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GTAP Resource #4531

"Tripartite FTA: Economic and poverty implications"
by Go, Delfin S, Maryla Maliszewska and David G. Tarr

In October 2008 the Heads of State and Government of the 26 member states of the East African Community (EAC), the Common Market for East and Southern Africa (COMESA) and the Southern African Development Community (SADC) agreed to establish a Free Trade Area, henceforth referred to as Tripartite FTA (TFTA). The TFTA would cover the countries in East and Southern Africa, from Cape to Cairo. During the second Tripartite summit in June 2011, the parties created a Roadmap to the negotiation process that would liberalize the trade in goods and movement of business people by the end of 2014. It is agreed to also cover: rules of origin; customs, non-tariff barriers (NTBs); sanitary and phytosanitary (SPS) measures; technical barriers to trade (TBTs); and trade remedies along with the dispute settlement. The second Phase of negotiations will cover trade in services and trade related areas such as intellectual property rights, competition policy and trade development and competitiveness.

The aim of this study is to shed light on the likely economic and poverty implications of the TFTA. We intend to cover measures beyond the liberalization of tariffs including quantification of the impact of NTBs that would be tackled in the first phase of the TFTA and some key elements from the second phase such as trade in services. The methodology integrates a computable general equilibrium (CGE) model and a micro simulation tool. By combining macro/meso and micro modules into a single framework, the study aims to evaluate the impact of various scenarios of liberalization under the TFTA not only on international trade, economic growth and structural change, but also on poverty and income inequality.

Resource Details (Export Citation) GTAP Keywords
Category: 2014 Conference Paper
Status: Published
By/In: Presented at the 17th Annual Conference on Global Economic Analysis, Dakar, Senegal
Date: 2014
Version: 1 (preliminary)
Created: Maliszewska, M. (4/15/2014)
Updated: Maliszewska, M. (4/15/2014)
Visits: 1,281
- Baseline development
- Non-Tariff barriers
- Preferential trading arrangements
- Trade in services
- Africa (East)
- Africa (North)
- Africa (Southern)
- Africa (West)

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