The Government of Mozambique is taking significant steps on its path towards exemption from customs duties within the African Continental Free Trade Area (AfCFTA), marking a turning point in its membership of this important trading bloc. The exemption proposal, which covers a range of products and services, will be submitted to the AfCFTA Secretariat by the last day of next June.
The Minister of Industry and Trade, Silvino Moreno, confirmed that the preparations needed for this tariff exemption have been completed. He confirmed that the agreement, already ratified by the Assembly of the Republic, has been sent to the African Union secretariat.
The tariff exemption proposal sets out a list of products and services - from cashew nuts to prawns, by way of cotton - focused mainly on the European market. Moreno stressed Mozambique's vast agricultural potential, confident that the country has a substantial offering to bring to this trade agreement.
With the proposal prepared, the next step is to promote the agreement among Mozambique's private sector, seeking to ensure that the country derives the maximum possible benefit from this treaty.
According to a recent World Bank report, the AfCFTA agreement has the potential to create the largest free trade area in the world, in terms of the number of participating countries. Moreover, if relevant political and trade reforms are implemented, the agreement could help lift up to 30 million people out of extreme poverty. This prospect represents a significant opportunity for African countries to diversify their exports, boost growth and attract foreign direct investment.
