New Delhi, India | 12 August 2026
India and the Southern African Customs Union (SACU) have formally relaunched negotiations for a Preferential Trade Agreement (PTA), reviving discussions that had remained dormant for more than a decade.
The two sides signed the Terms of Reference (ToR), establishing the framework for negotiations covering trade in goods, rules of origin, customs procedures, sanitary and phytosanitary measures, technical barriers to trade and dispute settlement. Officials from both sides are aiming to conclude negotiations within the next year.
SACU comprises South Africa, Botswana, Namibia, Lesotho and Eswatini, representing a combined market of approximately 65 million people. India is seeking improved market access for automobiles, pharmaceuticals, engineering products, machinery and electrical equipment, while SACU countries are expected to pursue greater access for minerals, agricultural products and other exports.
Project Herald Insight
The resumption of India–SACU trade negotiations marks a significant step in strengthening South–South trade and investment. If concluded, the agreement could stimulate manufacturing, logistics, mining, automotive production and export-oriented industries across Southern Africa, while supporting India’s strategy of expanding its commercial footprint across Africa and securing stronger access to critical mineral supply chains.
Source: Reuters; Government of India, Ministry of Commerce & Industry.