Nigeria Formalises AfCTFA Agreement, Opens For Business

Nigeria is now “open for business” following the official gazetting and transmission of its tariff offers for trade in goods under the African Continental Free Trade Area (AfCFTA).

Minister of Industry, Trade, and Investment, Dr. Jumoke Oduwole, said, the move signifies a key step in Nigeria’s commitment to the ambitious trade pact, which aims to create a single continental market for goods and services, ahead of the 16th meeting of the AfCFTA Council of Ministers (COM) responsible for Trade holding in Kinshasa DRC on April 15, marking a significant milestone in regional trade integration.

By formally submitting its ECOWAS Schedule of Tariff Offers to the AfCFTA Secretariat, Nigeria has laid the legal framework for the implementation of agreed-upon tariff reductions on goods traded with other member states.

This Agreement establishes zero duties on 90 per cent of tariff lines for trade in goods, enhancing Nigeria’s market competitiveness and expanding trade opportunities across Africa. Nigerian goods are now competitively positioned in the African market, ensuring greater business access and profitability.

President Bola Tinubu had signed the ECOWAS Schedule of Tariff Offers, which reinforces Nigeria’s commitment to regional trade expansion. This step under the AfCFTA framework strengthens Nigeria’s role in shaping the future of intra-African trade and boosting export competitiveness.

Furthermore, it enables the seamless shipment of goods to and from Nigeria, unlocking new opportunities for businesses, manufacturers, and exporters.

The gazetting of the Schedule of Tariff concessions is expected to yield significant benefits, including boosting economic growth and job creation by reducing trade barriers, strengthening regional integration and trade relations through enhanced economic ties, and supporting Nigerian SMEs by lowering costs and encouraging market expansion.

This reciprocal trade arrangement aligns with the directive of the 35th Ordinary Session of the Assembly of Heads of State and Government of the African Union in February 2022. As a result, other AfCFTA State Parties can now accept consignments from Nigeria under the Agreement.

Under its preferred classification, Nigeria’s tariff reductions for trade in goods follow a phased approach over 10 years beginning in 2021.

By 2025, the fifth year of AfCFTA implementation, a 50 per cent tariff reduction on NGN, implemented at a rate of 10 per cent per year, should immediately affect goods in trade with least developed countries in Africa.

Minister of Industry, Trade, and Investment, Dr. Jumoke Oduwole, said: “The gazetting and transmission of the ECOWAS Schedule of Tariffs to the AfCFTA Secretariat signals Nigeria’s readiness for trade under the Agreement.

“This milestone enables Nigerian exporters to leverage preferential tariff access across African markets, positioning Nigeria as a key player in regional and global trade, and underscores Nigeria’s dedication to leveraging Africa’s single market for econ omic transformation.

‘After initiating its first shipment under AfCFTA in July 2024, Nigeria has solidified its leadership in regional trade and integration with the formal gazetting of the Schedule of Tariffs for Trade in Goods to ensure Nigerian goods can access other markets competitively and profitably.”