Assessments of the Impact of the Southern African Customs Inion on Botswana’s Intra-Regional Trade Performance

This study examines the impact of the southern Africa customs union on Botswana’s intra-regional Trade performance for the period 2004-2014. The gravity model has been employed to work out the influence of geographical distance on international trade performance, specifically between two countries Descriptive statistics have been used where tables, graphs and charts are adopted and applied for data analysis. The findings of this study reveal that there is an improvement in the intra-SACU trade to Botswana looking at the analysis of data within the years under focus, evidenced by increased export values and slow growth of imports as well as the positive balance of trade. SACU member states have revealed comparative advantage. The likelihood is that SACU s protected market will significantly benefit South Africa and to a lesser extent Botswana because of the narrow base of the products the region member states have revealed comparative advantage in, SACU will shut many low cost producers outside the trading block in favor of high cost producers within SACU.The study recommends some measure to improve the situation for better realization of economic gains.