Introduction

Cameron is one of the countries selected for the experimental phase of implementing the African Continental Free Trade Area (AfCFTA), aimed at ensuring the free movement of goods and services across the continent. Established in 2018 and operational since January 2021, the AfCFTA has created a market of 1.3 billion people with a combined GDP of $3.4 trillion.

This is expected to significantly increase intra-African trade by 15% ($50 billion) to 25% ($70 billion) by 2040, through the elimination of 90% of tariffs on goods and reduced trade costs. It is anticipated that this will also enhance the economic participation of women and youth, considering that women make up over 70% of informal cross-border traders who could benefit from AfCFTA support for small cross-border traders and small-scale farmers.

Indeed, it is obvious that the success of the AfCFTA is closely linked to its implementation. If Cameroon has deemed it appropriate to adopt an implementation strategy, it now necessary to popularize and promote the AfCFTA among socio-economic operators.

• The provision of a National Strategy for the implementation of the Continental Free Trade Area

With the ultimate goal of putting the AfCFTA agreement into perspective on a national scale, Cameroon adopted a new implementation strategy for the AfCFTA. Following a participatory process, this document was developed with the active collaboration of stakeholders from the administration, the private sector and civil society).

This strategy aims to be an essential tool for the operationalization of the AfCFTA in Cameroon and integrate its value chains in an integrated manner across African markets. Also, the document aims to prepare Cameroon to better seize future opportunities offered on the African market, and to minimize associated risks through a diversified, inclusive and sustainable economy.

Cameroon also created an inter-ministerial committee responsible for monitoring and implementing the AfCFTA. Therefore, its implementation can only be possible with the effective contribution of all stakeholders.

2- The Popularization and Promotion of the African Continental Free Trade Area among all Socio-economic Actors

In its national implementation strategy document, the AfCFTA plans to gain the support of the majority of African countries, in particular through capacity building of all socio-economic actors, its design and the popularization via communication media.

Thus, in its mission to promote foreign trade and supervise economic operators, the National Council of Shippers of Cameroon (CNCC) promotes the AfCFTA through numerous actions carried out for this purpose on the ground. To this end, the CNCC took part in the Commonwealth Business Forum in Kigali in June 2022.

The Ad Hoc subcommittee, which is a body responsible for facilitating the implementation of the AfCFTA initiative, held two training seminars. The first, held on November 16, 2022, on capacity building on the AfCFTA for its members and the secretariat. The second seminar held on December 28 and 29, 2022, aimed to equip Cameroonian entrepreneurs and promoters of “Made in Cameroon” on the content of the AfCFTA with a view to encouraging them to use it.

3- Exports and Imports under the African Continental Free Trade Area Regime

Since January 1, 2021, African countries have officially started trade under the regulation of the AfCFTA. Cameroon, in this case, has started to export and import products at preferential rates governed by the AfCFTA and whose positive impacts are perceptible:

Indeed, regarding exports, the Cameroonian customs administration issued on October 6, 2022, the very first AfCFTA certificate of origin for its products destined for Ghana. Moreover, the SME Gig Afatex for example is the first Cameroonian company to export goods at the preferential ZLECA rate. The same month, Cameroonian customs also issued two certificates to the agri-food companies, Cameroon Tea Estate and Ndawara Tea Estate, for the export of approximately 38.6 kg of Cameroonian tea to Ghana. As for imports, on July 3, 2023, Cameroon received products from Tunisia, a cargo of resin, placed under the ZLECA regime.

The processing operation for this cargo is part of the test phase of the implementation of the AfCFTA and the results are rather encouraging. For example, this cargo imported by the company INODA INDUSTRIES SARL, saw a considerable reduction of 30% in customs duties.

The operation, which is part of the pilot phase of the implementation of the AfCFTA, also demonstrates the effectiveness in the countries of the tariff dismantling of customs duties for imports from African countries.

Conclusion

In conclusion, the implementation of the AfCFTA in Cameroon is undoubtedly an effective means to boost trade and position the country as a strong economic player in sub-Saharan Africa. Cameroon’s successful export and import activities under the AfCFTA demonstrate the positive impact of promoting and popularizing AfCFTA among socio-economic operators through capacity-building seminars, awareness campaigns, and advocacy efforts to facilitate AfCFTA implementation.

Policy Recommandations

1. Member states, businesses, and governments should harmonize trade policies and promote sustainable infrastructure and industrial development.
2. Complete ongoing negotiations on regulations and essential tariff lists to facilitate trade in line with AfCFTA.
3. The strengthening of capacity and institutional support from local and multinational organisations are essential for Cameroon to leverage the opportunities offered by AfCFTA and secure a prominent place in the international trade space.
4. It is imperative to continue strengthening trade capacities and implementing industrial policies to increase added value in the manufacturing sector and create decent jobs for Africa’s burgeoning young population.
5. Strengthen trade and export capacities of both formal and informal sectors, with a focus on enhancing the participation of women and youth.

Mr. Hawaing Djamo ( Research Analyst) & Mr. Henri Kouam (Founder)

PDF – How is Cameroon implementing the African Continental Free Trade Area (AfCFTA)