Question

What is the role of South Africa to promote the Africa free trade area? Discuss (25 marks)

Answer 1

South Africa is one of the most accessible country in entire African continent in terms of logistics connectivity. Cape twon, Durban areas have big seaport and airports which establishes a strong case for a free trade zone.The African continental free trade area formed helps in exploring trade opportunities.54 out of 55 countries in Africa has agreed upon free trade zones which reduces the barriers between countries . Nigeria, Egypt and South Africa are the major three countries which contributes to more than 50% of African economy. The free trade agreement will boosuy up the future trade possibilities. In addition the development of exist ports will enhance the connectivity and encourage more production plants in the zone. South Africa is consider to be having better living standards and it's welcoming culture can attract foreign investors and traders. More over the restructured tax and duties norms reduces the barriers in export and import to a great exten. Better skill management among African professionals reduces the gap of skill shortage .