An empirical analysis of the imbalance between Tanzania and the European Union: lessons for the Negotiations of the Economics Partnership Agreements (EPAs)

Loading...
Thumbnail Image
Date
2007
Journal Title
Journal ISSN
Volume Title
Publisher
University of Dar es Salaam
Abstract
The research problem that was being investigated by this study was show whether there is a trade imbalance between EU Tanzania . Trade relationship between EU and Tanzania is titled in favour of the research problem that was being investigated by this study was to whether there is trade imbalance between the EU and Tanzania. Trade relationship between EU Tanzania is at a disadvantages as far as trade with the EU is concerned. This is reflected by the share and the composition of EU imports from Tanzania. The objectives of this study was to find out whether there is asymmetry in trade between Tanzania and the EU. The significant of the study revolves around the fact that there has been little attention and hence analysis given to the trade imbalances that exist between Tanzania and the EU. The methodology used to analyse the trade imbalances, was to examine the trade indices as well as running a regression analysis for various variables related to trade imbalances. The major findings from this study indicate that there is an imbalance in trade between Tanzania and the European Union (EU). Tanzania is a small player as far as global trade is concerned. In 2001 Tanzania accounted for 0.000195 of the global trade while the EU accounted for 0.673 of the global trade in 2001 meaning that EU has a high leverage as far as trade negotiations including EPAs trade Negotiations is concerned. Some of the lessons that could be drawn from this study are that Tanzania has t0 be cautious with the strategies for negotiating EPAs with the EU. Some of the conclus1•0ns are' EPAs and development support measures must be complimentary and mutually supportive. The study recommends that unless extra measures are taken by the Government to address the supply side constraints as well as putting in place other forms of capacity building, Tanzania might not benefit as much from the SADC EPAs negotiations.
Description
Available in print form, East Africana Collection, Dr.Wirbert Chagula Library, Class mark (THS EAF HD6490.O7T36)
Keywords
Trade imbalance, Balance of trade, European Union, Economic Partnership Agreement (EPAs), Tanzania
Citation
Tandari, C. T (2007) An empirical analysis of the imbalance between Tanzania and the European Union: lessons for the Negotiations of the Economics Partnership Agreements (EPAs), Masters dissertation, University of Dar es Salaam, Dar es Salaam.