by Tafadzwa Murwisi – SANF 05 no 53
Producers in Mozambique and Zimbabwe have been encouraged to take advantage of the Trade Agreement between the two countries, which is aimed at facilitating customs and trade promotion.
Trade officials in both countries have been encouraging industry and commerce to take advantage of the Bilateral Preferential Trade Agreement signed in January 2004 which came into force early this year.
The trade agreement is set to benefit not only citizens of the two countries but the Southern African Development Community (SADC) as a whole as it complements regional efforts at easing trade restrictions across borders.
The implementation of the Mozambique-Zimbabwe Trade Agreement comes at a time when the region is working towards a Free Trade Area target for 2008.
The bilateral agreement between Mozambique and Zimbabwe allows for the duty-free trade in all goods produced or manufactured in either country, provided they meet the local content requirements specified in the pact and are not on the “negative list”.
It enables duty-free export and import on a variety of goods such as mineral and agricultural products, live animals, forest products, fish and fish products.
“The following goods have been exempted from the trade agreement, that is they cannot benefit from the provisions of the trade agreement: firearms, ammunition and explosives, refined or unrefined granulated sugar, soft drinks or aerated beverages, manufactured tobacco and motor vehicles,” the Zimbabwe Revenue Authority (ZIMRA) said in a statement.
According to a statement from the Ministry of Trade in Mozambique, the rules of origin in this agreement are simpler than those established in the regional trade protocol.
With strong ties rooted in the liberation struggles of the two countries, trade has become another practical symbol of unity between Mozambique and Zimbabwe.
Several countries in the region have signed or are in the process of negotiating bilateral agreements. For example, as part of a trade pact, Mozambique and South Africa earlier this year agreed on a waiver of visa requirements.
The free movement of people, coupled with the removal of barriers to trade between countries in the region, is essential in achieving economic integration and closer ties among member states.
Like many bilateral trade agreements, the Mozambique-Zimbabwe agreement does not interfere with the obligations under the SADC Trade Protocol.
According to Article XXII of the agreement, the two countries reaffirm their international obligations, stating that nothing in the agreement shall be construed as affecting any rights and obligations arising from any international agreement or treaty already entered into by either country.
The purpose of the agreement is to facilitate an increased flow of goods between the two countries and to ensure that trade is free of tariffs and other non-tariff barriers. (SARDC)
