BY MBONO MDLULI
MBABANE – In what might come as good news to the country’s exporting companies, the Ministry of Commerce, Industry and Trade is inviting them to start trading under the African Continental Free Trade Agreement (AfCFTA).
The invitation is issued by Minister for Commerce, Industry and Trade Manqoba Khumalo, through a statement issued today. This means that the companies will now be able to export to any of the 54 African countries, without having to pay any fees for their products.
While trading duty-free under the AfCFTA programme, the local exporting companies will have a share in the market that is worth US$3.4 trillion, which is over E63 trillion (E63 724 432 000 000). This market also has 1.8 billion people, who are within these 54 African countries.
According to the statement, the AfCFTA implementation strategy was launched on March 7, 2024 under the vision “to provide a strategic roadmap for Eswatini to maximise benefits under the AfCFTA targeting an annual regional export growth of 10 percent.”
The AfCFTA seeks to give new motivation and dynamism to economic integration in Africa by largely increasing intra-Africa trade by focusing on diversified and value-added goods and to stimulate investment and innovation within African countries.
The exporting companies can export under the AfCFTA, following the launch of the start of trade by all SACU countries as of 31 January 2024. Their participation under this programme can also increase their reach to countries in West and North Africa, including those above sub-Saharan Africa, according to the statement.
Currently, most of Eswatini exports to Africa are destined to countries in Southern African Customs Union (SACU), Southern Africa Development Community (SADC) and the Common Market of Eastern and Southern Africa (COMESA). The AfCFTA preferences are opening up new market access opportunities and extending to other countries in the following regions;
Economic and Monetary Community of Central Africa (CEMAC)
Members: Cameroon, Chad, Congo, Gabon, Equatorial Guinea, Central African Republic
Economic Community of West Africa (ECOWAS)
Members: Benin, Burkina Faso, Cabo Verde, Côte d’Ivoire, The Gambia, Ghana, Guinea · Guinea Bissau, Liberia, Mauritania, Mali, Niger, Nigeria, Sinegal, Siera Leone,
East African Community (EAC)
Members: DR Congo, Somalia, Burundi, Kenya, Rwanda, South Sudan, Uganda, Tanzania
Countries above Sub-Saharan Africa
Tunisia, Algeria, Egypt, Morocco
Requirement to Export under AfCFTA
To export under the AfCFTA and take advantage of preferences, exporters are required to apply and register with the Eswatini Revenue Services to be granted the certificate of origin (CoO). The CoO is a customs document that confers that products are originating from Eswatini and are eligible for preferences. For more information on the registration process, please email your enquiries to NNxumalo@ers.org.sz.
The AfCFTA Secretariat will be visiting the country in the month of May 2024, to engage with traders and potential traders on the benefits of exporting under the AfCFTA. Communication will be sent to the business community on these engagements.
For more information on the opportunities offered by the AfCFTA , please visit https://au-afcfta.org/wp-content/uploads/2024/01/Unpacking-the-African-Continental-Free-Trade-Area-A-Glossary_03-April-2023.pdf or send enquiries to the International Trade Department at mahlalelalp@yahoo.com and khetsiwekd@gmail.com, EIPA at mnisisg@sipa.org.sz or call 2404 0470 and ERS at NNxumalo@ers.org.sz
