Continental free trade developments discussed at chamber
MIDRAND – Chairperson of the Trade Committee at the Pan-African Parliament, Henry Venaani said that systematic concepts of Africa should speak to the African people so they understand what is at stake and what is at play.
Members of the Pan-African Parliament gathered at the chamber on 10 October to discuss implementation developments to the African Continental Free Trade Area, (ACFTA) before its launch, as parliament sessions are soon coming to an end for the year.
Chairperson of the Trade Committee, Henry Venaani said that sometimes when they talk about the systematic concepts from Africa, they must speak so that the African populous understands what is at stake and what is at play. Most of the time the African populous is led outside the frameworks of understanding the real benefits of the continental free trade area.
“One of the things we need to do is create a very robust commodity strategy because it’s the very biggest challenge on the African continent – it is one thing to have a continental free trade area but if you do not have a coherent commodity strategy, you will not be able to deliver a fruitful African continental free trade area.
“For example, Ghana, Codiivor, and many other countries of West Africa, are the greatest producers of coco, but the coco trade is controlled in Switzerland. More income is derived from those not producing coco.”
Albert Muchanga, Commissioner for Trade and Industry at the African Union added that first, when trading under the continental free trade area, heads of governments decided that dismantling of tariffs shall start no later than July next year, to allow for the start of trading in the markets on 1 July next year.
“This means the private sector should get ready and produce to the scale of the market as well as expand logistics to cater for this magnitude. Some business people may need to form partnerships to supply the new domestic markets in Africa,” he said.
“Touching on other basis of trading under the African Continental Free Trade Area by the 1st of July next year, which were not covered, all parties are required to start producing trade documents before the launch.
“I suggest that the Parliament plays their role on the application of ratification of the agreement and establishing the ACFTA by all African Union members by 1 July next year.”
Muchanga added that with such an agreement they shall start a process of transforming Africa from a collaboration of small and fragmented markets to one integrated market.
“We are currently left with one signature and 27 ratifications before reaching our target of 55 signatures and ratifications; with your support, we should be able to reach the target soon…With the launch of the African Continental Free Trade Area, there’ll also be a need for supportive legislation.
“New laws will have to be put in place, considering influences that everyone in their respective national assemblies have.”
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