For more information on the trade agreement, visit AGOA`s official website. „The ratification of AfCFTA in Nigeria is a positive development, but the country`s commitment to intra-African trade should also be reflected in the reopening of its land borders,“ said Landry Signé, senior fellow at the Brookings Institution. „The reopening of the borders will send a strong signal to Nigeria`s intentions… „to boost intra-African trade.“ The most important effects are informal traders – most of them are small and medium-sized enterprises operating along the Nigeria-Benin border. Nigeria`s high level of protection for products such as rice has made smuggling from neighbouring countries very lucrative. The World Bank estimates that 80% of Benin`s imports go to Nigeria. Nigeria has ratified the free trade agreement, which will enter into force on 1 January 2021. This is an important step for the ambitions of the African Continental Free Trade Area (AfCFTA), as Nigeria is considered not only one of the continent`s largest economies, but also the most populous country. With its entry into force, AfCFTA intends to create an internal market for goods and services in Africa.
By 2030, the continent`s market size is expected to be 1.7 billion people, with more than $6.7 trillion in cumulative consumer and business spending – when all African countries join the Agreement. But despite these prospects and Nigeria`s positive attitude towards the outside world, the country continues to put a big red flag on free trade hopes across the continent. You also get rid of quotas, so there is no limit to the amount of trade you can trade. According to a 2014 African Development Bank study, only 16% of African countries` international trade is between African countries. In 2000, Nigeria and the United States signed a Framework Agreement on Trade and Investment (TIFA). The eight TIFA Council meetings between the United States and Nigeria took place in March 2014 and Nigeria was represented by the Federal Ministry of Industry, Trade and Investment (FMITI). To view the TIFA document, click Nigeria on the following link: ustr.gov/trade-agreements/trade-investment-framework-agreements. Since then, according to the Nigerian Trade Negotiations Bureau, the Nigerian Trade Negotiations Office has consulted with 27 groups, including trade unions. It describes the bilateral and multilateral trade agreements to which that country belongs, including with the United States. Includes websites and other resources that allow U.S. companies to get more information about how they can use these agreements.
ABUJA (Reuters) – Nigerian President Muhammadu Buhari has signed the free trade agreement with a $3 trillion free trade agreement on Africa, a spokesman confirmed on Sunday. The goal is to develop U.S. trade and investment relations with sub-Saharan Africa.