Empirical studies on regional economic integration process in Africa exhibit sluggish progressrnand there by limited level of intra trade. The existing literatures in Africa, particularly inrnSouthern African regional integration bloc, SADC have neglected effects of regional economicrnintegration dealing with disaggregated data. This study analyzes trade creation and diversionrneffects of the Southern Afi"ican Development Community (SADC) using disaggregated data fromrn2000 to 2007. The investigation estimates an augmented gravity model using panel data andrnrandom effect estimator methods applying instrumental variables where needed.rnThe results show that the intra -SADC trade is growing in fuel and minerals, and heavyrnmanufacturing sectors while it di!>plays a declining trend in agricultural and light manufacturingrnsectors. This implies that SA DC has displaced trade with the rest of the world in both fuel andrnminerals, and heavy manufacturing sectors. SADC has served to boost trade significantly amongrnits members rather than with the rest of the world. Countries participating in SADC have movedrntoward a lower degree of relative openness in these sectors trade with the rest of the world.rnHowever, the increasing trend of extra-SA DC trade bias over the sample period in bothrnagricultural commodities and light manufacturing sectors means that there has been a negativerntrade diversion effect. In other words, the value of trade between members and non-members hasrnbeen increasing (and not falling as would be the case with trade diversion) for the two sectors.rnThese results seem to suggest that SADC countries retained their openness and outwardrnorientation despite they signed the trade protocolfor enhancing intra-SADC trade.