High Costs and Corruption on Key West African Trade Route Undermine AfCFTA Gains, Experts Warn

Persistent poor regional connectivity, numerous checkpoints, manual documentation, and widespread extortion are driving some of the highest trade costs in the world, undermining industrial competitiveness and revenue generation under the African Continental Free Trade Area (AfCFTA).

Data presented by Dr. Muda Yusuf, CEO of the Centre for the Promotion of Private Enterprise, at the sub-regional seminar of the Standing Committee No. 1 on Trade and Transport under the Union of African Shippers’ Council, highlighted the Abidjan–Lagos corridor—spanning Ivory Coast, Ghana, Togo, Benin, and Nigeria—as the continent’s most problematic trade route. It is plagued by congestion, delays, and informal costs.

In his presentation titled “Trade Facilitation Measures to Reduce Cost and Enhance Transport Connectivity in West and Central Africa”, Yusuf revealed that the 1,080-kilometre corridor handles over 50 million tonnes of freight and more than five million vehicles annually, yet remains inefficient and heavily congested.

He noted that the corridor, which carries over 70 per cent of the Economic Community of West African States’ (ECOWAS) GDP, frequently violates trade protocols, particularly under the ETLS regime. Corruption and impunity, according to Yusuf, are the most persistent obstacles to trade facilitation. “Checkpoints reduced by official order reappear within two weeks. The lack of consequences allows those benefiting from the status quo to maintain it,” he explained.

Yusuf warned that harassment of compliant traders and the proliferation of illegal checkpoints discourage cross-border commerce and inflate logistics costs. He stressed that improving trade facilitation could unlock substantial economic potential by lowering transport costs, boosting intra-African trade, and increasing government revenue.

Mrs. Dabney Shall-Holma, Chairperson of the Sealink Implementation Committee, also raised concerns over the slow implementation of AfCFTA and sluggish intra-African trade five years after the agreement’s adoption, citing billions lost to trade inefficiencies. She highlighted gaps in infrastructure, maritime connectivity, digital trade reforms, and regional competitiveness.

Shall-Holma urged harmonisation of trade procedures, port tariffs, and customs systems, proposing the creation of non-tariff barrier resolution desks, automated port tariffs, and border information centres—citing Ghana and Senegal as successful examples.

The AfCFTA, adopted in Kigali, Rwanda, and in force since 2019, aims to create a single continental market for goods and services, facilitate free movement of people and investment, and promote industrialisation across Africa. By eliminating tariffs on up to 90 per cent of goods and harmonising trade policies, it seeks to boost intra-African trade, drive economic diversification, and support sustainable development.