India-SACU trade pact talks to begin by September, conclude within a year
India and Southern African Customs Union will sign terms of reference for trade pact negotiations soon. These talks are expected to conclude within one year of their formal commencement. India and Namibia have identified critical minerals for bilateral economic cooperation. Various sectors like renewable energy and health will see increased collaboration. Future joint committees will review…
India and the Southern African Customs Union (SACU) will begin negotiations for a trade pact by September, with the agreement expected to be finalized within a year, according to the Indian government. The terms of reference for the talks will be signed on August 12, formally launching discussions for a preferential trade agreement (PTA) between the two parties. SACU comprises Namibia, Botswana, Eswatini, Lesotho, and South Africa.
The trade pact negotiations were previously stalled in 2008 due to issues related to sensitivities and market access concerns. However, recent progress has been made, with India and Namibia identifying critical minerals such as lithium, graphite, copper, cobalt, and rare earth elements as key areas of bilateral economic cooperation during their fourth session of the India-Namibia Joint Trade Committee (JTC) in New Delhi.
The JTC serves as the primary bilateral forum for reviewing trade, investment, and economic cooperation between India and Namibia. Under this mechanism, a dedicated Services Working Group will be established and is set to convene no later than February 2027. This group will submit its work plan to the JTC.
In addition to trade discussions, the Commerce and Industry Ministry announced various areas of cooperation between the two nations. These include railways and rolling stock, solar and wind power, battery storage, transmission, green hydrogen, biofuels, and desalination. Other cooperation areas encompass agriculture and food security, micro, small, and medium enterprises (MSMEs), textiles, tourism, and sports.
The JTC is scheduled to hold its fifth session in Namibia in 2028, with the specific date to be determined through diplomatic channels.
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