Intergovernmental Authority on Development: Regional Trade Policy 2022-2026
Published: IGAD, 2022
The IGAD Regional Trade Policy is designed mainly as a cooperation framework that seeks to guide the IGAD Members States to promote trade integration in a more flexible policy environment. There are different justifications for this approach.
First, it has been recognized that economic integration is a long process of harmonization of national trade and other policies which should be implemented gradually. Second, IGAD Member States are party to one or more regional economic agreements and there is a need to ensure that the IGAD Regional Trade Policy is flexible enough to accommodate the obligations of the Member States under other regional agreements.
Another key development that informed the approach taken by the IGAD Regional Trade Policy is the signing of the African Continental Free Trade Agreement (AfCFTA) by 54 African Union member states, which marked a historic milestone for economic integration in Africa. Today, 40 African countries have ratified the AfCFTA. From the IGAD region, Djibouti, Ethiopia, Kenya and Uganda have joined the AfCFTA and Somalia is only waiting for parliamentary approval to join. This significant development in our continent requires rethinking of the approach to be pursued by a regional trade policy like ours.
Accordingly, one of the key objectives of the IGAD Regional Trade Policy is assisting IGAD Member States in implementing their obligations under the AfCFTA as well as in negotiating the remaining issues. In terms of scope, the IGAD Regional Trade Policy goes beyond the classic issues of trade in goods and trade in services, and captures other issues such as customs administration and trade facilitation as well as cross-border trade, which are critical in the context of intra-IGAD trade.
The IGAD Regional Trade Policy also emphasizes sustainable development by covering cross-cutting issues such as trade and gender and trade and environment. This also ensures that the IGAD Regional Trade Policy is aligned with other IGAD policies and strategies.