Edun seeks intra-Africa trade to survive tariff regimes
Wale edun
Nigeria has urged African countries to be resilient over the retaliatory tariff regimes some countries have imposed following the new trade policies introduced by United States (U.S.) President Donald Trump.
Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, who spoke for the country, described the tariffs as call for the deepening of intra-African trades.
Speaking at the 4th World Customs Organisation Donors Conference for West and Central Africa Region in Abuja, the minister said the consequences of the new tariff regime were still being studied all over the world.
The conference theme is “The Mobilisation of Partners Around Priority Projects in the WCO- WCA Region.”
Edun said: “Now, we have the reciprocal tariff regime consequences which are unfolding and being studied by one and all over the world. But, this is a lesson for us that we need to trade among ourselves. We need to be resilient.”
He reminded the region of the need to be mindful of the emerging challenges threatening its collective progress for greater integration and prosperity.
The minister further said the recent international developments, such as the imposition of reciprocal tariffs by the U.S. and the significant reduction in foreign assistance through USAID, have direct implications for the region.
According to him, eight countries across West and Central Africa, including Nigeria, Cameroon and Côte d’Ivoire, have been impacted by these measures, with an average tariff of approximately 13.83 per cent now levied on exports to the U.S.
He said: “Such actions not only increase the cost of our exports but also undermine efforts to boost trade competitiveness and diversify our economies.”
The minister further noted that the abrupt withdrawal of critical development assistance programmes, particularly in health and education sectors, further compounds these economic headwinds.
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He said the developments underscore the urgency of accelerating regional trade integration under the African Continental Free Trade Area (AfCFTA), strengthening domestic revenue mobilization, and investing in resilient customs and trade systems.
“It is clear that we can no longer rely exclusively on external support; instead, we must build robust institutions and partnerships that are sustainable, inclusive, and regionally anchored,” Edun said.
AfCFTA’s implementation, he said, “brings the hope of a transformative opportunity for the region, creating both new possibilities and responsibilities for customs administrations”.
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He stressed that the challenges and opportunities have made the role of Customs administrations more crucial yet increasingly complex, as they must continue to facilitate legitimate trade, secure borders, and collect revenue for national development.
The minister said for the revenue function is vital in the region, especially in Nigeria where Customs collections account for 15 per cent of the government budget’s funding.
West and Central Africa represents a market of over 450 million people, with a combined GDP exceeding $900 billion, Edun said.
He added: “Yet, intra-regional trade accounts for just about 12% of our total trade volume, compared to 60% in Europe and 40% in East Asia”.
The region, the minister said, houses eight of the world’s 32 landlocked developing countries, which face average import costs nearly twice those of coastal nations.
Edun noted: “Customs processing times across our borders average 12 days, significantly above the global best practice of less than 24 hours.
“These statistics highlight both our challenges and our enormous untapped potential. Suffice to say that modernizing and harmonizing our customs procedures, we could boost intra-regional trade by an estimated $50 billion annually, create millions of jobs, and significantly reduce poverty across our communities.”
Comptroller-General of the Nigeria Customs Service (NCS) Bashir Adewale Adeniyi said the challenges the Customs in the region face were substantial but not insurmountable with the right technical support and partnerships.
The NCS boss noted that across the West and Central Africa region, Customs administrations are grappling with several technical challenges that impede effective trade facilitation and revenue collection.
These, he said, include, inadequate digital infrastructure for seamless processing of declarations and risk management.
He added that they include limited interconnectivity between national customs systems, hampering effective information exchange.
Adeniyi said the NCS has made significant strides in addressing the challenges through a series of interventions.
“These interventions”, according to him, “have yielded measurable results: reduced clearance times, 90% increase in revenue collection (exceeding targets by 20%), and improved compliance rates”.
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