During a recent World Trade Organization Trade Policy Review, the United Kingdom’s Permanent Representative to the WTO and UN in Geneva, Simon Manley, delivered a statement highlighting Mozambique’s economic resilience and commitment to international trade.
The review, which took place in July 2024, offered insights into Mozambique’s trade policies and economic landscape since its last review in 2017.
Overcoming Adversity
Manley acknowledged the various challenges Mozambique has faced since its last review, including:
- Climate-related shocks
- COVID-19 pandemic
- Ongoing conflict
Despite these obstacles, Mozambique has demonstrated a commitment to economic reforms, particularly through its participation in an IMF programme initiated in 2022.
The UK representative praised the Mozambican government’s efforts to address recent public sector wage bill overruns, as discussed in the review reports.
UK-Mozambique Trade Relations
One of the standout points in Manley’s statement was the rapid growth in trade between the UK and Mozambique:
Year |
UK Exports to Mozambique |
UK Imports from Mozambique |
|---|---|---|
| 2023 | Over 100% growth | 175% increase in value |
This substantial increase in bilateral trade underscores the strengthening economic ties between the two nations.
SACUM-UK Economic Partnership Agreement
Manley expressed gratitude for Mozambique’s constructive role in implementing the Southern African Customs Union Member States-UK Economic Partnership Agreement.
This agreement, which came into force in 2021, serves as the foundation for trade relations between the UK and Mozambique, as well as other southern African nations.
The UK representative highlighted the upcoming first EPA Joint Council as an opportunity to further enhance the benefits of the agreement for businesses and consumers in both regions.
Developing Country Trading Scheme
The statement also touched upon the UK’s Developing Country Trading Scheme, which recently celebrated its first anniversary.
This initiative provides improved market access to 65 developing countries, including Mozambique, emphasising the UK’s commitment to supporting economic growth and sustainable development in Least Developed Countries.
Mozambique’s WTO Engagement
Manley commended Mozambique’s dedication to upholding the principles of a rules-based, predictable, and transparent trading system. He specifically praised Mozambique’s active participation in various WTO initiatives, including:
- Trade Facilitation Committee
- Informal Working Group on Micro, Small, and Medium-sized Enterprises
- Dialogue on Plastics Pollution
The UK representative also expressed interest in learning more about Mozambique’s efforts to promote inclusive economic development, particularly in the realm of trade and gender initiatives.
African Continental Free Trade Area
Manley took the opportunity to applaud Mozambique’s accession to the African Continental Free Trade Area.
The UK has been a strong supporter of this initiative, recognising its potential to transform intra-regional trade across the African continent and drive inclusive economic growth.
Consider This
As the Trade Policy Review concluded, Simon Manley thanked the Mozambican delegation for their full cooperation and transparency throughout the process.
He acknowledged the hard work involved in answering the UK’s questions, playfully noting that he hoped it didn’t distract them from celebrating Mozambique’s Independence Day the previous week.
The review highlighted Mozambique’s resilience in the face of economic challenges and its commitment to international trade cooperation. As both nations look to strengthen their economic ties, the insights gained from this review will undoubtedly play a crucial role in shaping future trade policies and relationships.
For more information on UK-Mozambique trade relations and updates on international trade policies, visit the Department for Trade and Industry website.
Sources: THX News, Foreign, Commonwealth and Development Office & Simon Manley CMG.
