scholarly journals AfCFTA’s Notification Options to WTO: Enabling Clause or Article XXIV Exception

2020 ◽  
Vol 14 (2) ◽  
pp. 357-372
Author(s):  
Yehualashet Tamiru Tegegn
Keyword(s):  
Regional Integration ◽  
Free Trade Agreement ◽  
Trade Agreement ◽  
Building Blocks ◽  
African Unity ◽  
African Countries ◽  
Regional Trade ◽  
Regional Trade Agreement ◽  
Organization Of African Unity ◽  
Enabling Clause

Since the formation of the Organization of African Unity (OAU), African countries envisage regional integration to enhance trade among themselves. This effort was preceded by the formation of the sub-regional economic groups which serve as building blocks towards a larger integration. Africa Continental Free Trade Agreement (hereinafter AfCFTA) came into force in May 2019.  As per the procedural requirements of the WTO, AfCFTA should be notified either to WTO’s Committee on Trade and Development (CTD) if AfCFTA opts to use enabling clause exception; or it should be notified to the Committee on Regional Trade Agreement if AfCFTA opts to use Article XXIV of GATT/WTO exception. This comment examines under which exception AfCFTA should notify its integration. I argue that it is better for AfCFTA to notify its integration under Article XXIV of GATT/WTO to the Committee on Regional Trade Agreement rather than under enabling clause to the Committee on Trade and Development.

Common Market for Eastern and Southern African Countries: Multiplicity of Membership Issues and Choices

2010 ◽  
Vol 18 (2) ◽  
pp. 217-232 ◽  
Author(s):  
Luwam Dirar
Keyword(s):  
Free Trade ◽  
Regional Integration ◽  
Free Trade Agreement ◽  
Trade Agreement ◽  
Development Project ◽  
Common Market ◽  
Customs Union ◽  
African Countries ◽  
Member States ◽  
East African Community

The preferential trade agreement of Common Market of Eastern and Southern Africa (COMESA) was formed in 1982 with the objective of achieving deeper integration. In 1994 COMESA member states agreed to form a free trade agreement. The free trade agreement came into effect after nine member states ratified it. In 2004, Rwanda and Burundi joined the free trade agreement and increased the membership size to 11. In 2009 COMESA was transformed into a customs union. The purpose of the article is to analyse how formation of the COMESA customs union affects the current state of multiplicity of membership in Southern and Eastern African countries. The article argues that multiplicity of membership hinders deeper integration. Based on the assumption that deeper regional integration can play a role in the development project of Eastern and Southern African countries, the article tries to make a cursory review of the overlap of membership among COMESA, Southern African Development Community (SADC), Southern African Customs Union (SACU) and East African Community (EAC) states. It tries to draw policy choices of the way forward to end the multiplicity of membership. The analysis of this article is based on the percentile of each member state's rate of export. It is not a percentile of the total regional exports. Not all COMESA member states have been analysed in this article. The article mainly focuses on those COMESA member states that treat COMESA as their main trading block in Africa and that also have multiple memberships in SADC, SACU and EAC.

Central American integration through infrastructure development: A case study of Costa Rican hydropower

2016 ◽  
Vol 6 (1) ◽  
pp. 96-115 ◽  
Author(s):  
Denielle M. Perry ◽  
Kate A. Berry
Keyword(s):  
United States ◽  
Central America ◽  
Free Trade ◽  
Regional Integration ◽  
Free Trade Agreement ◽  
Trade Agreement ◽  
The United States ◽  
Global Market ◽  
Central American ◽  
Infrastructure Development

At the turn of the 21st century, protectionist policies in Latin America were largely abandoned for an agenda that promoted free trade and regional integration. Central America especially experienced an increase in international, interstate, and intraregional economic integration through trade liberalization. In 2004, such integration was on the agenda of every Central American administration, the U.S. Congress, and Mexico. The Plan Puebla-Panama (PPP) and the Central America Integrated Electricity System (SIEPAC), in particular, aimed to facilitate the success of free trade by increasing energy production and transmission on a unifi ed regional power grid (Mesoamerica, 2011). Meanwhile, for the United States, a free trade agreement (FTA) with Central America would bring it a step closer to realizing a hemispheric trade bloc while securing market access for its products. Isthmus states considered the potential for a Central America Free Trade Agreement (CAFTA) with the United States, their largest trading partner, as an opportunity to enter the global market on a united front. A decade and a half on, CAFTA, PPP, and SIEPAC are interwoven, complimentary initiatives that exemplify a shift towards increased free trade and development throughout the region. As such, to understand one, the other must be examined.

scholarly journals The Effects of AfCFTA on Food Security Sustainability: An Analysis of the Cereals Trade in the SADC Region

2020 ◽  
Vol 12 (4) ◽  
pp. 1419 ◽  
Author(s):  
Michael Takudzwa Pasara ◽  
Nolutho Diko
Keyword(s):  
Food Security ◽  
Free Trade ◽  
Free Trade Agreement ◽  
Democratic Republic Of Congo ◽  
Consumer Surplus ◽  
Trade Agreement ◽  
Trade Diversion ◽  
African Countries ◽  
Multiplier Effects ◽  
Trade Perspective

The signing of the African Continental Free Trade Agreement (AfCFTA) has stimulated a lot of trade potential in Africa that could see the continent significantly improving its intra-trade levels, thereby boosting the economic welfare of Africans. In light of food security sustainability in the Southern African Development Community (SADC) region, this paper employed the World Integrated Trade Solution, Software for Market Analysis and Restrictions on Trade (WITS-SMART) simulation model to assess the potential effects of the AfCFTA on trade in cereals. Cereals have been regarded as the most critical component of food security. The model indicated trading partners for each of the 15 SADC countries, their level of trade creation, trade diversion, consumer surplus, welfare and revenue effects of any regional trade agreement. The results indicated that the AfCFTA will only lead to positive outcomes in four (Angola, the Democratic Republic of Congo, Madagascar and Namibia) of the fifteen SADC countries, with the rest remaining unchanged. In general, previously closed economies, that is, economies which were not part of a free trade agreement (FTA) or a deeper arrangement will stand to gain more than open economies because they are already opened up at the free trade level, which is equivalent to the AfCFTA. Thus, as far as cereals and food security is concerned, the AfCFTA will add minimal value. However, the overall value gains are likely to be greater when all food categories are included in the simulations. In general, the study recommends that African countries should deepen their integration levels to perhaps common markets where production factors, that is, labour and capital, become mobile. This will have multiplier effects in improving continental food security sustainability from a trade perspective.

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