CAPE TOWN, SOUTH AFRICA – Southern African Customs Union (SACU) leaders yesterday gave its new Executive Secretary, Dumsani Masilela, a new mandate to lead the reforms of the Union by implementing the Re-imagined SACU Agenda founded in Eswatini in June 2023.
This was during the 9th Summit of the SACU Heads of State or Government held here yesterday under the leadership of outgoing Chairman President Cyril Matamela Ramaphosa of the Republic of South Africa.
His Majesty King Mswati III was amongst the regional leaders, whop also included incoming Chairman Dr. Duma Gideon Boko of Botswana, Namibia’s Dr. Netumbo Nandi-Ndaitwah and Lesotho Prime Minister Samuel Ntsokoane Matekane.
The atmosphere was one of serious determination as the leaders surveyed a global landscape troubled by rising protectionism, unilateralism, and ongoing conflicts that had sent shockwaves through their economies in the form of disrupted supply chains and soaring food and energy prices.
In a communique read out by Eswatini’s first SACU Executive Secretary, Masilela was congratulated by the leaders on his appointment and given the keys to navigate these storms.
At the heart of their deliberations was a vision for a “re-imagined SACU”.
They reviewed the progress of their Strategic Plan (2022–2027), which they decided to extend to the 2028/29 Financial Year. A cornerstone of this plan was the bold creation of a SACU Regional Innovative Funding Mechanism, initially capitalized with E5 billion to support development projects across all member states.
The leaders envisioned a future where the region doesn’t just trade goods, but builds them together.
They discussed regional value chains in the automotive sector and the potential for green mineral beneficiation. To protect these growing industries, they celebrated the success of joint operations that had already seized approximately E479 million in illicit tobacco products and looked forward to creating “Seamless Non-Stop Border Trade Environments”.
Looking beyond their own borders, the Summit emphasized the need to leverage the African Continental Free Trade Agreement (AfCFTA) to build resilience. They also reached out to the world, calling for a 15-year extension of AGOA to ensure trade continuity and engaging with global powers like China, India, and the US as a single, unified bloc.
As the summit drew to a close, the leaders looked toward a deadline of July 2027 to finalize the total re-imagination of their union.
With a spirit of gratitude, they thanked President Ramaphosa for his stewardship as he prepared to hand the chairmanship over to President Boko of Botswana on July 15, 2026. The meeting ended with a reaffirmed commitment to unity, ensuring that while the global winds may be cold, the bonds of SACU remain strong.
The SACU Strategic Plan (2022–2027) is built upon the following six key pillars:
- Industrialisation, Export and Investment Promotion: This pillar focuses on regional value chains, such as in the automotive sector and green mineral beneficiation, to drive inclusive growth.
- Trade Facilitation and Logistics: This includes initiatives like the regional Authorised Economic Operator (AEO) programme and joint enforcement operations to combat illicit trade.
- Implementation and Leveraging of the AfCFTA: This involves fulfilling tariff liberalisation commitments to build regional resilience against global supply chain disruptions.
- Unified Engagement with Third Parties: This pillar ensures that SACU negotiates as a single bloc with external partners (like China, India, and the US) to maintain the integrity of its Common External Tariff.
- Finance and Resource Mobilisation: A major development under this pillar is the approval of a R5 billion SACU Regional Innovative Funding Mechanism to support development projects.
- Effectiveness of SACU Institutions: This focuses on strengthening governance and the administrative capacity of the union to ensure the plan’s successful execution.
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