Regional Integration of Agricultural Trade in Southern Africa

Regional Integration of Agricultural Trade in Southern Africa : Infatuation or Real Need?

The potential benefit of several regional integration initiatives undertook by African countries in recent years is a contentious issue that is continuously being debated. This article assesses the impact of a free trade agreement between member countries of the Southern African Development Community on agriculture. Findings show negative welfare results for regional importers because of the increased imports from inefficient regional producers, who are the major beneficiaries of the agreement. To enhance the benefits gained, the region should implement regional policies beyond trade arrangements, such as those enhancing investment, agricultural productivity, and product diversification.