Will the SADC Protocol on Trade in Services be effective in meeting its objectives of strengthening the region's services market?

Abstract

The SADC Protocol on Trade in Services seeks to create a strengthened single integrated services market in the region. Such a Protocol could be of great benefit to SADC as the region’s services sectors are not efficient nor are they competitive. The region’s services sector is also characterised by comparatively high costs. The liberalisation of trade in services is seen as a way in which countries can create competitive and efficient services sectors, while boosting FDI and GDP. While the will to negotiate on the liberalisation of services is significant, it is equally important that the framework utilised for such liberalisation be well thought through and structured. An agreement that is not well thought through or does not put in place all the rules and mechanisms necessary for the efficient liberalisation of trade in services could have the result frustrate the liberalisation process. It is not sufficient to commit to the liberalisation of services, members to preferential trade agreements for the liberalisation of services must commit to negotiate on other measures that have a direct impact on the implementation of such agreements. This paper will analyse whether or not the SADC Protocol on Trade in Services in its current form will be successful in creating an integrated services market in the region.