Intra-African Trade

EENI- School of International Business

Subject: The Action Plan for Boosting Intra-African Trade. Syllabus:

This subject consists of two parts:

1- Introduction to Intra-African Trade.

  1. Obstacles to intra-African trade
  2. Diversification of exports
  3. Lack of infrastructures
  4. Free-Trade Areas
  5. Trade liberalisation
  6. Trade barriers
  7. Cross-border trade
  8. African customs
  9. Information networks
  10. Information and communications technology (ICT)
  11. High costs of doing business
  12. Financial markets and access to credit
  13. Currencies: Multiplicity and non-convertible. The case of the CFA Franc and the South African rand
  14. Free movement of people, labour, and capital
  15. Lack of regional frameworks for services in trade liberalisation

2- The Action Plan for Boosting Intra-African Trade (the Economic Commission for Africa and the African Union).

  1. Trade Policy
  2. Trade Facilitation
  3. Trade-Related Infrastructure
  4. Trade Finance
  5. Trade Information
  6. Factor Market Integration
  7. Towards the African Continental Free-Trade Area (CFTA)

Sample of the subject: Intra-African Trade:
Intra-African Trade

The subject “Intra-African Trade is part of the:
  1. Doctorate in Business in Africa
  2. Course: Regional Integration in Africa
  3. Masters (Distance learning): International Business, Africa

Languages of study English or French Commerce Intra-Africain Spanish Africa Comercio Portuguese Africa

تعزيز التجارة الأفريقية البينية

Description of the Subject (Plan for Boosting Intra-African Trade).

The main objective of the Action Plan for Boosting Intra-African trade is to reach 25% of intra-African trade (currently, is 10% - 13%) through the regional integration.

The final aim is to create a continental market (African Common Market): African Continental Free-Trade Area (CFTA)

Although African products have a competitive cost “in the factory (EXW)” but the distribution process in Africa (transport, handling, customs, and storage) increases final price and therefore they generate a loss of competitiveness.

The Action Plan for Boosting Intra-African Trade identifies several obstacles to intra-African trade (Diversification of exports, Lack of infrastructures, trade barriers, cross-border trade, customs)

One of the troubles of intra-African trade is the long delay of Customs in Africa (12 days), to high compared by example with Central Asia (6 days).

Near 80% of African exports are exported out of Africa.

The development of National Single Windows is a key factor to improve intra-African trade.

Regional Economic Communities (REC), like COMESA (Common Market for Eastern and Southern Africa), EAC (East African Community), SADC (Southern African Development Community), IGAD (Intergovernmental Authority on Development), ECOWAS (Economic Community of West African States), CEN-SAD, ECCAS (Economic Community of Central African States) or the Arab Maghreb Union are the key pillar of this vision according the Treaty of Abuja (African Economic Community).

The Regional Economic Communities are working in free-trade areas, customs union, common markets and economic and monetary unions.

The Economic Commission for Africa and the African Union are the promoters of this ambitious plan.

The Tripartite Agreement COMESA-EAC-SADC or Organisation for the Harmonisation of Business Law in Africa (OHADA) are good examples of regional integration in Africa that can boost intra-African trade.

Today, Africa only represent the 3% of the global trade. China, India, the European Union, and the United States (AGOA programme) are the top partners of Africa.

African Value Chains

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