Post by Trade Forum on Aug 29, 2022 22:28:26 GMT 1
AfCFTA: 8 Countries Excluding Nigeria To Commence Trading – Ghana’s Deputy Trade Minister
Eight countries, comprising Rwanda, Cameroun, Egypt, Ghana, Kenya, Tunisia, Mauritius and Tanzania have been selected among countries to start trading under the African Continental Free Trade Area (AfCFTA) framework in a pilot phase.
The reason why Nigeria was not chosen as a part of the testing countries is still not clear to me; the country is touted to be the largest economy in Africa but curiously excluded from such a big economic event in the continent.
We will try as much as possible to find out the reason and bring it to the notice of our members in due course.
The move is meant to test the environmental, legal and trade policy basis for intra-African trade, according to the AfCFTA secretariat.
All 54 African countries have signed the AfCFTA agreement with 46 including customs union having submitted their tariff offers.
Countries picked to participate in what is known as the AfCFTA Initiative on Guided Trade were announced during the 9th meeting of the AfCFTA Council of Ministers in Accra recently.
They were selected from the 36 that had expressed interest in trading under the pilot phase. Each of the applicants had submitted its tariff schedule.
According to the AfCFTA modalities, 90 per cent of tariff offers fall under category A, which covers products that were liberalized in 2021. This will progressively be reduced over 10 years.
Seven per cent (7%) get liberalized over 15 years while three per cent (3%) of products are excluded from tax exemption.
According to the AfCFTA Secretariat, the initiative seeks to demonstrate that AfCFTA is functioning and send a political message to countries that are yet to submit their provisional schedules of tariff concessions in accordance with agreed modalities.
We will find out and report to our members if Nigeria has submitted its provisional schedules of tariff concessions in accordance with the agreed modalities.
The initiative will identify companies, products, customs procedures, and logistics processes required to enable a trade to happen under the AfCFTA, officials said.
Director General of Trade and Investment at the Ministry of Trade and Industry in Rwanda, Antoine Kajangwe, said Rwanda would now begin to access markets in the west and central Africa on preferential rates, with a reduction in duties having begun in 2021.
“Over time, this will increase Rwanda’s intra-African exports, spur industrialization through economies of scale, increase employment in productive jobs, and lead to the structural transformation of Rwanda’s economy,” he said.
Western African countries such as Ghana, Senegal, Nigeria, Chad, and Benin are said to present great potential for trade and investment for Rwanda’s private sector.
Recently, the Economic Commission for Africa (ECA) launched a comprehensive tool that measures how easy, or hard, it is to do business between African countries.
Known as the AfCFTA Country Business Index (ACBI), it is expected to assess the perceived impact of the continental trade area on the private sector’s ability to trade and invest across African borders once the free-trade framework is operational.
According to Herbert krapa 87.7% of tariff lines have been agreed upon under the rules of Origin negotiations and phase two negotiations on Investment, intellectual property rights, competition policy, women and Youth in trade and digital trade were on going.
AfCFTA Country Business Index (ACBI) is very important if the regional trade block is to succeed. If it is very difficult for other African countries to set up business in another country, then of what use is the AfCFTA.
Speaking at the export Trading Company seminar in Accra, the Deputy Minister of Trade and Industry said, "Actual trading is starting between Cameroon, Egypt, Kenya, Mauritius, Rwanda, Tanzania, Tunisia and Ghana. In the coming weeks the dream of our forebears will be off the ground, and historic as the moment maybe."
He also commended Afreximbank for setting up export trading companies across Africa to facilitate trade across the continent.
It is believed that free movement of goods and services will help expand intra-African trade.
This implies that goods will be sold at a relatively cheaper price because of the increase in production which will in turn create both direct and indirect jobs for the teeming unemployed youths in the continent.
We of this forum believe in this, but we still keep our fingers crossed. Trust that we will bring all information that will be of economic importance to you as events unfold.
Stay with us.
Our company is one of the best companies in Agro-Export Business in Nigeria today, we train individuals and corporate organizations on how to do Export Business the right way; if you are interested, please contact the admin of this forum now for further details.
Eight countries, comprising Rwanda, Cameroun, Egypt, Ghana, Kenya, Tunisia, Mauritius and Tanzania have been selected among countries to start trading under the African Continental Free Trade Area (AfCFTA) framework in a pilot phase.
The reason why Nigeria was not chosen as a part of the testing countries is still not clear to me; the country is touted to be the largest economy in Africa but curiously excluded from such a big economic event in the continent.
We will try as much as possible to find out the reason and bring it to the notice of our members in due course.
The move is meant to test the environmental, legal and trade policy basis for intra-African trade, according to the AfCFTA secretariat.
All 54 African countries have signed the AfCFTA agreement with 46 including customs union having submitted their tariff offers.
Countries picked to participate in what is known as the AfCFTA Initiative on Guided Trade were announced during the 9th meeting of the AfCFTA Council of Ministers in Accra recently.
They were selected from the 36 that had expressed interest in trading under the pilot phase. Each of the applicants had submitted its tariff schedule.
According to the AfCFTA modalities, 90 per cent of tariff offers fall under category A, which covers products that were liberalized in 2021. This will progressively be reduced over 10 years.
Seven per cent (7%) get liberalized over 15 years while three per cent (3%) of products are excluded from tax exemption.
According to the AfCFTA Secretariat, the initiative seeks to demonstrate that AfCFTA is functioning and send a political message to countries that are yet to submit their provisional schedules of tariff concessions in accordance with agreed modalities.
We will find out and report to our members if Nigeria has submitted its provisional schedules of tariff concessions in accordance with the agreed modalities.
The initiative will identify companies, products, customs procedures, and logistics processes required to enable a trade to happen under the AfCFTA, officials said.
Director General of Trade and Investment at the Ministry of Trade and Industry in Rwanda, Antoine Kajangwe, said Rwanda would now begin to access markets in the west and central Africa on preferential rates, with a reduction in duties having begun in 2021.
“Over time, this will increase Rwanda’s intra-African exports, spur industrialization through economies of scale, increase employment in productive jobs, and lead to the structural transformation of Rwanda’s economy,” he said.
Western African countries such as Ghana, Senegal, Nigeria, Chad, and Benin are said to present great potential for trade and investment for Rwanda’s private sector.
Recently, the Economic Commission for Africa (ECA) launched a comprehensive tool that measures how easy, or hard, it is to do business between African countries.
Known as the AfCFTA Country Business Index (ACBI), it is expected to assess the perceived impact of the continental trade area on the private sector’s ability to trade and invest across African borders once the free-trade framework is operational.
According to Herbert krapa 87.7% of tariff lines have been agreed upon under the rules of Origin negotiations and phase two negotiations on Investment, intellectual property rights, competition policy, women and Youth in trade and digital trade were on going.
AfCFTA Country Business Index (ACBI) is very important if the regional trade block is to succeed. If it is very difficult for other African countries to set up business in another country, then of what use is the AfCFTA.
Speaking at the export Trading Company seminar in Accra, the Deputy Minister of Trade and Industry said, "Actual trading is starting between Cameroon, Egypt, Kenya, Mauritius, Rwanda, Tanzania, Tunisia and Ghana. In the coming weeks the dream of our forebears will be off the ground, and historic as the moment maybe."
He also commended Afreximbank for setting up export trading companies across Africa to facilitate trade across the continent.
It is believed that free movement of goods and services will help expand intra-African trade.
This implies that goods will be sold at a relatively cheaper price because of the increase in production which will in turn create both direct and indirect jobs for the teeming unemployed youths in the continent.
We of this forum believe in this, but we still keep our fingers crossed. Trust that we will bring all information that will be of economic importance to you as events unfold.
Stay with us.
Our company is one of the best companies in Agro-Export Business in Nigeria today, we train individuals and corporate organizations on how to do Export Business the right way; if you are interested, please contact the admin of this forum now for further details.
