Symposium on WTO Trade Facilitation for African Countries

AU’s Action Plan for Fast Tracking the CFTA

Nairobi, Kenya

November 13-15, 2012

Outline

• Current Position• Summit Decision • Action Plan on Boosting Intra-African Trade • Organogram of the Road Map • Architecture of the CFTA • High Level African Trade Committee • Customs Technical Committee• Trade Facilitation within the Continent

Current Position • Africa remains at 2.7 % of global trade • WTO, AGOA & EPA • Intra- African trade 12.3%. Europe-Over 63%;• Major trading Partners- Europe and USA • Asia - China becoming more important;• informal trade is significant • 46% of intra African trade are manufactures • Poor infrastructure, Trade facilitation • Low industrial base, trade information, etc

Summit Decision 2012 Assembly Decision AU/Dec.394 (XVIII)•Establish a Pan Africa Continental Free Trade Area (CFTA) by an indicative date of 2017•Endorsed Action Plan for Boosting Intra-African Trade

Addresses the fundamental issues , PIDA, AIDA, MIP Endorsed the Framework, Road Map and Architecture

Negotiations, Governance , M&E Market Integration

• Develop a framework for conclusion of a draft agreement on Rules of Origin by December 2012

• Calls on Partners to support implementation of; the Action Plan on Boosting Intra African Trade the Establishment of the CFTA

Action Plan on Boosting Intra African Trade

Seven Clusters of the Action Plan 1.Trade Policy 2.Trade Facilitation 3.Productive Capacity 4.Trade Related Infrastructure 5.Trade Finance 6.Trade Information 7.Factor Market Integration Time Frames - ST,MT,LT

Organogram of the Road Map

Organogram of the Road Map• TFTA by 2014• Similar Process to

the tripartite (N-W-C)

• Join the tripartite • Other MS outside

FTAs to Join • CFTA Neg 2015-16• Acquis –Reg FTA

– No roll backs

Architecture For The CFTA

CTC

African Trade Forum (ATF)

• Serve as Pan-African platform for reflection & discussions on progress & challenges

• Organized annually jointly by AUC & UNECA• Participants are stakeholders in dvpt of intra-

African Trade (Ms; Recs; pvt sector; civil society; researchers; academia; dvp partners etc)

• Outcomes presented to Conf of AU Ministers of Trade

High -Level African Trade Committee (HATC)

• Chairpersons of RECS (Heads of State and Government)• Organ of the Assembly of Heads of State and Governments• role of champions – for the acceleration of the CFTA – enhancement of intra-African Trade.

• Platform for exchange of experiences and best practices as• Co-ordinating and harmonizing action towards the CFTA. • Overseeing the effective implementation of the Action

Plan• Meets every Summit– Review implementation – make recommendations to the Summit.

Customs Technical Committee (CTC)• Reports to & serve as the TC of the Conference of

AU Ministers of Trade - Customs matters & any other issues relating to facilitation of Intra-African Trade

• Composed of ;• National - Directors –General / Heads of

Customs Administrations AU MS• RECs/AUC - Directors/Heads of Customs

Departments/Divisions

Customs Technical Committee (CTC)

Functions •develop and submit proposals to the Conference of AU Ministers of Trade on issues such as

Rules of Origin , customs regulations and procedures, transit procedures, etc• implement the decisions of the policy organs of the

AU on the facilitation of intra-African trade.

Overview of Trade Facilitation

• A major factor in the low level of intra-African trade has been the numerous trade facilitation constraints.

• Removal of these constraints is critical to boosting trade among African countries.

• Reduction of all unnecessary roadblocks• Harmonization & simplifying customs & transit

procedures, documentation & regulations• Establishment & operationalization of OSBPs• Integrated Border Management

Thank You For Your Kind Attention

chibayac@africa-union.org