Business
AU Urges More Infrastructure, Access To Boost Trade
The African Union Com
mission (AUC) has urged member states to address infrastructure and trans-border challenges in order to boost intra-Africa Agricultural trade and food security.
The commission said in Addin Ababa that improving infrastructure and liberalising trans-border access would boost intra-Africa trade as well as meet the target of the AU Heads of State and Government’s commitment made during the Malabo Summit.
The African leaders had during the Malabo Assembly committed to tripling intra-Africa trade by 2025 to sustain growth, reduce poverty and boost employment through agricultural trade.
The AU Commissioner for Rural Economy and Agriculture, Rhoda Peace, made the remarks at the opening of a three-day Regional Strategic and Knowledge Support System (ReSAKSS) Annual Conference in Addis Ababa.
Peace said Africa’s agricultural trade had increased in recent years after decades of decline and trade among African countries had been on the rise.
She said ReSAKSS annual report analysis released during the technical session of the conference had indicated a boost in Africans’ ability to access food and the distributing channels to the neediest during hard times.
“The report found that Africa’s agricultural exports accounted for 3.3 per cent of world agricultural trade in 2009-2013, up from 1.2 per cent in 1996-2000 showing a threefold increase.
“Moreover, Africa’s agricultural exports have quadrupled in value terms and doubled in caloric terms. And the share of intra-African trade has doubled: nearly 34 per cent of agricultural exports originating from African countries now go to other African countries,” she said.
The commissioner said the findings were significant to agricultural trade and intra-African trade in ensuring the critical element including the poor and vulnerable were able to remain resilient in the face of economic shocks and severe weather events.
“While the situation is far different from that of the 1960s, when African countries dominated global markets, the recent performance indicates that Africa can become a major player again.
“ Countries, however, need to sustain the policies and institutional reforms and scale up the investments that made this change possible,” she said.
The Tide source reports that the conference attributed the continent’s growth in world agricultural exports to improved trade infrastructure, such as telecommunications, integration in global and regional markets as well as increase in world prices of raw materials.
It also found that diversity of crops had helped boost trade because at the end of the 1990s, the top 10 agricultural exports made up 51 per cent of Africa’s total agricultural exports.
The report said the African agricultural exports had become more diversified and more competitive with the top 10 agricultural exports accounting for 40 per cent of total exports at the end of 2010.
“Fueled by both economic growth and population growth, agricultural imports have risen considerably faster than exports.
“As a result, the agricultural trade deficit rose from over 1 billion dollars to nearly 40 billion dollars,” it said.
The report highlighted the tremendous challenge facing African countries and the need to deepen the reforms and scale up the efforts that had accelerated exports during the last 10years.
It would be recalled that African Heads of State and government during the Malabo Summit in June, renewed commitment on efforts to boost competitiveness and trade, in global as well as intra-African markets.
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Importers, market traders, and supermarket operators have therefore, been directed to immediately cease all dealings in these items and to notify their supply chain partners to halt transactions involving prohibited products.
The agency emphasized that failure to comply will attract strict enforcement measures, including seizure and destruction of goods, suspension or revocation of operational licences, and prosecution under relevant laws.
The statement said “The National Agency for Food and Drug Administration and Control (NAFDAC) has raised an alarm over the growing incidence of smuggling, sale, and distribution of regulated food products such as pasta, noodles, sugar, and tomato paste currently found in markets across the country.
“These products are expressly listed on the Federal Government’s Customs Prohibition List and are not permitted for importation”.
NAFDAC also called on other government bodies, including the Nigeria Customs Service, Nigeria Immigration Service(NIS) Standards Organisation of Nigeria (SON), Nigerian Ports Authority (NPA), Nigerian Maritime Administration and Safety Agency (NIMASA), Nigeria Shippers Council, and the Nigeria Agricultural Quarantine Service (NAQS), to collaborate in enforcing the ban on these unsafe products.
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