AFCFTA: Experts say delaying list of liberalised goods not in Nigeria’s interest

Trade experts have pointed to the downside of the delay in the release of the list of liberalised goods by the National Action Committee in line with the African Continental Free Trade Area (AfCFTA), three weeks after the agreement came into effect.

The experts say the delay put potential investors in a difficult position to make their investment decisions on Nigeria.

According to industry watchers, Africa’s largest economy could lose investment opportunities to other African countries, if the National Action Committee continues the delay in providing the enablement for the Nigerian Customs Service (NCS) to commence its work.

“I think our ratification of the AFCFTA agreement late has several negative implications such as getting certain key things ready. The National Action Committee has asked to be given time till next month to come up with guidelines for the Customs to be in tandem with ECOWAS protocols and guidelines. This would surely make investors delay their investment decisions since there is no guiding template for them yet,” Tony Ejinkonye, director, business development, Africa Esilkroad Network Limited, told Businessday.

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Ejinkonye, who is also the former president of Abuja Chamber of Commerce and Industry, explained that the ministry of industry, trade and investment has received the schedule of concessions from ECOWAS and has sent same to the African Union (AU), pointing out that it is only when they get the response back from the AU that they could detail the Customs on their role.

“When we create a vacuum such as this in decision making, investor’s confidence is eroded and they are likely to move to a more prepared country or regional bloc to site their industry and businesses,” Ejinkonye said.

The Nigerian Customs last week expressed readiness to play its role as a trade facilitator in the AFCFTA but said it was still waiting for the National Action Committee on the list of duties and charges waived for liberalised goods under the trade pact.

Joseph Attah, the spokesperson of the Customs, said the service was awaiting “the list of the 90 percent liberalised national trade offers; the list of 70 percent non-liberalised exclusive goods at the regional level, and the list of 3 percent non liberalised sensitive goods.”

Attah stated that the Customs was also awaiting the appointment of a competent authority responsible for issuing and authenticating certificates of origin and registering enterprises and products within the region.

Ken Ukaoha, president of Nigerian Traders Association of and trade negotiator, reacting to the development, told Businessday that while the Nigerian Office for Trade Negotiation has its lists of requirements for exporters in the trade pact, the Customs was yet to have their own. This disparity, he said, could undermine efforts to harvest the full benefits of the trade pact.

“There is a lot of politics in the AFCFTA. We must move with the unity of purpose. The National Action Committee must bring everyone to the table to enable us reap the benefits from this trade pact.