The chief European Union (EU) trade negotiator has advised Tanzania to better remain in one regional economic integration so as to benefit most from its affiliation, local press reported on Friday.
Newspaper The Guardian quoted visiting EU Trade Director Karl Falkenberg as saying that Tanzania's affiliation with the East African Community Customs Union had cost the country its status to negotiate beneficial trade agreement with the EU through the Southern Africa Development Community (SADC), of which Tanzania isa member.
"Tanzania has decided to choose the SADC to negotiate with the EU under the ongoing negotiations on Economic Partnership Agreement," said Falkenberg.
But the fact that Tanzania is a member of the East African Community Customs Union no longer defines the country's tie with the envisaged customs union of SADC, he added.
"I cannot see any economic advantage of being a member of more than one (trade) bloc," said the EU head of trade who came to Tanzania for a brief visit. "Countries have to identify the centerof gravity when it comes to regional integration. Economic advantages can only be accrued if a country remains within one customs union."
The EU is negotiating free trade agreements, known as Economic Partnership Agreement (EPA), with African, Caribbean and Pacific countries and the EU launched its EPA negotiation with the SADC onJuly 8 last year.
Seven of 14 SADC countries are now negotiating an EPA with the EU. They include Angola, Botswana, Lesotho, Mozambique, Namibia, Swaziland and Tanzania, with South Africa taking part in the negotiation as an observer.
The negotiation is scheduled to complete in December 2007 and when coming into force on January 1 of 2008, the SADC-EU EPA will not only replace the current non-reciprocal preferences extended by the EU to the African, Caribbean and Pacific countries but also expect to contribute to the SADC regional integration.
Source: Xinhua