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Stakeholders demand stronger standards, capacity for AfCFTA exporters

Nigerian exporters have been urged to strengthen product quality, meet regulatory requirements and expand production capacity to take advantage of opportunities under the African Continental Free Trade Area (AfCFTA).
 
The National Agency for Food and Drug Administration and Control (NAFDAC) and the Nigerian Export Promotion Council (NEPC) gave the advice at a webinar on AfCFTA Simplified: Trade in Goods Under the AfCFTA 2.0, warning that regulatory lapses and inadequate export readiness could limit Nigerian businesses’ access to the continent’s $3.4 trillion market.
 
The webinar, organised by the Nigeria AfCFTA Coordination Office (NACO), brought together officials of the agencies to explain the requirements for trading goods under the continental agreement, particularly for micro, small and medium enterprises (MSMEs).

National Coordinator and Chief Executive Officer of NACO, Patience Okala, said the agreement was designed to eliminate tariffs, address non-tariff barriers and promote value addition across African economies.

She said 90 per cent of products under the trade-in-goods protocol were classified as non-sensitive and scheduled for tariff elimination within five years for developing countries and 10 years for least-developed countries.

Another seven per cent, she said, comprised sensitive products with extended tariff liberalisation periods, while three per cent was exempt from tariff elimination.

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Okala, however, cautioned that exporters must establish whether their products qualify for preferential treatment under the agreement.

She advised businesses to consult the AfCFTA electronic tariff book and engage relevant authorities before exporting.

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To address implementation challenges, she said NACO had developed a step-by-step guide covering five AfCFTA protocols, outlining the roles of government agencies, required documentation, applicable charges and channels for resolving complaints.

She also disclosed that the office was supporting Nigerian businesses seeking access to the AfCFTA Adjustment Fund, including six companies being guided through the process of accessing a credit facility designed for large businesses capable of absorbing at least $10 million.

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Speaking on regulatory compliance, Chief Regulatory Officer, International Strategic Partnership and
Trade Office, NAFDAC, Haleemat Kadiri, said exporters of regulated products must obtain the required certifications and ensure their goods meet the quality and safety standards of destination markets.

She listed food, drugs, cosmetics, medical devices, packaged water, chemicals and detergents among products subject to NAFDAC’s regulatory oversight.

Failure to comply, she warned, could lead to shipment rejection, destruction of goods and damage to trade relationships.

Kadiri identified excessive aflatoxin, pesticide residues, heavy metals, veterinary drug residues, microbial contamination and the absence of mandatory health certificates among the major reasons
Nigerian products are rejected in international markets.

She urged manufacturers and exporters to prioritise quality assurance, traceability and compliance with good manufacturing, hygiene, agricultural and distribution practices before seeking access to foreign markets.

To reduce administrative bottlenecks, Kadiri said NAFDAC had digitised its product registration and renewal processes through the NAFDAC Automated Product Administration and Monitoring System (NAPAMS), enabling businesses to submit applications, track progress and obtain registration certificates electronically.

She added that the agency had decentralised MSME product registration, introduced shared production facilities and simplified some requirements for food and cosmetics manufacturers.

According to her, the measures had reduced the registration timeline for MSMEs to 120 days, with support desks established across the 36 states and special zones.

Kadiri advised exporters to obtain relevant product registration and export certificates before shipment, noting that NAFDAC also issues health certificates, certificates of pharmaceutical products and certificates of free sale, depending on the nature of the goods and destination market.

Also, Deputy Director, NEPC, Aliu Sadiq, said businesses needed to assess their production capacity, financial resources, market knowledge and logistics arrangements before venturing into export trade.

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He warned that inconsistent production volumes could undermine exporters’ credibility, particularly when businesses were unable to fulfil repeat orders from international buyers.

Sadiq said exporters must also understand destination-market regulations, tariffs, consumer preferences and competition.

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