Contrary to speculation that Nigeria is finally set to sign onto the African Continental Free Trade Agreement in December this year, Vice President Yemi Osinbajo (SAN) has revealed that the country is still involved in consultation with stakeholders across various sectors of the economy before a final decision is taken.
Osinbajo disclosed this on Friday at the opening session of the Africa Trade Forum 2018 at the Four Points by Sheraton Hotel in Victoria Island, Lagos.
The forum was co-organised by the United Nations Economic Commission for Africa, the Rockefeller Foundation and the Federal Government of Nigeria, in collaboration with the African Union Commission.
Also at the same forum, President/CE of the Dangote Group, Aliko Dangote, who was one of the panelists at a plenary session, called for effective regional integration among African countries, which should form the bedrock for continental trade and overall development of Africa.
The ACFTA, an agreement cast in the mould of the European Union’s version, was signed on March 21, 2018 by 44 African countries during the 10th Ordinary Session of African Union Heads of State summit held in the Rwandan capital, Kigali.
It is an agreement aimed at paving the way for a liberalised market for goods and services across the continent.
However, Nigeria, Africa’s largest economy and with the largest population and market, did not sign then.
Speaking on the Agreement, the Vice President said: “The AFCTA can have the most profound effect than any other agreement ever signed in Africa. It is time for stakeholders to do their own part to address some of the concerns and challenges. Nigeria is possibly the largest market in Africa and has the most to gain or lose from the implementation of the agreement.
“We have consulted widely with industries and 34 groups were sensitised with five communiques issued. Twelve private sector groups also submitted their positions on the ACFTA. There is need to build the capacity for engagement, the process in Africa must be submitted to a democratic scrutiny.
“Although most stakeholders support the agreement, there are concerns about impact especially on the local markets and the need to protect the agreement from abuse by third parties. This is an opportunity for us to get this right and implement the agreement correctly.”
President Muhammadu Buhari last week inaugurated a Presidential Committee on impact and readiness of Nigeria signing the ACFTA.
Buhari gave the committee 12 weeks to send in a report, which will be considered by government.
Experts also believe there are many analyses to be conducted in order to prepare Nigeria.
In his comments, Dangote said: “Industrialisation brings in a lot of wealth and prosperity. Nigeria is not against the ACFTA but we are only saying let us do things right with a solid foundation. The regional markets need to work to prevent foreign goods from invading our market.”
The business mogul, who recalled restrictions placed by neighbouring Benin Republic on his cement products manufactured in Ibese, Ogun State, just 28km away from the factory, said: “In Dangote, we believe so much in African inter-trade. My concern is that the regional markets are not working. If we have working regional markets and bodies, we will benefit from the ACFTA. We have 9m tonnes of cement and 3m tonnes of fertiliser to export. If the foundation is right, we and Nigeria will benefit but we have to go back to the basics.”
Dangote also called on all African countries “to go back to backward integration to create more jobs, employment for youths and economic prosperity. 90% of African countries rushed to sign the agreement without carrying the people and organised private sector along. There must be proper consultation. Ease of doing business is a very important part of the Agreement.
“Nigeria did not rush to sign the agreement because there are consequences and Nigeria has some big industries. When Nigeria signs the agreement, it will be the biggest beneficiary because it has the largest heavy industries.”
The Forum drew top government functionaries and development partners, including the Vice President of Rockefeller Foundation, Christine Heenan; Nigeria’s Minister of Trade, Industry and Development, Okechukwu Enelamah; Executive Secretary, Economic Commission for Africa, Vera Songwe; Commissioner for Trade and Industry, African Union Commission, Albert Muchanga; Managing Director, Africa Regional Office, Rockefeller Foundation, Mamadou Biteye; and Chairman, Federal Inland Revenue Service, Babatunde Fowler.