What goods are most sensitive to the African Continental Free Trade Area?

Answer 1

The goods that are most sensitive to the African Continental Free Trade Area (AfCFTA) are typically those that currently face high tariffs and trade barriers, and are produced competitively by multiple countries within the African continent. Here are three examples of such goods:

1. Agricultural Products: Agriculture is a significant sector in many African economies, and its products face high tariffs and non-tariff barriers in intra-African trade. Examples include cereals, vegetables, fruits, livestock, and processed food products. With the AfCFTA, these goods will benefit from reduced trade barriers, leading to increased trade and market access.

2. Textiles and Clothing: Many African countries have a substantial textile and clothing industry, competing with each other and with imported goods. The AfCFTA aims to bolster this industry by reducing tariffs and non-tariff barriers, leading to increased trade and regional integration. Countries like Ethiopia, Kenya, and Mauritius have a strong textile and clothing sector that stands to benefit.

3. Manufacturing and Electronics: Several African countries have experienced growth in manufacturing and electronics industries, producing goods like vehicles, machinery, electronics, and appliances. These industries often face trade barriers and competition from imports. The AfCFTA provides an opportunity for these goods to be traded more freely within Africa, expanding markets and driving industrial growth.

It is important to note that the sensitivity of goods under AfCFTA will also depend on the specific sectors, competitiveness, and economic position of each country within the African continent.