Evaluating regional integration in SADC By Ernst KatjariuaAfter reading some scholarly articles concerning the state of regional integration in SADC member states, one comes to the understanding that the purpose of transforming the Southern African Development Co-ordination Conference (SADCC) into the Southern African Development Community (SADC) was to promote deeper economic cooperation and integration to help address many of the factors that makes it difficult to sustain economic growth and socio-economic development, such as continued dependence on the export of a few primary commodities. In other words the purpose was to try and close the gap between the member states in terms of economic growth. It has become an urgent necessity for SADC governments to transform and restructure their economies. However, factors such as the small size of their individual markets, the inadequate socio-economic infrastructure and the high per capita cost of providing this infrastructure, and as well as their low incomes have made it difficult for them to attract or maintain the necessary investments for their sustained development.
SADC can be applauded for the fact that they opt for a development integration approach which recognises the political and economic diversity of regionally integrating countries. This includes countries’ production structures, trade patterns, resource endowments, development priorities, institutional affiliations and resource allocation mechanisms. SADC has over the years managed to succeed in attaining some of these fundamental goals even though one cannot overlook the fact there is still a lot to be done. The under-development of the SADC member states and their low revenue generation results in them not succeeding in focus areas like infrastructure development and as a result this leads to poor foreign investment. SADC has an approach of addressing issues of production, infrastructure and efficiency barriers arising from the underdevelopment of the region. This approach can be a good step in the right direction, because it complements trade liberalisation with sustainable corrective measures. It also cushions the least-developed countries against shocks arising from the removal of trade barriers. This approach allows member states define the scope and sectors of cooperation and to identify appropriate strategies and mechanisms to overcome obstructions to regional integration and to address regional imbalances between member states.
On 22 August, a team of experts hired to strengthen SADC‘s implementation capacity of the REIS programme, presented its inception report to the SADC Secretariat. The event was held at the SADC House and chaired by the TIFI Director, Boitumelo Gofhamodimo. The inception report reviewed the state of play of regional economic integration in SADC and the situation regarding negotiation and implementation of the EU-SADC Group EPA. The team also made comments on the REIS Global Work Plan and the First Annual Work Plan and outlined its approach to the REIS implementation.
The overall objective of REIS is to promote sustainable economic growth and poverty reduction in SADC. This objective corresponds to the general objective of the SADC Treaty, the RISDP and the various protocols that constitute the basis of SADC’s Regional Economic Integration Agenda. The specific objective is to create an enabling environment through the SADC Secretariat to enhance the movement of goods and services within SADC, facilitate investment, and secure WTO compatible market access arrangements between SADC EPA countries and the European Union (EU).
Funded by the EU to the tune of 19.6 million euro, the REIS Programme is designed to assist SADC to implement the SADC Secretariat’s mandate on promoting regional economic integration and EPAs with the EU. This falls within the 10th EDF SADC-EU response strategy in the area of regional economic integration, which aims to help promote economic integration and the reduction of poverty in the SADC region, through enhanced cooperation and trade between SADC member states.
For survival of SADC, one advises that it has to identify intervention areas that are critical for the achievement of deeper integration. It should try its utmost best to ensure that its member states strive to work together in basic areas like infrastructure development, trade and production. One of the areas that also needs attention is the cross sectorial intervention areas that deal with poverty eradication, combating HIV and Aids and finding a solution of how to deal with the problem of gender imbalances. The issues of poverty, HIV and Aids and gender inequality have always been and for some many more years to come be a threat to the member states to achieve the objective of their regional integration. To justify this statement, one will say that this problem requires more attention because dealing with these societal problems is very expensive. More funds should be budgeted towards dealing with these issues and this leaves the member states with less revenue to fund other developmental projects.
One acknowledges that the major achievements and challenges of regional integration in SADC are equality and development, science technology, information and communication technology, environment and sustainable development, private sector and statistics. Of the entire visible effort SADC member states should strive towards building a free trade area that would result in deeper regional integration. The true degree of integration will depend on the extent of the removal of all barriers to trade in goods and service. It will just not be enough to think only about trade policy. All institutions and rules that affect trade will have to be taken into consideration in order to achieve deep integration in the region.
*Ernst Katjariua is fourth-year student studying towards a bachelor’s degree in Public Management.