Definition
A pact between two or more countries that grants reduced or zero tariffs on agreed goods traded between them, departing from standard MFN rates. Goods must meet the agreement's rules of origin to qualify for the preference. South Africa is party to several such agreements, including SADC, the SADC EU Economic Partnership Agreement and AfCFTA.
Frequently asked questions
What is Preferential Trade Agreement (PTA)?
A pact between two or more countries that grants reduced or zero tariffs on agreed goods traded between them, departing from standard MFN rates. Goods must meet the agreement's rules of origin to qualify for the preference. South Africa is party to several such agreements, including SADC, the SADC EU Economic Partnership Agreement and AfCFTA.
Which glossary terms are related to Preferential Trade Agreement (PTA)?
Preferential Trade Agreement (PTA) is a regional trade term in the South African import/export industry. Related terms in the same area include AfCFTA Tariff Phase-Down, AGOA (African Growth and Opportunity Act), CBAM (Carbon Border Adjustment Mechanism), Certificate of Origin, COMESA (Common Market for Eastern and Southern Africa) — each has its own plain-English definition in the TradeCaravan glossary.