India and South Africa are to conclude a preferential trade agreement(PTA) by the end of this year.

India and South Africa to conclude PTA by end of this year. The India-Southern African Customs Union Preferential Trade Agreement would enhance economic ties by reducing tariffs on several key products.

South Africa Deputy Minister of Trade and Industry Elizabeth Thabethe told on the sidelines of a function in New Delhi  that Indian Commerce and Industry Minister Anand Sharma and his South African counterpart Rob Davis had agreed to expedite the work for the pact.

The Southern African Customs Union (SACU) consists of Botswana, Lesotho, Namibia, South Africa, and Swaziland. In PTA, the tariffs are not necessarily eliminated, but they are lowered than the countries not party to the agreement.

South Africa, the latest entrant to BRICS block of emerging nations, has said it expects the bilateral trade with India to reach 15 billion US Dollars by 2014.

South Africa's main exports to India are Gold, Coal, Diamonds and Platinum, while the its imports from India include auto components and Steel.
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