On 1 January 2021, following the completion of ratification procedures by both countries, the Free Trade Agreement (FTA) signed in October 2019 between the Republic of Mauritius and the People’s Republic of China came into force.

The FTA provides Mauritius with an opportunity to further reinforce trade ties with China by easing off on trade barriers between the two countries. Among the key components addressed in this agreement are trade in goods, trade in services, investment and economic cooperation.

Under the FTA, Mauritius will benefit from the following:
• Pertaining to trade in goods, Mauritius benefits from immediate duty free access on the Chinese market on some 7,504 tariff lines. Tariffs on an additional 723 tariff lines will be phased out over a 5 to 7-year period starting on 01 January 2021;
• An additional Tariff Rate Quota for 50,000 tonnes of sugar will be implemented on a progressive basis over a period of 8 years with an initial quantity of 15,000 tonnes;
• Both Mauritius and China have agreed to remove restrictions in more than 100 service sectors. These include financial services, telecommunications, Information and Communications Technology, professional services, construction and health services.

The China-Mauritius Free Trade Agreement marks China’s first FTA with an African country. It sustains Mauritius’ goal to diversify its trade markets as well as China’s venture into the African continent. Further information can be accessed on the link below:
Mauritius-China Free Trade Agreement: Here

Stay tuned for our upcoming newsletter on the Mauritius-China FTA.