The recently signed Economic Partnership Agreement (EPA) should not be allowed to undermine the SA Customs Union (SACU), Trade and Industry Minister Rob Davies said on Monday.

However, he emphasised that South Africa had not threatened to "walk into the SACU and pull it apart”.

Davies was addressing a media briefing following his meeting with Business Unity SA (Busa) leaders.

His comments came after three SACU members - Botswana, Lesotho, and Swaziland - opted to sign a separate trade agreement, the EPA, with the European Union (EU).

Mozambique also indicated a willingness to sign the deal.

South Africa, Namibia and Angola had taken the view that fundamental issues needed to be resolved before the agreement could be signed, Davies said, adding that one of the conditions required was to keep cheap clothing imports out of South Africa.

"South Africa doesn't want the EPA to create a climate where the SACU is undermined. In fact South Africa is in favour of even deeper integration in SACU.

"We don't want to see it as only a form of convenience for transfers of revenue," Davies said.