SADC meets in Harare
over free trade agreement
AT THE same time as the Southern African Development Community was meeting in Harare last week to discuss a free trade agreeement, a South African delegation was in Zimbabwe's capital to discuss changes to the trade agreement.
And according to observers the results will be the same - nothing.
At the heart of the SADC talks, which include South Africa, is a proposal by Zimbabwe for all 14 members to promise to eliminate cross border tariffs next year. There is said to be considerable confusion and disagreement, with some countries still to sign the original document drawn up three years ago that set up this week's discussions, and others wanting some classes of goods removed.
The South African delegation is here mainly to look at the textile industry and also see if it deserves to be given a bigger preferential duty quota.
The answer will probably be no, says an industry source.
Industrial relations and output are very unstable and the government wants to avoid any possible cause of more discontent. Yet, Zimbabwe is much less of a threat than it was because the industry is declining Ñ largely due to the huge rise in inflation Ñ and in fact might find it difficult to fulfil the quotas if they were doubled.
BY MARTIN RUSHMERE