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A study on the opportunities in the AfCFTA for women in the Informal and Cross-Border Trade.

A study on the opportunities in the AfCFTA for women in the Informal and Cross-Border Trade.

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March 11, 2022

The study was commissioned by the APRM Secretariat to examine informal cross border trade in Africa from a gendered lens. The study looked specifically at the opportunities in the AfCFTA for women in the ICBT and was guided by the following objectives:

·        Identify the challenges that women in informal cross border trade within the context of AfCFTA,

·        Identify the opportunities presented by the AfCFTA for women operating in the informal cross border trade in Africa,

·        Propose possible policy and practical recommendations that can be considered in this regard.

·        Reflect on ways to improve regional and continental integration frameworks from a gender perspective. Ultimately, the study should inform ongoing actions by negotiators at all levels, the AfCFTA Secretariat and AU Member States for purposes of making the AfCFTA Agreement a gender responsive trade agreement

Two clauses explicitly recognize the inclusion of women in the AfCFTA Agreement and accompanying Protocols. Firstly, as a general objective (3(e)) which looks to promote “gender equality and structural transformation” of the African states. Secondly, as per Article 27 (2) (d) of the Protocol on Trade in Services, State Parties are mandated to: “improve the export capacity of both formal and informal service suppliers, with particular attention to micro, small and medium size; women and youth service suppliers”. These two clauses underscore the value of involving and representing the diverse economic needs of the various categories of women in society.

The AfCFTA Protocol on Trade in Services aims to create a liberalized single market for trade in services which includes enhancing the competitiveness of services through economies of scale, reduced business costs, enhanced continental market access; promoting sustainable development; as well as progressing trade in services across the African continent on the basis of equity, balance and mutual benefit, by eliminating barriers to trade in services. This Protocol also requires that the needs of informal service suppliers to be included. The acknowledgement in the Protocol on Trade in Services to include the marginalized voices of women and youth offers an opportunity for negotiation which should be explored further. The AfCFTA Secretariat (2020) confirms that Negotiations on the protocols on investment, intellectual property rights, competition policy and e-commerce are underway.

The study identifies several opportunities in the AfCFTA and its accompanying Protocol on Trade in Goods and Protocol on Trade in Services that can be used to enhance the trading and financial capacities for women informal cross border traders. These opportunities are the free movement of people and goods; a unitary tax regime that will ease the movement of goods and reduce the costs of trade as pertains to customs and import duties, and finally that the AfCFTA presents a continent-wide opportunity to engage ICBT in a manner that promotes the empowerment of women traders in ICBT.​

 

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