India Resumes Long-Pending Trade Pact Talks With Southern African Customs Union

New Delhi, Mar 11 (KNN) India is confident about progress in the latest round of talks to finalise a Preferential Trade Agreement (PTA) with the Southern African Customs Union (SACU), India’s envoy to South Africa said.

Prabhat Kumar, India’s High Commissioner to South Africa, made the remarks at the 2nd annual India–South Africa Business Conclave in Pretoria, attended by industry leaders, academics and policymakers, PTI reported.

The proposed agreement is expected to expand market access for Indian goods in South Africa, Namibia, Lesotho, Eswatini and Botswana.

Kumar said negotiations to revive the PTA aim to reduce trade barriers, improve market access and strengthen economic ties between India and SACU countries. 

“Trade diversification is an important mantra for India’s economic relationships. This is evident from the different FTA’s that we have signed with the European Union, UK, UAE and Australia,” he added.

Long-Pending Negotiations

Talks on a trade arrangement between India and the Southern African Customs Union (SACU) began in 2003 with a Joint Study Group and meetings in Pretoria, Delhi and Windhoek.

Negotiations slowed after 2010 over tariff concessions—India sought access for textiles and clothing, while SACU members, particularly South Africa, sought greater access for agricultural products and minerals.

Discussions resumed after the COVID-19 pandemic through virtual meetings to review progress and accelerate negotiations.

Urging local business leaders to explore the opportunities that have opened up in India in recent years, Kumar said, “India has some 150 companies that use South Africa as a base for their Africa operations and have made significant investments here. A number of South African companies have also invested in India.”

He also invited delegates to participate in the upcoming India–Africa Forum Summit in New Delhi later this year, which will bring together African heads of state to advance development cooperation between India and the continent.

(KNN Bureau)