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Business Reporter
REGIONAL trading blocs, the Southern African Development Committee (SADC), the Common Market for Eastern and Southern Africa (COMESA) and the East African Business Council (EABC), have launched the African Tripartite Business Council to drive private sector proposals into the new continental trading block.
The council has been established to spearhead the inclusion of private sector policy proposals into the negotiations between African Continental Free Trade Area (AfCFTA) Agreement and the African Tripartite Free Trade Area (TFTA).
John Bosco Kalisa the chief executive of the EABC said, the regional private sectors play a pivotal role in the implementation of the AfCFTA, hence the need to include their views in the implementation of the continent’s free trade framework.
“The African Tripartite Business Council will put forward joint private sector policy positions to the AfCFTA secretariat in Ghana and tripartite ministerial council meetings in order to accelerate the implementation of the agreements,” said Mr Kalisa.
Mr Kalisa called upon the members of the COMESA, SADC (both of which Zimbabwe is a member) and EAZ to ratify the Tripartite Free Trade Area to achieve the threshold of 14 ratifications required to enable the agreement to enter into force.
SADC business council chief executive, Peter Varndell said that the African Tripartite Business Council will improve coordination and development of positions on AfTCFA policy formulation and negotiations.
He added that it is high time Africa’s private sector grows stronger. This will solve many economic shocks that are emerging in the world such as climate change, wars like that of Russia -Ukraine, that have greatly affected economies on the African continent.
African countries depend on imports of food and energy, and will be hurt by higher global energy prices due to the Russia Ukraine war.
“The war has disrupted wheat imports into the region. 16 percent-17 percent of food imports for Southern African countries is wheat and approximately 50% of wheat imports are from Russia and Ukraine” Varndell explained.
Economist Namatai Maeresera said, “The Covid-19 pandemic and the Ukraine crisis have disrupted global supply chains. As a result, firms and nations are moving away from global to domestic and regional supply chains. We have to leverage the AfCFTA to create regional value chains.”
Mr Maeresera, elaborated that African Central Banks have to control inflation without adversely affecting gross domestic product growth.
Mr Dennis Karera, EABC vice chairman, noted that trading under AfCFTA is the answer for Africa to respond better to external shocks of conflict, Covid-19 and climate change.
Presenting a paper on the role of ICT in promoting regional trades Ms. Nadia Uwamahoro, managing director, data systems urged for the finalization of the AfCFTA protocol on digital trade to promote youths and the emergence of African owned e-commerce platforms.
Other speakers in the meeting called for Mr. Antoine Muzaneza, EABC Vice Chair urged for capacity building for the private sector on the benefits of AfCFTA and strategies to boost agriculture and industrial value addition and this can be achieved if the private sector has access to cheap credits.
“On the importance of access to affordable credit and private sector involvement in the development of the national strategies on AfCFTA” said Antoine Muzaneza, a senior officer of the EABC.
He added that it is high time Africa’s private sector grows strong. This will solve many economic shocks that are emerging in the world such as climate change, wars like that of Russia -Ukraine, that have greatly affected economies on the African continent.
Online Reporter