AfCFTA will stimulate intra- African trade
…Grows Nigeria’s export to Africa by 15 Percent – Buhari
President Muhammadu Buhari has stressed that the implementation of the African Continental Free Trade Agreement (AfCFTA) will stimulate intra-African trade, saying that the more ambitious the trade liberalization is, the greater the expansion of Nigerian exports to its African partners.
The president predicted that the implementation of AfCFTA will increase Nigeria’s export to other African countries by 15 per cent.
Speaking on Monday at the ongoing 9th edition of the Union of African Shippers’ Council (UASC) meeting tagged, ‘African Continental Free Trade Agreement: A veritable platform for African Shippers to mainstream into global trade’, holding in Lagos, Buhari, who was represented by the Ninister of State for Transportation, Prince Ademola Adegoroye, stated that for AfCFTA to have a positive influence on long term investment in productive capacities, African government must develop appropriate supporting policies, build requisite infrastructure and ensure an educated work force.
The president specifically hinted that Nigeria’s exports to the rest of African would increase by more than 15% in fishery, textile, wearing apparel, leather, wood and papers, metals, electronics, vehicles and transport equipment and machinery (for industrial sectors) and in meat and poultry, milk, dairy products, rice, other cereals, plant-based fibers and other crops, fruit, vegetables, nuts, vegetable oils, other food products, beverages and tobacco as well as livestock (for agriculture and food sectors).
He noted that following the AfCFTA reform, Nigeria’s exports would increase significantly to other African sub-regions, outside West Africa, with most impressive expansions to countries such as Botswana, Cameroon, Egypt, Ethiopia, Kenya, Malawi, Morocco, Mozambique, Namibia, Rwanda, Tanzania, Uganda and Zimbabwe.
He stated that due to her sheer economic size, Nigeria is among African nations expected to experience the largest absolute expansion in intra-African exports, and the ECOWAS member expected to give the largest boost to intra — African exports.
The President advised African countries on the needs to make AfCFTA a reality by creating national institutions to implement the agreement.
According to him, “It is an obvious fact that making AfCFTA a reality will require creating national institutions for implementing the Agreement, in addition to institutional coordination mechanisms for execution between public sector, private sector and donors. That is why the Nigerian Government have intensified efforts aimed at identifying new opportunities for diversification and value chain development under the AfCFTA, and complementary actions considered necessary to overcome the existing constraints to intra African trade.”
Noting that this will be achieved through cross sectoral approach, considering not just trade, but also closely related areas such as agriculture, industry, macroeconomic management and infrastructure development.
Earlier, in his welcome address, the Executive Secretary, Nigerian Shippers’ Council (NSC), Emmanuel Jime, enjoined African leaders to embrace tariff liberalisation for intra African trade to thrive.
Jime stressed the need to put adequate measures in place to reduce tariff and non-tariff barriers that hamper trading between countries in the continent.
According NSC boss, there is a need to create smooth integration of transport infrastructures and trade policies in the sub-region for trade to thrive.
“There is need to sensitise our various governments to fast track the dismantling of various tariff and non-tariff barriers that are hindering international trade. We should always look at the holistic impact which tariff liberalisation would have on our economy rather than just considering the immediate shortfall,” he further said
In his own speech, the Managing Director of the Nigerian Ports Authority (NPA), Mohammed Bello-Koko, pointed out that automation has remained the tool to port efficiency.
He hinted that NPA is working with the International Maritime Organization (IMO) to deploy Port Community System in Nigerian Ports to bring all stakeholders under one platform for ease of doing business.