Under the agreement, EFTA states were forced to abandon all tariffs on SACU countries immediately after the agreement came into force, when SACU states had until 2014 to slowly reduce their tariffs. In addition, EFTA ensures that it acts in accord with the principles of economic cooperation and support. Due to the asymmetry of the economic development of the parties, EFTA grants several concessions to Botswana, Lesotho, Namibia and Swaziland to promote the development of these countries. Parties may hold consultations and, in the absence of agreement, apply interim measures. Each party may refer a dispute over the interpretation of the rights and obligations of the agreement to a binding arbitration procedure if the consultations do not result in a solution (Articles 35-37). The agreement covers trade in goods and lays the groundwork for a new commitment by the parties in the areas of intellectual property, investment, trade in services and public procurement. A joint commission is established to monitor and manage the agreement and provisions for consultation and dispute resolution procedures are included. Trading between the blocks has increased by about 9.3% since the signing of the agreement from 2008 to 2018. [7] EFTA`s net trade balance was negative until 2012, but in 2013 total imports fell sharply and exports exceeded[7] A possible free trade agreement between the United States and SACU is of interest to Congress, as (1) Congress must consider ratification of an agreement signed by the parties; (2) whereas the provisions of a free trade agreement may harm U.S. activities in industries competing with imports and employment in these sectors; and (3) a free trade agreement can increase AGOA`s effectiveness and strengthen its implementation. On January 9, 2003, a bipartisan group of 41 representatives wrote to Ambassador Zoellick in support of the start of free trade negotiations with SACU. Montevideo, Uruguay. Report on the ninth meeting of the negotiating committee, established as a customs union by the framework agreement for the creation of a trade agreement FREI MERCOSUR-SACU, the members carry out a common external tariff with third countries and do not impose tariffs on trade between them.

Trade in agricultural commodities is covered by bilateral agreements between each EFTA state and SACU. These agreements, which are part of the free trade area`s instruments, are also asymmetrical and allow SACU to improve preferential treatment in EFTA markets, beyond existing preferential regimes. (Agricultural agreement between Iceland and SACU, agricultural agreement between Norway and SACU and agricultural agreement between Switzerland and SACU). The trade agreement between the South African Customs Union (SACU) and the European Free Trade Association (EFTA) is a free trade agreement signed in 2006 and entered into force on 1 May 2008. It comprises 9 countries: 4 are EFTA members (Iceland, Liechtenstein, Norway and Switzerland) and 5 are saCU members (Botswana, Lesotho, Namibia, South Africa and Swaziland).