Members must phase out 90 percent of tariff lines – over five years for more advanced economies or 10 years for less developed nations. Meanwhile, 41 of the zone’s 54 member states have submitted tariff reduction schedules. Historic challenges including Africa’s poor road and rail links, political unrest, excessive border bureaucracy and petty corruption will not disappear overnight.Īnd an annex to the deal outlining the rules of origin – an essential step for determining which products can be subject to tariffs and duties – has not been completed yet. “For long-term success, I think we’ll need to look at how long it took Europe. “I would be surprised if they can have everything set up within 24 months,” he told Reuters. Gyude Moore – a former Liberian minister who is now a senior fellow at the Center for Global Development – say the real work begins now. “When the global supply chains are disrupted, we know that Africa suffers.”Įvery African country except Eritrea has signed on to the AfCFTA framework agreement, and 34 have ratified it. “COVID-19 has demonstrated that Africa is overly reliant on the export of primary commodities, overly reliant on global supply chains,” he said. However, the pandemic also gave the process added impetus, said Wamkele Mene, Secretary-General of the AfCFTA Secretariat. Trade under the AfCFTA was meant to be launched on July 1 but was pushed back after COVID-19 made in-person negotiations impossible.
“There is a new Africa emerging with a sense of urgency and purpose and an aspiration to become self-reliant,” Ghana’s President Nana Akufo-Addo said during an online launch ceremony.īut obstacles – ranging from ubiquitous red tape and poor infrastructure to the entrenched protectionism of some of its members – must be overcome if the bloc is to reach its full potential. The World Bank estimates it could lift tens of millions out of poverty by 2035. Backers say it will boost trade among African neighbours while allowing the continent to develop its own value chains.