SADC Flashcards
What were each SADCC nation responsible for?
TANZANIA: Industry
Botswana: Agriculture research and disease control Lesotho: Soil and water conservation and land utilisation. And tourism. Malawi: Fishery, wildlife, forestry Zimbabwe: Food security Angola: Energy Swaziland: Manpower development Zambia: mining (copper) Mozambique: Transport and communication
Effects on Mozambique and Angola following the SA’s Total Strategy.
Mozambique:
- GDP loss between 1980-88: 580% of actual GDP
- Of 14m Mozambicans, 1.1m displaced inside the country, 700,000 fled to neighbouring countries.
- Urban population of about 2.6m also in need of food aid.
- pledged for 710,000 tonnes of grain
Mozambique sough US$332m in aid from donors.
Had destabilisation had not happened they could have had real output growth similar to Zimbabwe
Angola:
GDP loss between 1980-88: 800% of actual GDP
During 1998. What infrastructure developments were produced between SADC nations?
Construction of Maputo corridor between Mozambique and SA.
Aim:
- Maximise shared resource within region to establish sustainable growth path.
- Rehabilitating transport a precondition to development.
Attracting private investments e.g. Mozal. It boost construction industry in SA and expected to double Mozambique GDP.
How significant is SACU revenue for the revenue of the SACU members?
Swaziland: 40.3% in 1992
Lesotho: It constitutes 41.5% of its revenue in 1988
47.2% in 1992
ALMOST HALF THEIR ECONOMY DEPENDENT ON SACU REVENUE.
Lesotho was scared at the time of SADCC troubles. Didn’t want to upset SA as they were receiving large revenue shares and were dependent. But being a member of SADCC they were in danger.
Similarities to EU
Tried to keep everyone happy. Share the spoils. and keep the smaller economies happy too. Maintain peace.
Difference to EU
Initiated for the freedom from SA.
To protect against colonialism.
To maintain peace
economic as well as political stability. more political than economic.
Not about Economic institutional objectives.
SA ‘Total Strategy’ destabilisation plan against Mozambique.
Anti-Frelimo guerrilla’s part of the Mozambique National Resistance (MNR) backed by SA and based in Malawi.
RENAMO.
SA aim to destabilise country and paralyse/ overthrow Frelimo.
Results
- 1980- SA killed Mozambique leader
- 2/3 under control my Renamo (White Rhodesians who want to destabilise Mozambique to discourage Mogambi) SA deny their involvement.
- Target main roads
- Cars and lorries shot at
- Trains destroyed.
- Ports, electricity, clinics and schools destroyed
- Attack on water supply
- Out of fear the peasant would help the MNR. Army forced them to live in Villages so they cant help Those who hated it their would burn the villages down and blame it on MNR.
Why did SA destabilise Mozambique?
1974- Portuguese Fascist Regime pulled out. Can’t win colonial war.
M wanted to use landlocked ports from surrounding countries rather than SA ports. so they can have economical independence. In response SA attacked all the ports and destroyed all railways. kept destroying.
Did not allow imports/exports.
Aim: to make SADCC countries reliant on SA
worked to some extent
SA ‘Total Strategy’ destabilisation plan against Angola
UNITA bandits against Angola to destabilise and overthrow their progressive government, MPLA, to reshape the political map of the region to the advantage of the apartheid regime.
Angola a global strategic force because of its oil and mines. When SA saw Portuguese pull out they wanted to take over. America sent a message that they wont help because they were involved in Vietnamese war. SA VEXED. MPLA bought in the Cubans. Pushed SA out.
5 negatives of economic cooperation within Southern Africa
(1) Fear of loss of national identity; particularly for smaller weaker nations
(2) Fear of becoming economic backwater (due to economic of scales e.g. SA has more exports) to even greater extent. Economic cores (Zimbabwe, then SA) will dominate and make selfish decisions!!! They will get all FDI
(3) Fears that establishment of common financial pool (e.g. customs) will NOT be fairly distributed => smaller countries wont have enough to invest for development
(4) disagreements about locations of mega infrastructural projects e.g. dams
(5) similarity in production pattern. Many dont stand a chance from free trade as they export wats not needed in the region e.g. diamonds, tea, coffee, sugar. Those with industrial base e.g. SA, will get all the trade benefits. Exporting > importing. TRADE IMBALANCES!!!
8 positives of economic cooperation within Southern Africa
(1) Countries too small. Economies too undifferentiated to be viable.
(2) larger financial pool. poorer, weaker small can improve financial standing and lean on richer stronger partners for assistance.
(3) free trade? free entry of each others products. ends costs and problems of running different customs, railway tariffs etc. Encourages foreign investments. Common tariffs = level playing field.
(4) large pool or revenues. = greater capacity to invest in large capital investments for more than one country e.g. dams, railways. these would never had been possible for individual countries.
(5) lowers admin cost by sharing same admin (argued the opposite)
(6) larger voice politically on an international scale if they band together
(7) common grouping for international community to provide aid for common problems e.g. Pooled aid for common health problems.
(8) form common front against private investors. whom smaller weaker countries would not have been able to step up to. e.g. Malawi vs. British American Tobacco. They in danger of being outmanoeuvred as there budgets huge relatively. Powerful bargaining position if they clubbed together on common set of policies.
Key ingredients for regional economic cooperation success?
(1) Important if the members favour each other over other institutions/countries e.g. EU
(2) symbolism. present themselves as SADC internationally. equal and respectful treatment.
(2) selflessness of richer counties. In the long term it will benefit them as it will increase economic vitality of local trading partners.
Why were members nervous of SA?
South Africa presents itself as the powerhouse of region/gateway.
They say SADC is irrelevant
We should look towards India and China not SADC
Rob Davies says:
- That is stupid. We need to fix Southern Africa after apartheid.
- SA stupid to cut ties with SADC. and trade figures are complicated things.
- SA trades agriculture but wants to export higher value added manufactured goods
- No match for international competitors tho. so they trade to other SADC countries.
why? cheap travel, have relations, cannot trade with EU, India, China
Davies says they have to look beyond trade figures and look into the advantages of SADC trade
LOOK BEYOND SELF-INDUSTRY!!
Why did SADC not want to establish trading links with EU?
EU was trying to establish bilateral trade agreements with SADC called EPA.
But this was shocking as power relations are very different.
Undermines SADC framework as South Africa would only gain from agreement
What are the 5 advantages of REGIONAL cooperation. SADCC.
(1) links already established e.g railway and water
(2) common technical problems particularly mining
(3) shared ideology/liberation movements
(4) link of labour migration to SA.
(5) no FTA because they are too diverse and would leave to cumulative inequalities.
