The AfCFTA Guided Trade Initiative

Press Release

THE AFRICAN CONTINENTAL FREE TRADE

AREA (AFCFTA) SECRETARIAT on Friday, 7 October 2022, held a ceremony to launch the AfCFTA Guided Trade Initiative to mark the commencement of trade under the Agreement. The event took place at the margins of the 10th Meeting of the Council of Ministers, the latter held from 7-8 October 2022.

This Ministerial Directive of The 7th Meeting of the AfCFTA Council of Ministers responsible for Trade, on 10th October 2021, provided a legal basis for the countries that had submitted their tariff schedules in accordance with the agreed modalities to trade preferentially amongst themselves. However, as commercially meaningful trade had not commenced under the AfCFTA, the AfCFTA Secretariat embarked on a solution-based approach in the form of an AfCFTA Initiative on Guided Trade.

The Guided Trade Initiative intends to achieve its goal through matchmaking businesses and products for export and import between these interested State Parties in coordination with their national AfCFTA implementation committees. The initiative has attracted participation of EIGHT (8) State Parties – Cameroon, Egypt, Ghana, Kenya, Mauritius, Rwanda, Tanzania and Tunisia.

The specifi c objectives of the AfCFTA Guided Trade Initiative are to: 1. allow commercially meaningful trading under the AfCFTA; 2. test the operational, institutional, legal and trade policy environment under the AfCFTA; and 3. send an important positive message to the

African economic operators.

The Secretary-General of the AfCFTA Secretariat, His Excellency Wamkele Mene, speaking on the launch of the Guided Trade Initiative said: “The Guided Trade Initiative materialises the ambition of African Heads of State and Government to create a single market under the AfCFTA Agreement. We look forward to showcasing Made in Africa products benefi ting from tariff preferences under the AfCFTA and beyond that, the impact in African markets.”

The products earmarked to trade under the AfCFTA Guided Trade Initiative include: ceramic tiles, tea, coff ee, processed meat products, corn starch, sugar, pasta, glucose syrup, dried fruits, and sisal fi bre, amongst others, in line with the AfCFTA focus on value chain development.

The interested State Parties represents 5 African regions. The AfCFTA Guided Trade Initiative will serve as a gateway to encourage continued trade under the AfCFTA, resulting in a multiplier eff ect and increased opportunities for SMEs, Youth and Women in trade and ultimately establishing sustainable and inclusive economic development.

About the African Continental Free Trade Area (AfCFTA). The African Continental Free Trade Area (AfCFTA) is one of the fl agship projects of Agenda 2063: The Africa We Want and entered into force on 30 May 2019. hhttps://au-afcfta.org/2022/10/press-release-theafcfta-guided-trade-initiative/