The EU – SADC Economic Partnership Agreement (EPA) has helped unleash the full economic potential of Botswana and supported the country in its journey from a natural resource-based economy to a knowledge-based high-income economy, the EU has said.
Addressing the media on the implementation of the programme as it comes to conclusion at the end of July, Clément Boutillier, Head of Cooperation at EU Delegation to Botswana and SADC, explained that the main objective of the programme for which the EU has provided EUR6 million (approximately P78 million) in grant funding, is to promote export-led economic diversification and sustainable economic development in Botswana.
Boutillier said in addition, the EU is also stepping up its cooperation with Botswana and other key partners through its Global Gateway strategy, whose aim is to boost smart, clean and secure links in digital, energy and transport sectors and to strengthen health, education and research systems across the world.
“This is evidenced by the EUR150 billion EU-Africa investment programme, which among others will support investment in strategic transport corridors in Africa, promote value chain development and facilitate trade,” he said.
“The EU is also investing in human infrastructure, including education, skills and health systems.”
According to Boutillier, the EPA has also helped Botswana reap the full benefits of the agreement between the EU and six SADC states including Botswana.
These countries include Eswatini, Lesotho, Mozambique, Namibia, and South Africa.
“This provides Botswana with duty-free and quota-free access for all its goods to the EU market,” said Boutillier.
Outlining some of the achievements under the EPA, Boutlillier said these include support for the organisation of the EU-Botswana Business Forum which promoted business and investment links between the EU and Botswana.
He said the programme has also offered technical support to the National Plant Protection Office (NPPO), and the Department of Plant Protection (DPP) to strengthen their capacity to develop and implement official controls allowing for the export of citrus fruit to the EU.
“This has boosted Botswana’s citrus industry, which is blooming, as shown by the success of the Selebi Phikwe citrus project,” he said.
“The Programme is also supporting 11 small and medium-sized farmers through the provision of training on standards for citrus production.”
The 11 farms, according to Boutillier, have about 100-150 hectares under cultivation with an export potential at maturity of around 3,000-4,000 citrus tonnes per annum with an export value of about EUR 2-2.5 million.
Whereas the EPA is coming to conclusion, Boutillier said the EU is eager to continue to support Botswana in its economic diversification efforts to help it achieve its vision 2036 and create decent jobs for Batswana.
“We have started working on a new programme for Botswana and are in discussions with the Ministry of Trade and Industry and other relevant ministries and stakeholders to gather their views on its objectives and priorities,” he revealed.
Providing a brief background of the agreement, Acting Deputy Permanent Secretary in the Ministry of Trade and Industry, Johana Segotlong, said countries in SADC, namely Botswana, Eswatini, Lesotho, Mozambique, Namibia and South Africa negotiated a Trade Agreement with the EU during the period 2004 until 2014.
These negotiations, Segotlong said, culminated in the EU-SADC EPA.
“The EU-SADC EPA is basically a trade agreement between, on the one hand, six countries from SADC and the EU, on the other hand,” she explained.
“The agreement is premised on establishing market access between the two parties which will eliminate tariff duties between the parties and remove any other trade impediments between the parties.”
The agreement was signed in June 2016 and came into force on 10 October 2016.