ZIMBABWE stands to lose at least 5% of its yearly exports
to the United Kingdom in the case of Britain leaving the European Union without
a deal, a new United Nations agency report has shown.
According to the Zimbabwe National Statistics Agency, the
country exported goods worth US$3 045 963 last year up from US$1 349 211 in
2017, while Zimbabwe imported US$226,18 million worth of goods, up 66,24% from
the 2017 comparative of US$136,05 million.
Zimbabwe’s exports to the UK include diamonds, mange tout
peas, black fermented tea, oranges, unmanufactured tobacco, fresh avocados,
sculptures, fresh peaches, fresh nectarines, fresh raspberries and passion
fruit, among others.
An orderly Brexit would allow a transition period during
which Britain would be allowed to renegotiate existing trade agreements while a
no-deal Brexit means the UK would leave the EU with no agreements in place.
“A no-deal Brexit would significantly alter the market
conditions in the United Kingdom both for developing and developed countries.
“In such a case, countries which were enjoying preference
because of agreements (including other European Union countries) will find
themselves in a disadvantageous position as they would then face the MFN (most
favoured nation) tariffs,” reads the The United Nations Conference on Trade and
Development report.
“On the other hand, countries that were facing relatively
higher tariffs would benefit both because of possibly lower MFN tariffs and the
fact that many competitors would be taxed at the same rate…
“Although it is expected that the United Kingdom will
continue to provide duty-free access to LDCs (low developing countries), one
concern for such countries would be the retention of competitiveness in the
event of lower MFN tariffs.”
The UK has already stated its desire to seek replication of
EU trade concessions and to pursue bilateral agreements to replace those of the
EU.
“It is important to emphasise that while a no-deal Brexit
would have immediate repercussions for many developing countries’ exports,
significant concerns remain even in the case of a more orderly Brexit.
“Ultimately, third countries’ exports to the United Kingdom
will depend on the stance of the trade regime that the United Kingdom will
adopt both in relation to countries that currently enjoy preferences in the
European Union markets and on the MFN tariffs the United Kingdom will adopt.
“As of now, many developing countries’ exports enjoy very
favourable market access conditions to the United Kingdom markets, largely
because of bilateral trade agreements and because of European Union unilateral
preferential schemes. Of immediate concern is whether these conditions would be
carried over once Brexit is realised,” the report added.
Africa represents 2% of British trade activity, which
amounted to $680 billion in 2018. Standard
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