What Role for Trade in Zimbabwe’s Economic Recovery?
The new inclusive government brought about by the Global Political Agreement of 2008 has led to a level of political stability and huge investor interest in Zimbabwe. A lot however still needs to be done with the cost of recovery from the country’s lost decade to pre-crisis levels by some estimates amounting to US$40 billion[1]. Consequently economic policies, in their broadest sense, occupy centre stage.
In addition to macroeconomic reforms affecting the currency, monetary and fiscal policies, Zimbabwe has to pay careful attention to microeconomic and regulatory matters. Trade is a critical component of such reforms. Within this Zimbabwe needs to pay particular attention to its membership of the World Trade Organisation (WTO) since agreements extant in that organization, and potentially to be concluded under the Doha round, have far-reaching implications for Zimbabwe’s domestic economic policies.
SAIIA together with the DEAT kindly invites you to a high level workshop focusing on Zimbabwe’s domestic economic reform programme in relation to the country’s participation in the Doha Round and the WTO more generally. This will include consideration of Zimbabwe’s unilateral trade reform options in relation to domestic economic reforms, and the role that regional economic integration arrangements could play in boosting domestic economic growth.
The event was scheduled as follows:
Programme
08h30 – 09h00 Registration
09h00 – 09h30 Introduction
Nicky Moyo, Chief Executive, DEAT Capital
Peter Draper, Trade Programme Head, SAIIA
09h30 - 10h45 Keynote Address: Zimbabwe’s economic reform priorities –
what role for unilateral reforms in relation to the WTO?
This session will reflect on the key economic policies that are
undergoing or require a rethink so as to put Zimbabwe on the
recovery path and highlight the government’s thinking on the role
of trade and investment in the country.
Hon. Priscilla Misharaimbwi, Minister of Regional Integration and
International Cooperation, Zimbabwe
10h45 – 11h15 Tea/Coffee Break
11h15 - 12h45 Session One: What are Zimbabwe’s Priorities in the WTO and
the Doha Round?
Zimbabwe is one of the founding members of the WTO’s
predecessor, the General Agreement on Tariffs and Trade,
and subsequently became a founding member of the WTO.
Zimbabwe has been an active participant in the Doha round and is
a member of informal groupings like the G90, G33, Africa
Caribbean and Pacific Group, G20, and the Africa Group. But
what are Zimbabwe’s main priorities in the Doha round? Is
membership in these informal groupings really promoting
Zimbabwe’s interests? What real benefits can Zimbabwe extract
from the WTO and under what conditions? In light of the decade-
long economic decline Zimbabwe has experienced is it feasible for
it to lobby for additional flexibilities and opportunities afforded to
LDCs?
Moderator: Dr. Mungai Lenniye, Country Manager, World Bank, Zimbabwe
Speaker: Mrs. Mtetwa, Director of International Trade, Ministry of Industry and
Commerce, Zimbabwe
Discussants: Mr John Robertson, Managing Director, Robertson Economic Services,
Zimbabwe
Dr. Petina Gappah, Counsel, Advisory Centre on WTO Law
12h45 - 13h30 Lunch
13h30- 15h00 Session Two: Broader Considerations - Regional Integration and
Preferential Access Schemes
Zimbabwe is a member of the two largest regional economic
integration bodies in eastern and southern Africa, namely the
Common Market of Eastern and Southern Africa (COMESA), and
the Southern African Development Community (SADC). It is
strategically located geographically and the most important trade
routes go through its territory making it well- placed to supply goods
and services to both COMESA and SADC. In addition, Zimbabwe is
beneficiary of the EU-ACP preferential market access schemes which
are currently being negotiated into reciprocal Economic Partnership
Agreements in accordance with the Cotonou Agreement. As a
developing country, Zimbabwe is eligible to benefit from the
Generalised System of Preferences which developed countries like the
US and the EU extend to developing countries. However, Zimbabwe is
currently excluded from benefiting under the US government’s more
lucrative Africa Growth and Opportunity Act. This session will seek to
answer, inter alia, the following questions: how can Zimbabwe leverage
trade opportunities in both SADC and COMESA to speed up its
recovery? What about additional competition from Europe due to
Economic Partnership Agreements, and potential export opportunities?
What role should Zimbabwe play in these institutions in order to create
opportunities for its traders? Is it desirable and feasible for Zimbabwe
to lobby for its inclusion under AGOA?
Moderator: Dr Gibson Chigumira, Zimbabwe Economic Policy Analysis and
Research Unit (ZEPARU)
Speaker: Dr. Moses Tekere, Trade Expert
Discussants: Mr Kumbirai Katsande, President, Confederation of Zimbabwe
Industries (CZI)
Mr. James Wadi, Group Economist, Banc ABC
15h00 – 15h30 Tea/Coffee Break
15h30 – 17h00 Session Three: Concluding Panel/ Way Forward
For Zimbabwe to succeed in leveraging trade for economic
development, a coherent strategy is needed whereby its positions in
the WTO are in sync with its positions and interests in the regional
integration bodies and vice-versa, and both are informed by
unilateral imperatives. It is also important for Zimbabwe to position
itself in regional integration bodies like SADC and COMESA and
perhaps the envisaged tripartite free trade area (FTA) covering
SADC, COMESA and EAC, in a way that maximises its benefits.
What can Zimbabwe change or improve from its current engagements
in the WTO, SADC and COMESA? Is it necessary or practicable for
Zimbabwe to choose between SADC and COMESA? What about
joining SACU, is this feasible in the current political-economic
situation in Southern Africa? And how does Zimbabwe’s participation
in all of these arrangements square with its domestic economic reform
priorities?
Moderator: Mr. Nicky Moyo, DEAT Capital
Panelist: Mr. Peter Draper, Programme Head, Development through Trade,SAIIA
Mr. Michael Nduduzo, CEO, Industrial Development Corporation
Dr. Petina Gappah, Advisory Centre on WTO Law
17h00 – 17h30 Concluding remarks and closure
17h30 – 19h00 Cocktail Reception
