Botswana Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in botswana, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals
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Trade Agreements
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Botswana actively promotes trade and economic integration through various regional and international agreements, recognizing the limitations of its small domestic market.  These agreements provide investors with access to larger markets and facilitate cross-border trade.

Southern African Customs Union (SACU):

Botswana’s membership in SACU allows duty-free trade within the Southern African region, except for certain foodstuffs.  SACU’s Secretariat, based in Namibia, oversees the implementation of the SACU Agreement and works to improve economic performance among member states.  While U.S.-SACU Free Trade Agreement negotiations were suspended in 2006, the Trade, Investment, and Development Cooperative Agreement (TIDCA) was signed in 2008 to foster consultative discussions on trade and investment issues.

Southern African Development Community (SADC) Free Trade Protocol:

Botswana is a founding member of the SADC Free Trade Area (FTA), which aims to remove intra-regional tariffs and promote trade liberalization.  Botswana signed the FTA in 2008, and as of August 2025, only Comoros and the Democratic Republic of Congo have yet to join.  The FTA facilitates duty-free movement of 85 percent of goods produced in the region, with more developed member states like Botswana reducing tariffs at a faster rate.

African Continental Free Trade Agreement (AfCFTA):

Botswana signed the AfCFTA in February 2019 and ratified the agreement in February 2023.  AfCFTA seeks to create a single continental market for goods and services, enabling free movement of businesspersons and investments.  By March 2025, 48 countries had ratified the agreement, with 54 out of 55 African nations signing.

International Trade Agreements

  • World Trade Organization (WTO):
    Botswana became a WTO member in 1995 following its accession to the General Agreement on Tariffs and Trade (GATT).
    SADC-EU Economic Partnership Agreement (EPA):
    Signed in 2016, this development-focused trade agreement grants asymmetric access to Botswana and five other SADC countries, allowing duty-free exports to the EU.
     
  • SACUM-UK EPA:
    In January 2021, SACU member states and Mozambique signed an EPA with the UK to enhance trade and sustainable development. The agreement covers trade in goods and services, intellectual property, public procurement, and tax governance.
     
  • SACU-EFTA FTA:
    SACU member states entered into a Free Trade Agreement with the European Free Trade Association (EFTA) in 2006, which came into force in 2008. The agreement covers trade in goods and lays the foundation for cooperation in investment, services, and public procurement.
     
  • Mercosur Preferential Trade Agreement:
    SACU signed a Preferential Trade Agreement with Mercosur in 2004, creating a framework for improved trade relations with South American countries like Argentina, Brazil, Paraguay, and Uruguay.
     
  • China’s Zero-Tariff Policy:
    In June 2025, China announced a zero-tariff policy for products from 53 African countries, including Botswana.  A protocol signed in July 2025 allows duty-free beef exports to China.
    African Growth and Opportunity Act (AGOA):
    Botswana benefits from AGOA, which provides duty- and quota-free access to the U.S. market for over 6,500 product categories.  AGOA is set to expire in September 2025.]\

 

Other Agreements

Botswana also benefits from SACU’s agricultural agreements with Iceland, Norway, and Switzerland, which enhance trade in agricultural products.
 

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