Nigeria, UAE Ink CEPA, Scrap Tariffs On 7,000 Products

Nigeria and the United Arab Emirates (UAE) have signed a Comprehensive Economic Partnership Agreement (CEPA) that will eliminate tariffs on more than 7,000 Nigerian products entering the UAE market, marking a major shift in bilateral trade relations.

The agreement was signed on Tuesday in Abu Dhabi, following negotiations led by the Federal Ministry of Industry, Trade and Investment under the direction of the Minister and Nigeria’s Chief Negotiator, Jumoke Oduwole, according to a State House press release.

Under the CEPA, Nigerian agricultural and industrial products — including fish and seafood, oil seeds, cereals, cotton, pharmaceuticals and chemicals — will gain immediate duty-free access to the UAE market.

Over the next three to five years, tariffs on additional Nigerian exports such as machinery, vehicles, electrical equipment, apparel and furniture will also be phased out.

The agreement further allows Nigerian businesses to establish corporate entities, branches and subsidiaries in the UAE, while Nigerian business visitors will be eligible to stay in the country for up to 90 days within a 12-month period to pursue trade and investment opportunities. Intra-corporate transferees, including managers, executives and specialists, will be permitted to relocate for renewable three-year terms.

On the investment front, the CEPA is expected to address long-standing barriers to foreign direct investment by providing greater clarity and protection for UAE investors seeking opportunities in Nigeria’s productive sectors.

The government said this would support industrialisation, improve transport and logistics connectivity and contribute to job creation, particularly for Nigeria’s youth population.

Nigeria, in return, has committed to eliminate tariffs on around 6,000 products, with about 60 per cent of these tariffs removed immediately and the remainder phased out over five years.

The affected imports are mainly industrial inputs, capital goods and machinery. The country’s Import Prohibition List will remain in force.

In services trade, Nigeria’s commitments under the CEPA cover 99 specific services across 10 sectors, including business services, communications, transport, financial services, construction, distribution, health, environmental services, recreation and tourism.

The government described the CEPA as a strategic tool for economic diversification under the Renewed Hope Agenda of Bola Ahmed Tinubu, noting that the agreement positions Nigeria as a gateway for investors seeking access to the African Continental Free Trade Area market of 1.4 billion people.

The Ministry of Industry, Trade and Investment said implementation would be driven in collaboration with relevant agencies, including the Nigeria Customs Service, the Nigerian Export Promotion Council, the Nigerian Investment Promotion Commission and the Standards Organisation of Nigeria, to ensure businesses can quickly take advantage of the agreement.

Oduwole urged Nigerian businesses to leverage the enhanced market access, stressing that the CEPA was negotiated to deliver tangible benefits to the private sector and expand Nigeria’s footprint in global trade.