641. On the Southern African Development Community (SADC), the CSAR reports that the regional economic community (REC) was crafted out of the Southern Africa Development Co-ordination Conference (SADCC) in Lusaka, in 1980. At its inception, the organisation focused on functional cooperation in key sectors and used a decentralised structure of sector-coordinating units and commissions to manage its Program of Action. Implementation of the SADC Free Trade Area (FTA) began as early as 1 January 2008, although it was launched on 17 August 2008. About 85 per cent of goods trade between the SADC FTA participating member states is conducted tariff-free. With the exception of the Democratic Republic of the Congo (DRC), Malawi, Angola, and Seychelles - yet to sign the FTA protocol - all SADC Member States participate in the SADC FTA. SADC Member States also continue to implement the FTA and other joint projects such as the North-South Development Corridor and Zambezi Watercourse Commission (ZAMCOM). SADC has plans to transform the bloc into a common market by 2015. 642. The CSAR highlights recent developments in enhancing integration in the Eastern and Southern Regions of Africa. One of the active regional economic groupings in Africa is the Common Market for Eastern and Southern Africa (COMESA). Tanzania is not a member unlike other members of the EAC and SADC. In 2008, COMESA, EAC and SADC Heads of State and Government approved the expeditious establishment of a Single Free Trade Area encompassing the three RECs. This Tripartite arrangement holds immense opportunity for countries within the economic space, including Tanzania, to benefit from larger market size and increased economic activity. It is also a major boost to efforts geared towards an African Economic Community. 643. The CSAR underscores a number of challenges. In the area of external trade, growing trade between Tanzania and other members of both EAC and SADC was noted. However, in terms of performance, Tanzania’s trade balance recorded mixed results. In the case of SADC, the country experienced an unfavorable balance of trade in recent years. However, in the EAC, Tanzania recorded trade surpluses in 2007, 2008, and 2010. Therefore, Tanzania needs to intensify efforts to sustain those gains in the EAC and take adequate measures to reverse the negative trade deficits within SADC. This includes capacity building and enhancing competitiveness. 644. On overlapping membership, a characteristic of many regional groupings in Africa, the CSAR notes that most countries belong to two or more RECs, and Tanzania is no exception. In practice, this overlapping membership poses certain difficulties, mainly because of resource implications (administrative costs, multiple membership fees, etc.) and differences in, inter alia, rules of origin, and intra-regional trade liberalisation scenarios under various agreements. This is Tanzania’s experience by virtue of its participation in both EAC and SADC. Furthermore, conflicting objectives among rival arrangements have the potential to slow progress in some areas. 645. Other key issues highlighted in the CSAR include low levels of public awareness about regional integration, thus constraining the ability of Tanzanians to take full advantage of emerging opportunities from the integration process. In order to address this and related challenges, Government developed an awareness-raising program about the EAC integration process to educate the general public on EAC integration and potential opportunities related to it. In addition, Government is in the process of developing a National Integration Policy and National Strategy for the implementation of the EAC Common Market. 646. The CSAR also notes that there was a heated debate on Tanzania’s membership in both EAC and SADC, especially given unfavorable trade performance, mainly in SADC. The general perception in some quarters is that integration is not favourable to Tanzania. Furthermore, the perceived loss of sovereignty, linked to the fear that integration implies that important decisions will be taken at the bloc level leaving no room for ordinary Tanzanians to influence domestic policy-making, also tended to influence public opinion on regional integration. There is therefore a strong need to address some of the afore-mentioned views by general information and awareness-raising. 647. In conclusion, the CSAR notes that Tanzania has put in place the necessary policy framework to guide its participation in international trade and regional integration processes. The country progressed considerably in promoting participation and accelerating regional integration through tariff reduction, in conformity with signed protocols. This calls for more intensified efforts to empower Tanzanians to compete in regional integration schemes, as well as awareness-raising efforts for the public to better understand the benefits and opportunities of integration. Challenges posed by a multiplicity of memberships in regional arrangements also need to be addressed. 134