY 2005 HARMONIZATION OF EU/EFTA TRADE RELATIONS IN PROCESS OF EVALUATING OFFENSIVE REQUESTS AND

DEFENSIVE OFFERS NO PREFERENTIAL ACCESS FOR SUBSIDISED PRODUCTS DISCUSSION ON TEXT SECOND GENERATION ISSUES e.g. GOVERNMENT

PROCUREMENT, COMPETITION – TAKEN OFF AGENDA SWITZERLAND INSISTING ON DISCUSSING INTELLECTUAL

PROPERTY

DEPARTMENT: AGRICULTURE

SACU/MERCOSUR NEGOTIATIONSSACU/MERCOSUR NEGOTIATIONS

FIXED PREFERENCES AGREEMENT CONCLUDED LIMITED AGRICULTURAL LINES INCLUDED NEGOTIATIONS NEED TO BE CONCLUDED ON SPS NEGOTIATIONS TO BE CONCLUDED ON RULES OF ORIGIN

DEPARTMENT: AGRICULTURE

SACU/USA FREE TRADE NEGOTIATIONSSACU/USA FREE TRADE NEGOTIATIONS

NEGOTIATIONS IN LIMBO BOTH PARTIES COMMITTED TO FINALIZE A FTA PROPOSAL BY SACU TO DISCONTINUE NEGOTIATION OF

SECOND GENERATION ISSUES e.g.. INTELLECTUAL PROPERTY, LABOUR, ENVIRONMENT, GOVERNMENT PROCUREMENT

AWAITING USA RESPONDS ON PROPOSAL AND DATE FOR NEXT MEETING

DEFENSIVE OFFER DEVELOPED WITH INPUT FROM INDUSTRY AND CONSULTATION SACU MEMBERS

AGOA EXTENDED TO 2007

DEPARTMENT: AGRICULTURE

WTO MULTILATERAL TRADE NEGOTIATIONSWTO MULTILATERAL TRADE NEGOTIATIONS

FRAMEWORK FOR FURTHER REFORM AGREED 31 JULY 2004 NEGOTIATIONS MOVING FROM FRAMEWORK TO MODALITIES

CURRENTLY UNDERWAY MODALITIES TO BE AGREED BY MINISTERIAL MEETING END

2005 IN HONG KONG FRAMEWORK AGREEMENT – ACCOMMODATE SOUTH

AFRICA’S OBJECTIVES

• ELIMINATION OF ALL FORMS OF EXPORT SUBSIDIES

• SUBSTANTIAL REDUCTION OF DOMESTIC SUPPORT

• INCREASED MARKET ACCESS

• PROVIDE SPECIAL AND DIFFERENTIAL TREATMENT FOR DEVELOPING COUNTRIES

DEPARTMENT: AGRICULTURE

NEGOTIATING AGENDA 2005/06NEGOTIATING AGENDA 2005/06

SADC REVIEWSACU IMPLEMENTATIONSACU/USSACU/EFTASACU/INDIASACU/CHINASACU/ AN AFRICAN COUNTRYAFRICA