Nigeria Activates AfCFTA Tariff Commitments, Unlocks Duty-Free Trade Across Africa

Nigeria has officially opened its doors to continental trade. The government has now formalized its participation in the African Continental Free Trade Area (AfCFTA) by officially gazetting and submitting its ECOWAS Schedule of Tariff Offers. What does this mean? Simply put, Nigerian businesses can now trade up to 90% of their goods across African borders without paying import duties—a game-changing move that lays a solid legal and policy groundwork for Nigeria’s full engagement in AfCFTA. Announced ahead of the 16th meeting of the AfCFTA Council of Ministers in Kinshasa, Democratic Republic of Congo, this milestone underscores Nigeria’s commitment to regional trade integration, export growth, and economic diversification. Minister of Industry, Trade, and Investment, Dr. Jumoke Oduwole, confirmed that the tariff schedule was officially gazetted and transmitted to the AfCFTA Secretariat, positioning Nigeria as “open for business” under the continental agreement.

“This milestone enables Nigerian exporters to leverage preferential tariff access across African markets,” said Dr. Oduwole. “It underscores Nigeria’s dedication to leveraging Africa’s single market for economic transformation.”

The AfCFTA is the world’s largest free trade area by the number of participating countries, aiming to create a single continental market for goods and services. By formalizing its tariff commitments, Nigeria has now laid the legal groundwork for its manufacturers, producers, and exporters to benefit from lower trade barriers across the continent.

Key Features of Nigeria’s AfCFTA Tariff Plan:

• Zero duties on 90% of goods: Nigeria will eliminate import duties on 90% of tariff lines, creating vast market access opportunities for Nigerian-made products.
• Phased tariff reduction: From 2021 to 2031, Nigeria will gradually reduce tariffs, reaching 50% reduction by 2025 for trade with least developed countries (LDCs), and full elimination over 10 years.
• Support for SMEs and job creation: The reduced tariffs are expected to lower production and export costs for Nigerian businesses, especially SMEs, while boosting employment through expanded market access.

This move aligns with the African Union’s directive from the 35th Ordinary Session of Heads of State and Government in 2022, encouraging all AfCFTA State Parties to operationalize trade through reciprocal tariff offers. With the formal transmission now complete, Nigerian exports can now be received under AfCFTA terms by other member states.

Nigeria had earlier demonstrated its readiness by initiating its first shipment under AfCFTA in July 2024. With the latest development, the country has transitioned from symbolic participation to full operational compliance, cementing its leadership in intra-African trade. Experts believe this will enhance Nigeria’s economic competitiveness, reduce reliance on imports from outside Africa, and foster pan-African supply chains. Additionally, it sets the stage for long-term industrialization by incentivizing local production. As Nigeria officially opens its borders for duty-free intra-African trade, the potential for export-led growth and regional economic collaboration is immense. For Nigerian businesses, the time to tap into Africa’s $3.4 trillion market is now.