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· The AfCTA secretariat has announced the postponement of the commencement of AfCTA to a tentative date in January next year
· More than 42 countries out of 55 countries in the continent are in lockdown and the containment measures are complicating intra-trade.
As a fallout of the Pandemic, Commencement of trade under the African Continental Free Trade Agreement (AfCFTA) had looked doubtful as per the agreed schedule. The AfCTA secretariat has announced the postponement of the commencement of AfCTA to a tentative date in January next year from the original date of July 1.
Explaining the delay, AfCFTA’s Secretary-General Wamkele Mene said African governments are currently busy fighting the pandemic, saving lives and livelihoods. The secretary-general, was appointed by the AU in March to oversee the implementation of the agreement. Mr.Mene added that more than 42 countries out of 55 countries in the continent are in lockdown and the containment measures are complicating intra- rade. Long ques of trucks for more than 50 km waiting to deliver essential goods is a common sight at the borders.
The announcement was made in a webinar organised by Africa CEO’s Forum recently. The Covid-19 crisis led to the loss of March and April which were critical to complete pending technical aspects, such as rules of origin — products made in Africa — for some sensitive sectors, the exchange of tariff concessions on goods trade and commitments on trade in services, etc, explained Mr. Mene. He assured that the secretariat was working closely with the Centres for Disease Control and Prevention on how to engage Post-COVID when the conditions are conducive. There are more than 250 different negotiations on trade pending to be tabled with each country and region expecting to negotiate for the best preferential trade tariffs in the market which will create a single continental market for goods and services.
The AfCFTA secretariat underlined that the continental trade agreement would be vital for the continent to recover from the Pandemic crisis and to spur growth. It pointed out that African exports are expected to fall from 53 percent in 2019 to less than 30 percent this year due to the Pandemic.
