SACU is participating in negotiations on a free trade agreement – the economic partnership agreements – with the EU and the organisation corresponded between February and March 2010 with EU Trade Commissioner Karel De Gucht to demand that the EU not request the ratification and implementation of EPAs in the next round of negotiations, regardless of the concerns of SACU countries. De Gucht replied that he wanted to “invite the relevant EPA countries of the CDAA to conclude the signing, notification and implementation of the interim EPA quickly” and that “in the meantime, the EU is more than ready to deal with all outstanding issues and concerns”. [9] [11] While SACU concluded a free trade agreement with the European Free Trade Association with four nations on 1 July 2006, its negotiations with the United States for a free trade agreement (as of 8 January 2008) have stalled. [8] The new SACU agreement replaces the current 1969 agreement establishing the Southern African Customs Union. This agreement was concluded by recognising that the current agreement no longer adequately meets the needs of a customs union in the 21st century. It should therefore be aligned with current developments in international trade. With the advent of independence for the territories of the High Commission, the agreement was updated and relaunched on 11 December 1969 as SACU with the signing of an agreement between the Republic of South Africa, Botswana, Lesotho and Swaziland. The updated union officially came into force on March 1, 1970. After Namibia`s independence from South Africa in 1990, Namibia joined SACU as a fifth member, although it has effectively been a member of the Customs Union since its conquest by South Africa in 1915[6] (with the situation formalized in 1921 by agreements between South and South Africa). [2] Historically, SACU was managed by South Africa under the 1910 and 1969 conventions. The customs union imposed tariffs on local production and tariffs on imports from members of third countries.

This section deals with an important aspect of the agreement. It guarantees the free movement of domestic products within the common customs area as well as goods imported from outside the common customs area. It also covers the treatment of non-tariff measures, including technical barriers to trade, as well as health and plant health issues. In principle, it obliges Member States to comply with international standards and standards in the application of these measures, including relevant WTO agreements. Article 26 recognises the right of each Member State to prohibit or restrict the importation or export of goods for economic, social, cultural or other reasons, as agreed by the Council. Part 5 also guarantees the freedom of freight transport and enshrines the principle of non-discrimination in rail and road transport. The objectives of this agreement include facilitating and promoting cross-border trade in goods and services under conditions of fair competition, economic development in the region, promoting investment, fair distribution of customs revenues and excise duties. After the Second War and the establishment of British control over the Burmese republics, the South African Customs Union was created in 1903 by the signing of a new agreement and replaced previous agreements. They consisted of Cape Colony (annexed to British Bechuanaland in 1895), Basutoland, Bechuanaland protectorate, Natal, Orange River Colony (formerly Orange River Colony), Transvaal Colony (former Republic) and Southern Rhodesia.