/ 6 October 1999

EU passes SA trade deal

OWN CORRESPONDENT, Strasbourg | Wednesday 3.30pm

MEMBERS of the European Parliament overwhelmingly approved a trade deal between the European Union and South Africa on Wednesday, set to be signed October 11 in Pretoria.

Of 525 voting deputies, 430 said yes to the deal, finalized March 24 after three-and-a-half years of tough negotiations. Key aspects of the agreement, to be signed by South African President Thabo Mbeki and Finnish President Martti Ahtisaari, who now presides over the European Union, will be implemented beginning in 2000.

The agreement will liberalize nearly 90% of trade between the EU’s 15 member states and South Africa, which totals 16 billion euros ($17,1-billion) a year. The agreement will lift customs duties from 86% of EU exports to South Africa over a 12-year period.

It also will eliminate custom duties from 95% of South African exports to the EU over ten years.

The 200-page agreement, which affects more than 10000 products, will define competition policy, industrial matters and EU aid to South Africa. — AFP