Various regional and international trade agreements facilitate access to export markets in Africa and overseas. Through such arrangements as the Cotonou Agreement, Swati products are generally granted preferential access to all of the world’s important markets, including the European Union, the United States, Canada, Japan, and Australia. The Southern Africa Development Community’s (SADC) concluded 2017 trade negotiations with the EU, that increased eSwatini trade in this arena, Eswatini is a signatory to the African Continental Free Trade Area AfCFTA), which, if fully ratified and implemented by its parties, would connect 1.3 billion people across 55 countries. Eswatini is currently a member state of the Common Market for Eastern and Southern Africa (COMESA). The Preferential Trade Area agreements for Eastern and Southern Africa grant Swati goods and services preferential access to a market of over 250 million people.
The SADC Trade Protocol came into force in January 2000. This initiative is strongly supported by the World Bank, International Monetary Fund, and the African Development Bank. Under SADC, a company with operations in Eswatini can supply the entire SADC region with minimal export controls. SADC is made up of Angola, Botswana, Democratic Republic of the Congo, Lesotho, Malawi, Mauritius, Mozambique, Namibia, Seychelles, Eswatini, South Africa, Tanzania, Zambia and Zimbabwe.
Eswatini membership in the Southern African Customs Union (SACU) (with Botswana, Lesotho, Namibia, and South Africa), allows for duty-free exchange of goods to a market of 45 million people. Goods from outside the Union require an import permit. Member countries receive due shares of the customs pool generated by commodities imported from outside the SACU. Customs revenue continues to be a major component of Swati government receipts, accounting for up to 55 percent of total revenue. For 2023/2024, SACU receipts are expected to increase from 5.83 billion emalangeni (US$302 million) to 10.25 billion emalangeni (US$532 million), representing 42% of GKoE’s revenue and 84% of its year on year revenue increase. The Renegotiated SACU Agreement came into effect in July 2004.
Eswatini is a signatory of the General Agreement on Tariffs and Trade. The GATT Agreement affects Swati industry through its membership in SACU. To meet GATT obligations, South Africa, on behalf of SACU, has submitted schedules for the gradual reduction of tariffs for some commodity imports.