Southern African Trade and Connectivity Project (Malawi)
The Governments of Malawi and Mozambique on Friday 18 October, 2024 signed the Simplified Trade Regime Framework. Speaking at the signing ceremony in Lilongwe, Malawi, Hon. Sosten Gwengwe, Malawi Minister of Trade and Industry observed that Malawi and Mozambique were also setting a benchmark for STR Framework Agreements in the SADC region as this is the first bilateral framework negotiated in the context of the SADC Protocol on Trade.
He expressed optimism that the framework would boost bilateral trade between Malawi and Mozambique and help generate incomes and job opportunities for its people.
“By simplifying customs procedures, harmonizing the threshold value and common list of products under the STR, we are not only facilitating trade for our small-scale cross border traders between our two countries, but also empowering them to compete at regional and global scale,” said Gwengwe.
He however cautioned against tendencies by implementing agencies on the ground to create obstacles in form of non-tariff barriers which eventually hinder the flow of goods
On his part, Minister of Industry and Commerce from Mozambique, Silvino Augusto José Moreno, encouraged the two countries to remain committed to the establishment of more inclusive economic infrastructures and trade facilitation platforms, as well as to the modernization of the competitive capacity of its productive private sector, especially at the level of cross-border trade.
“The successful conclusion of the negotiation process of the Simplified Trade Regime Framework, together with the implementation of policies that promote the free movement of people and goods along our borders, will further stimulate and enhance the transformational economic performance of our economies,” he said.
The Simplified Trade Regime Framework represents the foundation that will support and drive small-scale cross-border traders by providing them with simplified mechanisms for the clearance of their goods along Malawi and Mozambique’s common borders, namely: Mandimba-Chiponde, Zobue-Muanza, Calomue-Dedza, and Melosa-Muloza.
The Simplified Trade Regime Framework negotiation meetings and other technical support came from the Southern Africa Trade and Connectivity Project, a World Bank funded project under the Ministry of Transport and Public Works.
