SACU review needed to unlock exports – Agbiz

South Africa should urgently review the structure of the Southern African Customs Union (SACU) to give the country greater flexibility to negotiate bilateral trade agreements and secure new export opportunities, according to agricultural industry leaders.

The issue emerged during the Agricultural Business Chamber of South Africa's (Agbiz) 2026 Congress in Gqeberha, where delegates discussed export diversification, market access and the role of trade policy in supporting long-term growth in agricultural exports.

In a summary of the discussions, Agbiz chief economist Wandile Sihlobo said participants had highlighted the need for South Africa to strengthen access to key markets across Africa, the European Union, the United Kingdom, the Americas and Asia, while also pursuing improved access to markets where local products do not yet benefit from preferential tariff arrangements.

"There was broad consensus that the Middle East and Asia remain critical strategic regions, with the potential to expand access to a range of agricultural products," Sihlobo said.

He noted that securing improved tariff access to several emerging markets would require South Africa to negotiate bilateral trade agreements with individual countries.

Delegates argued that the current SACU framework limited South Africa's ability to move quickly in pursuing such agreements because trade negotiations must be conducted collectively with other SACU member states. "In the current set-up, where South Africa must engage on trade issues collectively with other SACU members, the country has not moved with the necessary urgency to open new markets," he said.

"The world is changing, and countries are forming new trade agreements. South Africa risks being left behind if our approach to SACU is not urgently reviewed."

The congress also highlighted the importance of economic diplomacy in supporting export growth. Government was placing greater emphasis on trade and investment promotion through South Africa's international missions, although participants stressed the need for sufficient resources and expertise to support these efforts, roleplayers said.

Delegates also emphasised that trade agreements alone would not be enough to grow exports. Improving the efficiency of South Africa's ports and rail network was identified as a critical requirement for expanding agricultural trade volumes and improving competitiveness in international markets.

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