He added that the problem was that, although there are suppliers of certain substances in the region, they are not sufficient to meet the requirements of all producers in quantities and substances. The loss of the bilateral agreement would therefore severely limit the export opportunities of several garment manufacturers to South Africa. Learn more about Zimbabwe`s bilateral trade agreements PRUDENCE: Before entering into trade with a foreign customer, make sure you understand the agreements that govern trade between Zimbabwe and the target market. In 2016, Zimbabwe banned a series of South African imports under Status 64. Thus, while Sadc`s trade protocol is comprehensive for South Africa, Zimbabwe could lose preferential access to Pretoria. The bilateral trade agreement favours Zimbabwean exports of clothing and textiles due to the relaxation of the rules of origin for “uniform transformation” from the “double transformation” of Sadc`s trade protocol on trade. The impact on the industry will be considerable, as South Africa has always opposed the liberalisation of the rules of origin of the Sadc trade protocol. The bilateral trade agreement had preferential conditions for Sadc, which requires clothing to be made from regional structures to allow preferential access,” Youmans said. It describes the bilateral and multilateral trade agreements to which that country belongs, including with the United States. Includes websites and other resources that allow U.S.
companies to get more information about how they can use these agreements. A trade agreement is a formal agreement (treaty) between two or more countries on the treatment of goods and services that go from one country to another and vice versa. The scope of trade agreements covers a wide range of issues: the Zimbabwe Clothing Manufacturers` Association (ZCMA) has asked Zimbabwe and South Africa to reconsider the bilateral trade agreement between the two countries. In November 2017, South Africa gave a one-year deadline to end the 1964 Pact for the Southern African Development Community (Sadc) Trade Protocol. Read the guide on trade agreements prepared by ZimTrade However, Jeremy Youmans, ZCMA, President, said that the problem is still being resolved. He added that ZCMA took on this responsibility with the Ministry of Foreign Affairs and International Trade and the Ministry of Industry and Trade. According to Sadc`s double-processing rule, the substance must be produced in Zimbabwe or Sadc. In February 2020, Zimbabwe also officially joined the Continental Free Trade Area (AfCFTA), which aims to create a single continental market for goods and services, which will eventually lead to the creation of a customs union.