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Business Reporter
INTRA-REGIONAL trade between Comesa, EAC and Sadc, the three major regional economic communities in eastern and southern Africa, has increased threefold from an average $30 billion in 2004 to about $100 billion by the end of 2014.Comesa secretary general and chairperson of the Comesa-EAC-Sadc Tripartite Taskforce Sindiso Ngwenya said this while giving an update on the Tripartite Free Trade Area negotiations to the African Union (AU) high level trade committee during the recent 24th AU Heads of State Summit in Addis Ababa, Ethiopia. He said that growth has taken place on the basis of the individual free trade areas (FTAs) of the three regional economic blocs.
He said that the combined intra-trade of the three regional economic communities for the period grew from $30.6 billion to $102.6 billion with Comesa recording growth from $8 billion to $22 billion, Sadc from $20 billion to $72 billion and the EAC with $2.6 billion in 2004 growing to $ 8.6 billion by 2014.
“I’m confident that the establishment of the Comesa-EAC-Sadc FTA would follow the same growth path, however, at an accelerated growth pace and, supported by infrastructure and industrialisation programs”, Ngwenya said.
In order to launch the establishment of the African Union continental free trade area, Ngwenya proposed the initiation of negotiations for the establishment of a free trade area between the tripartite (Comesa-EAC-Sadc) on one hand and the Economic Community of West African States (Ecowas).
Meanwhile, Namibian Minister of Trade and Commerce Carl Hermann Schlettwein has called for unity of purpose by member states and the need to speak with one voice particularly with regard to the World Trade Organisation (WTO) negotiations.
He said there was a need for flexibility by the United States on the African Growth and Opportunity Act (AGOA) to facilitate the participation of African countries.
AU Commission deputy chairperson Erastus Mwencha congratulated the tripartite members for the progress being made in establishing the free trade area.
Mwencha urged them not to be pessimistic by looking at what happened under the Doha development agenda where the promise of trade for the integration of less developed countries under the WTO multi-lateral system was not realised.
“As we approach the tripartite free trade area, some people come with a mindset of a zero sum game. We can fast track the FTA through the coalition of the willing,” he said.
Mwencha called for unity of purpose adding that no member state should remain behind when the implementation of the economic partnership agreements (EPAs) starts.
The chairperson for the AU high level trade committee and Ghana President, John Dramani Mahama indicated the tripartite free trade area would be launched in June this year.
Mahama said between now and the launch, there was need to work hard to achieve the dream of the continent’s forefathers, attainment of African unity.
Online Reporter