Can the AfCFTA advance without cooperative practices among Customs?

The Abuja Treaty (1991) for the establishment of the African Economic Community recognizes the cooperation between African customs administrations as a key element for the correct functioning of the future Community, calling (Art. 39) for the development of a Protocol to define criteria and modalities for such cooperation. Despite this Protocol was never adopted, in 2004 the African Union decided to create a sub-committee of Directors General of Customs as a mechanism to facilitate the coordination among customs services in the continent. The creation of this committee was anticipated by a meeting of the Directors General of Customs of the AU member states held in 2003 in Johannesburg as part of the "All Africa Customs Conference" (AACC), in which for the first time discussions were held on how to improve cooperation practices among African Customs as part of advancing the continent’s economic integration process.

After almost 30 years from the Abuja Treaty, following the start of negotiations for the conclusion of the African Continental Free Trade Agreement (AfCFTA), the issue of customs cooperation came to the fore again. The AfCFTA negotiators were aware that the efficient functioning of a Free Trade Area (FTA) requires sound collaborative efforts among Customs of participating countries, as this collaboration is key for streamlining customs procedures at the border as well as inspections and documentation requirements. This, in turn, allows a reduction of delays and costs for businesses, which facilitates the free flow of goods within the FTA.

The good news is that the AfCFTA negotiations led to the adoption of a specific Annex to the Protocol on Trade in Goods explicitly dedicated to the Customs co-operation and mutual administrative assistance (Annex 3). The bad news is that at the moment, only a few African states have put in place effective and efficient cooperation practices in the customs field, which in most cases occur within the few customs unions that exist in the continent. And even at the level of Customs Unions (with a few exceptions), there are no strong collaborative practices among their members, at least compared to other extra-continental regional blocs. Also because this collaboration has a cost… which many States may not be willing to bear.

The fact that customs cooperation has a cost is evident in a provision (art. 9.5) of the Annex 3 of the AfCFTA Protocol on Trade in Goods, which states that Customs of the AU State Parties shall provide assistance to other Customs “by keeping into account the associated cost-implications”. A provision this, that risks to become a loophole for some African States to deny collaboration to other administrations requesting assistance, justifiying this refusal with the financial burden that such cooperation would imply.

This is why programs like the one launched by Moroccan Customs deserve to be highlighted. Nicknamed ‘AfriDou@ne’, this program aims at boosting relations and creating cooperative links among African Customs administrations through sharing respective best practices. As part of this initiative, Morocco plans to exchange experiences with other African Customs in various areas, including on modernization of customs services, streamlining and alignment of customs procedures with international customs standards, and use of risk analysis techniques for selection of goods to control.

Initiatives launched at continental or regional level to encourage cooperation between the customs services of African States have certainly a great merit, as they set the legal framework within which this collaboration must take place. But only efforts from the AU Member States can turn them into concrete actions. And the Morocco's initiative is an example that marks an important first step in this direction that other African nations should welcome and, possibly, replicate. By doing so, Africa can unlock the full potential of customs cooperation, paving the way for deeper economic integration and the realization of AfCFTA’s transformative goals.

Read another version of this article on The Habari Network