Parly approves key trade treaty

Charity Musareva

Parliament has approved the African Continental Free Trade Area, a treaty that promotes continental free trade and dovetails with Zimbabwe’s Vision 2030.

The country is on a drive to attain an Upper Middle Income economy status by 2030, a determination hinged on Zimbabwe’s ability to stimulate economic activity and build trade synergies locally, regionally and internationally.

The approval of the charter by the legislative assembly now paves way for its endorsement by The President and subsequent operationalisation. President Emmerson Mnangagwa signed the AfCFTA at the Africa Union Summit in Addis Ababa, Ethiopia last year.

Industry and Commerce permanent secretary, Mrs Mavis Sibanda told the Sunday Mail that Zimbabwe was ready for trade with players beyond borders, hence the swift action on the treaty.

“Zimbabwe is not an Island. It is in the world and must continuously compete with other countries.

“We are saying that if South Africa or Botswana has good things that we want we will import and we will also export to other counties. We have to trade; we cannot be just importing and not exporting,” she said.

Mrs Sibanda said the ratification of the AfCFTA agreement was envisaged to stimulate Zimbabwe’s re-industrialisation efforts.

“We are not in any way de-industrialising our country. Zimbabwe will not be a supermarket. I know in five years we will not have done 100 percent of the treaty, (but) we are working closely with local industries to try and motivate them to continuously produce,” she said. Parliamentary Portfolio Committee on Foreign Affairs and International Trade chairperson Kindness Paradza said the approval of the treaty by the legislature was in sync with the Zimbabwe is Open for Business mantra.

“The Ratification of this Treaty by Zimbabwe has been swift as compared to previous protocols, most of which remain outstanding up to this day,” he said.

“The Instrument of ratification will be prepared by the Ministry of Foreign Affairs and International Trade and the Ministry of Justice, Legal and Parliamentary Affairs for the signature of the President.”

The treaty has so far been signed by 52 countries, approved by six nations including Zimbabwe and ratified by 15 States.

When fully operational, AfCFTA is envisaged to boost intra-African trade by eliminating trade barriers like import duties and other related existing restrictive tariffs.

The agreement aims to create a single market for goods, services and the movement of people in Africa in order to deepen economic integration among member states.

Currently intra-African trade is about 15 percent compared to over 70 percent in the EU.