AfCFTA: Nigeria to start trading next quarter - FG

The Federal Government has intensified efforts to start actual trading under the African Continental Free Trade Area (AfCFTA) Agreement in the third quarter (Q3) of 2021, Secretary of the National Action Committee (NAC) on the agreement, Francis Anatogu said in Lagos.

Anatogu, who spoke at the AfCFTA Trade Facilitation Stakeholders Sensitisation organised by NAC, said Nigeria’s vision is to become the most resilient economy in Africa through intra-Africa export growth and economic diversification, adding that part of the immediate goals is to commence trading by Q3, 2021.

As of today, no state party to the AfCFTA Agreement has officially accepted the offers of another on tariff liberalisation as the harmonisation process of different regional custom unions remains complex, contributing to delay in actual trading under the single market.

Over 50 African countries are party to the AfCFTA, which entered into force on January 1, 2021, Nigeria and other AfCFTA member states are still feet dragging on the establishment of local Designated Competent Authority to administer rules of origin as stipulated by the agreement.

Lagos State Commissioner for Commerce, Industry and Cooperatives, Dr Lola Akande, represented by the Permanent Secretary, Mr Sewedo Oluseyi Whenu, said the sensitisation was timely and apt to enlighten the stakeholders on the importance of rules of origin and trade facilitation intervention in a single continental market.

On the fundamentals of the export process, a trade expert with the AfCFTA-NAC, Mr Olusegun Olutayo, stressed that success of the implementation of the AfCFTA would depend on the proper administration of rules of origin by the Designated Competent Authority saddled by Article 21 of the Agreement to issue a certificate of origin to approved exporters.

Meanwhile, the Minister of Trade and Investment, Niyi Adebayo, has said infrastructure deficit may hamper implementation of AfCFTA.

He stated this at a press conference in Abeokuta, Ogun State.

Adebayo represented by the Director of Trade in the Ministry, Aliyu Abubakar, led the NAC  on the AfCTA to the state as part of the nationwide sensitisation and sub-national engagement.

The minister noted that the infrastructure deficit should be fixed for Nigeria to take full advantage of AfCFTA.

Adebayo also said lack of information by the stakeholders may pose a greater challenge to the success of the AfCFTA.

According to him, Nigeria must address the bottleneck to benefit from the agreement, which seeks to create a single market in Africa with a population of 1.2 billion people and a combined Gross Domestic Product (GDP) of $3.4 trillion.

“On quality infrastructure, the  AfCFTA-NAC is working with relevant agencies, ministries and departments to make sure that we meet and comply with internationally accepted standards and thus ensure that our products can easily access the continental market

“The huge African market demands finished products which Nigeria’s industrialisation and economic diversification efforts seek to meet under the AfCFTA agreement.”

Governor Dapo Abiodun who was represented by his deputy, Noimot Salako-Oyedele said the Technical Committee would interface with NAC to ensure full implementation of the AfCFTA agreement in the state.

The governor noted that the state would leverage the agreement to boost its economy and create enabling environment for businesses to thrive.