Sanitary and phytosanitary (SPS) measures are measures aimed at the protection of human, animal and plant life and health within specified territories from the risks associated with the introduction and spread of pests and diseases through trade. The World Trade Organisation (WTO) developed an agreement on the application of SPS measures. South Africa is a member of both the WTO and the Southern African Development Community (SADC). In SADC, SPS measures are provided for in the SADC Sanitary and Phytosanitary Annexure to the Protocol on Trade of 1996. International Standard Setting Bodies (ISSBs) facilitate the effective application of the main elements of the relevant SPS agreements, especially harmonization and equivalence by establishing scientifically justified standards on which members may base their SPS measures. The relevant ISSB’s in terms of SPS measures are the OIE, IPPC and Codex Alimentarius. SPS measures have the potential to become or be used as non-tariff barriers to trade (NTBs). The SADC Protocol on Trade 1996 stipulates that policies and measures are to be implemented by members to eliminate existing forms of NTBs. Additionally members may not enforce new NTBs affecting or related to intra-SADC trade. The most relevant South African legislation in the context of SPS measures and this study is as follows: Agricultural Pests Act 36 of 1983, the Agricultural Products Act 119 of 1990; the Fertilizers, Farm Feeds, Agricultural Remedies and Stock Remedies Act 36 of 1947, the Liquor Products Act 60 of 1989, Meat Safety Act 40 of 2000, Foodstuffs, Cosmetics and Disinfectants Act 54 of 1972, Medicines and Related Substances Act 101 of 1965 and National Regulator for Compulsory Specifications Act 5 of 2008. The purpose of this study is to establish to what extent the South African legal framework complies with its obligations in terms of the SADC SPS Annexure to the Protocol on Trade / LLM (Import and Export Law), North-West University, Potchefstroom Campus, 2015

Title: Managing an emerging region – A study of how MNCs manage uncertainty in a Southern African context Authors: Markus Axelsson & Andreas Olofsson Supervisor: Cecilia Pahlberg Research question: How are Swedish business-to-business MNCs reducing perceived uncertainty when operating in the Southern African Development Community? Purpose: Provide a deeper understanding of how Swedish MNCs from diverse industrial backgrounds are managing uncertainty when operating in the Southern African Development Community (SADC). This study further aims to add to an acknowledged theoretical gap in international business research by providing a contextual contribution towards the Southern African region to the field of internationalization management. Method: A qualitative research method including semi-structured interviews was used to gain in- depth understanding of how Swedish B2B MNCs manages uncertainty within SADC markets. For the analysis, a theoretical framework based on uncertainty management, knowledge and network theory was developed into a conceptual model, carried out when gathering empirical data. Conclusions: The findings suggest that gaining experiential knowledge was vital to reduce perceived uncertainty among Swedish B2B MNCs operating in SADC markets. Experiential knowledge was obtained through operations within the markets, which over time resulted in enhanced market commitments and thereafter increased experiential knowledge. Knowledge was further exclusively shared within networks, where gaining network insidership was essential. To gain network insidership in SADC markets, findings suggest that becoming localized in the market to gain legitimacy is beneficial and achieved over a longer period of time. Finally, findings indicate that South Africa could be used as a gateway into Southern Africa, where firms’ can gain valuable experiences, relationships and an understanding of business practices, which can reduce the perceived uncertainty towards other SADC markets.

This paper analyses the competitiveness in the banking sector of eight countries in the SADC region. Both the Panzar-Rosse and the Lerner Index approaches were used for the period 2002- 2013. Although the results yield opposing outcomes, the overall findings suggest that the eight countries cannot be described as being perfectly competitive but rather suggest imperfect competition in these banking sectors. These countries could be characterised as monopolies when using the Panzar-Rosse study and monopolistically competitive when using the Lerner Index.

The dissertation assesses the suitability of countries in the Eastern and Southern Africa region for a monetary union. Using VAR techniques the symmetry of the underlying structural shocks is analyzed. The results indicate that supply and demand shocks are generally asymmetric, which does not lend strong support for forming a region-wide currency union at the moment. Although economic shocks are not highly correlated across the entire region, we tentatively identify three sub-regional clusters of countries that may benefit from a currency union. We find some tentative evidence that some, though not all, sub-regions may benefit from a link to the Euro. However, the speed and magnitude of adjustment to shocks is similar across the countries. Therefore, further integration of the economies might lead to more favorable conditions for a monetary union. Using a Barro-Gordon type model, it is shown that forming a monetary union yields net benefits if output shocks are similar across member countries and if one or more countries in the union can serve as anchors. In addition it is shown that the opportunistic objectives of one country’s policymakers are kept in check at the union level by other members with disparate objectives. Hence monetary union can improve the monetary policy for its members if the pressures on the individual central banks are dissimilar. Calibrating the model to evaluate the proposed monetary union in the East African Community, it is found that central bank uncertainty would be a significant aspect in the net welfare effect of monetary union. An examination of the EAC countries also shows a fair degree of linkages. Intra-regional trade is substantial. The benefits from reduced transaction costs and exchange rate uncertainty would be substantial and growing. Though symmetry of shocks is still low, implementation of a protocol on factor mobility under discussion would help improve labor mobility. However though some progress has been made there is still need for more convergence before monetary union could be implemented.

Thesis (Ph.D. (Education)) - Rhodes University, 2007.

Food security is influenced by many factors, which are divided into four categories according to FAO. Food Availability is one of these categories. It is closely connected with domestic food production as well as with international trade with food and with free movement of commodities on the international market. Countries in south Africa joined together and established South African Development Community (SADC) in 1992, which significantly changed their trade policies and their economics opened to international trade. The aim of this thesis was to evaluate, how these new conditions in international politics and trade affected the situation of food security and food availability in SADC countries. The research was based on common statistical analysis of secondary data developed by transnational organizations engaged in food security and international trade (FAOSTAT, WTO, World Bank). Results showed that the index of imported food to domestic food production has been growing in the last 10 years and it reached 51% in 2011. The food exports value and domestic production value are increasing as well and the average food import tariffs are decreasing. Also I proved some dependency of food imports to average dietary energy adequacy as well as dependency of domestic food production to average dietary energy adequacy. However with the use of comparative advantage method (RSCA) it was shown that SADC countries lost their comparative advantage in trade with food. The correlation of index of selected food security indicators to regional political stability was not proved.

Supermarkets have become important in food retail in both developed and developing countries. Supermarkets in developed countries are expanding to developing countries such as Latin America and Asia resulting in transformation of the agro-food systems. As elsewhere in the world, supermarkets are also expanding rapidly in Africa. The growth and expansion of supermarkets is mainly spearheaded by South African supermarkets and has been facilitated by trade liberalization, increased economic growth, positive political changes, regional integration arrangements, increased urbanisation, increased per capita income and middle class population groups and liberalization of foreign direct investment. The increased foreign direct investment (FDI) by South African supermarkets into SADC and the rest of Africa may be impacting on firms, households and the economy in the host nations in various ways. As much as the FDI by South African firms bring the much-needed capital for development, the impact of South Africa supermarkets in SADC and the rest of Africa is least understood. The impact of the expansion of South African supermarkets in the retail sector in other African countries has not been elucidated. Therefore, the objective of this study was to determine the impact of supermarkets on agricultural and industrial (mainly the food processing and manufacturing sector) development in SADC by examining their sourcing and procurement practices. From the identified gaps in literature the study attempts to answer the following questions: what is the extent of growth and expansion of South African supermarkets in case study countries; what are the nature of sourcing and procurement practices and the factors influencing the choice of procurement systems; what are the impacts of these sourcing and procurement practices on farmers and food processors in case-study countries and do farmers gain by participating in the supermarkets FFV supply chain in case-study countries. A case study of three countries (Botswana, Namibia and Zambia) and two supply chains were studied. The study used qualitative and quantitative methods in collecting data in order to elucidate the impacts of these supermarkets on agricultural and industrial (food processing) development in the case study countries. A survey of South African and local chain supermarkets, local shops, food processors, small-scale farmers supplying fresh fruit and vegetables (FFV) to chain supermarkets and the traditional FFV markets was undertaken in the case-study countries in 2004, 2005 and 2007 using questionnaires and checklists. The survey data were augmented with key informant and focus group discussions and secondary data. The analytical methods used included descriptive analysis, non-parametric statistics and a two-step treatment regression analysis model. The conceptual framework for analysing the sourcing/procurement practices of supermarkets and a model to show how impacts in host countries could occur as a result of sourcing decisions were developed and used in the study. The results of the survey of products sold in supermarkets and local shops showed that 80% of all processed food products are sourced from South Africa. About 100% of temperate fruit and 70-100% tropical fruit are sourced from South Africa in the casestudy countries. About 80% of fresh vegetables are sourced from farmers in Zambia and about 80 % are sourced from South Africa for Botswana and Namibia. The results also revealed that supermarkets used a mixture of procurement systems for FFV and processed food products. These systems included use of specialised sourcing and procurement companies; direct delivery of FFV to individual supermarket stores; specialised FFV wholesalers; distribution centres; outsourcing. Using the structured questionnaire supermarket managers were asked the criteria used in sourcing the selected products. The results of the parametric analysis of the responses showed that price, volume, quality and trust were the most important attributes considered respectively. In order to estimate the impact of supermarkets on farmers a household survey was carried out using a structured questionnaire. There were noticeable differences in resources between farmers who supply to the supermarkets and those who supply to the traditional markets. Factors that influence small-scale farmers’ participation in the supermarkets supply chain were identified from the results of the estimated probit model. The results of the two-step treatment regression model showed that participation in the supermarkets channel had a positive impact on small-scale farmers’ income. Mean comparison of income between the two groups of farmers showed that farmers who supplied fresh vegetables to chain supermarkets had a significantly higher income compared to those who supplied to traditional markets in Zambia. This finding confirms hypothesis 2 of the study. The study did not explore causality due to insufficient data on lagged assets. Impacts on the food-processing sector were deduced by carrying out a survey of food processing firms in case-study countries. The goal was to determine the type of firms that access supermarkets supply chain for selected products and determine other channels used for marketing of the products. About 75% of firms started their operations in the 1990s. This period also coincided with rapid supermarket expansion in case-study countries. A symbiotic relationship exists between supermarkets and large processing firms in the case-study countries. There was no evidence to show that supermarkets have caused firms to increase in size or that supermarkets prevented entry of agro-processors in the food processing industry. Small-scale processing firms do not access supermarket supply chains in case-study countries and sell their products through the traditional channels such as small shops and wholesales. Various constraints still prohibit smallscale firms from accessing supermarkets such as lack of capital and lack of finances. From the results of the models and focus group discussions the study concluded that small-scale farmers who meet supermarkets sourcing/procurement requirements were able to access the FFV supply chain of the South African chain supermarkets. Those who did not meet the supermarket requirements who are the majority small-scale farmers and food processors were excluded. Those small-scale farmers who were able to supply to supermarkets earned significantly higher income compared to those who supply to the traditional markets. The study also concluded that membership in a farmers organization does not increase the chances of a farmers accessing and supplying to supermarkets. There is need to re-evaluate the farmer organizations that are being formed to ensure that the organizations assist farmers in accessing supermarkets FFV supply chain and marketing of produce in general. The study also concluded that the traditional markets are still important in case-study countries. These markets need to be improved and developed as small-scale farmers and food processors easily assess them. The study recommended that a holistic analysis of supermarket impacts in the region using general equilibrium type of models is needed, ways to ensure small-scale farmers and processors participation in supermarket FFV supply chain should be determined and more research on the practices of supermarkets as oligopsonists in the region should be carried out. The study was able to document the extent of growth and expansion of supermarkets in case-study countries and as such contributed to literature by describing the sourcing and procurement practices and factors that influence supermarket sourcing and procurement decisions in case-study countries, the study contributed to literature by identifying the type of small-scale farmers who access chain supermarkets in case-study countries, the study contributed by identifying the factors that influence farmers decisions to supply FFV markets and the study showed that supermarkets involvement in the FFV and dairy supply chains in case-study countries had a positive impact in these sectors. / Thesis (PhD)--University of Pretoria, 2009. / Agricultural Economics, Extension and Rural Development / unrestricted

The objective of this research is to gain a better understanding into the feasibility of establishing a monetary union in SADC in the context of the agreed targets set out by SADC and the African Union. Seven experts in the field of monetary integration within SADC participated in this research and their feedback was analysed and themes captured in terms of the five research questions posed. The questions posed as part of this research explores whether trading blocs are moving towards monetary union, whether the targets set out by SADC for monetary integration are being met, whether the time frame agreed by SADC is reasonable and whether there is political will from member countries for such a monetary union in SADC. The researcher has identified three main reasons why monetary union would be beneficial for the SADC region, and also identified the four pillars of monetary integration that is required for monetary integration to succeed. / Dissertation (MBA)--University of Pretoria, 2012. / Gordon Institute of Business Science (GIBS) / unrestricted

Maize is the most grown staple crop in Africa, and white maize is of particular importance because it is the dominant staple food particularly throughout southern Africa to the extent that maize shortages lead to food security emergencies. These emergencies are compounded by SADC’s limited ability to respond to production and supply shocks. In response to these shocks, SADC countries supplement local maize production with trade and food aid leading to a robust regional white maize market. In an attempt to bolster trade SADC member states sign substantial regional arrangements, with similar objectives and common participants all in the hope of strengthening trade and with it maize trade. This study seeks to find means to improve intra-SADC maize trade relations, through defining the determinants for intra-regional maize trade, and determine if SADC members’ sub-regional groupings have an effect on maize trade. The study makes use of a gravity model to estimate the value of trade; specifically a Tobit model with random effects by Maximum Likelihood Estimation. The partner country population was found to have a positive effect (0.749) on maize trade at 5% level of significance. This suggests that countries that have greater populations and consequently larger market sizes for the regional staple maize tend to trade more. Maize aid distribution was found to be a statistically significant determinant of intra-regional maize trade to the extent that it encourages regional maize trade. Transport infrastructure was also found to positively influence intra-SADC maize trade, as infrastructure transportation systems are critical for the purposes of moving goods and labour to facilitate production and trade. The premise that bilateral maize trade between any two countries is negatively related to the relative importance of economic relationships between the reporter country and the partner countries that are located far away, as opposed to those located nearby, is supported by the negative impact distance has on maize trade (-1.670 significant at 10% level), while the propensity to trade increases if the two trading countries share a common border. The net grain position of member states influences intra-SADC maize trade as shown by the statistically significant positive relationship between trade and a net grain deficit position, suggesting that SADC member states are likely to engage in intra-SADC trade should they find themselves in a deficit trade position presumably from the nearest most accessible surplus state. Sub-regional groups SACU and COMESA were found to have no influence on maize trade. / Dissertation (MSc(Agric))--University of Pretoria, 2013. / Agricultural Economics, Extension and Rural Development / unrestricted

The objective of this thesis is to evaluate the readiness of SADC economies to complete the process of monetary integration in the region and to form a monetary union and adopt a common currency. This is done against the backdrop of optimal currency area (OCA) theory. Given this objective, the study hypothesizes that the majority of SADC economies in the region are potential candidates to bring the proposed monetary union into existence sometime in the future, if not in 2018 as proposed by SADC secretariat. The study uses a mix of different methodologies ranging from developing a conceptual framework to empirical investigation in order to answer the research questions and to test the hypotheses. In addition to theoretical reviews and discussions, four findings emerge as fundamental from the four essays. First, from the Triples test the study has not found significant evidence to reject the null hypothesis of „structural symmetry‟ among ten SADC member countries. 10 out of 15 members (i.e.66.67 percent) have exhibited structural symmetry in their real business cycles over the study period. However, close to 50 percent of the member states have weak cyclical co-movements with a low relative intensity. Taking the experience of the EMU where just five countries are able to create havoc in the entire union, we can safely say that the findings from the combined three tests from the first essay confirm that there is still work that needs to be done to coordinate economic policies in the region to improve real economic integration before entry into the proposed monetary union in 2018. In Essay 2, the study finds that the generalised purchasing power parity (GPPP) hypothesis holds for SADC economies given the stationary panel of RER series with one cointegrating relationship as exhibited by trace statistics and the existence of a long run co-integrating relationship amongst the system of real exchange rates. This implies that there is potential for relative prices to converge in the region in the long run, hence SADC is a potential OCA, based on the criteria of price convergence. However, the slow speed of adjustment towards GPPP long run equilibrium should be a warning for the possible ineffectiveness of policy to defend these countries against external shocks. In Essay 3, the Brock, Dechert, and Scheinkman (BDS) test and Fourier approximation confirm the non linear nature of real exchange series in SADC economies. This finding further supports an OCA in the region comprising those countries included in the study. The findings in this essay further strengthen the findings from the previous two essays that claim that member states could constitute a monetary union in the region at some future date. Lastly, the fourth essay, using a long run dynamic panel model finds that there are common policy variables determining the real exchange rate (RER)/ the real effective exchange rate (REER) series of SADC economies. The RER/REER equilibrium analysis reveals that SADC economies are characterised by persistent misalignment. This calls for further policy coordination and policy harmonisation in the region. By considering findings from all the four essays the study finds that nine SADC countries can potentially constitute SADC-OCA namely; Botswana, Madagascar, Malawi, Mozambique, Seychelles, South Africa, Swaziland, Tanzania and Zambia. Angola and Mauritius disqualified from a SADC-OCA at least for the sample period considered in this study. Lesotho, DRC, and Zimbabwe are not included due to data limitations, otherwise Lesotho could join the qualifying group of countries given long experience with the Common Monetary Area (CMA). To reap benefits SADC economic integration initiatives, it requires realistic time span, political will, common understandings and awareness, commitment and self-disciplined policy actions from member states and their fellow citizens. / Thesis (PhD)--University of Pretoria, 2014. / tm2015 / Economics / PhD / Unrestricted