Protecting the regional market

The West African food market is suffering from multiple trade policies of regional States. National customs policies aimed at protecting the domestic market are thwarted by the far more liberal strategies of their neighbours.

The establishment of the UEMOA Common External Tariff (CET) has opened the way, even if protection rates for rice, milk and meat are low. The extension of the CET to all ECOWAS countries – scheduled in principle from 1 January 2008 – should eliminate distortions between protectionist countries such as Nigeria and very open countries such as the Gambia. Differences in national interests explain the region’s still ambiguous position on the methods of this extension. Monetary differences also play a considerable part, especially due to the overvaluation of the CFA franc in the wake of the euro.

At the same time, the European Union and ECOWAS countries, along with Mauritania, are negotiating the creation of a free trade area within the framework of the Economic Partnership Agreement (EPA). The aim of the EPA in West Africa is to adapt progressively to the conditions of international trade marked by a liberalised global market in accordance with the WTO agreement. The problematic negotiations are based on the following elements and perspectives:

The increased opening up to products imported from the European Union should benefit consumers by reducing food costs, but to the detriment of local production, which will have to compete with imported products (some estimations show that extra-regional imports of onions, potatoes, beef or poultry meat would increase by 15 to 20% [1]).
The anticipated effects of protection for local production will only be seen in the medium and long term, which may put a strain on consumers’ purchasing power and increase the risks of food insecurity in the shorter term.
The short-term benefits of free access to the European market for West African products are unclear. On the one hand, thanks to the “Tout Sauf les Armes” (Everything but Arms) initiative, the Least Developed Countries (LDCs) [2] already have access to European markets without having to pay customs duties for any products except those covered by a specific protocol. Only Côte d’Ivoire, Ghana, Nigeria and Cape Verde, all non-LDCs, could potentially benefit from a possible opening. On the other hand, countries exporting food products to Europe have to meet quality and timeframe criteria that they have not yet fully mastered, except in the case of certain sectors, such as fresh fruit and vegetables.
The WTO provides for “special products” and “special safeguard” mechanisms to temporarily protect the local products that are essential to food security. At the same time, the Framework Agreement on Agriculture of 1 August 2004 requires all non-LDC developing countries to continue reducing their bound customs duties.

Faced with this complexity, West African countries are still moving forward haphazardly. Subject to differing interests, they are also placed into two distinct categories by the international community – DCs and LDCs – whose “rights” are not the same in terms of the protection of agriculture.

Recognition of “Least Developed Regions” (a new concept), would undoubtedly remove a certain number of barriers and would allow States to follow in the footsteps of rural and agricultural actors, who are becoming organised at the regional level and are increasingly influential in the definition of policies [3].

[1] GRET (2005): Impacts de l’Accord de partenariat économique UE – Afrique de l’Ouest.

[2] Some LDCs: Benin, Burkina Faso, Chad, the Gambia, Guinea, Guinea Bissau, Liberia, Mali, Mauritania, Niger, Senegal, Sierra Leone, Togo.

[3] The West African Network of Farmers’ Organisations and Agricultural Producers (ROPPA) on the ECOWAS Common Agricultural Policy; the African Cotton Association (ACA) and the African Producers’ Association (APROCA) in cotton trade negotiations.