Ethiopia has completed its first commercial shipments under the African Continental Free Trade Area (AfCFTA), marking a key milestone in the country’s efforts to deepen trade integration across the continent.
According to Ethiopian trade officials, the cargo included meat, fruit, pulses, horticultural products and other agricultural goods, and was dispatched late last week by a combination of road and air transport to Kenya, Somalia and South Africa.
The entire shipment complied with preferential trade conditions offered by AfCFTA.
The State Ministry of Trade and Regional Integration said it marked Ethiopia’s official entry into duty-free and reduced-tariff intra-African commerce.
The move comes after years of institutional preparation for the world’s biggest trading bloc, comprising 54 of the African Union’s countries, representing 1.4 billion people and with a combined GDP potential of $3.4 trillion.
Since AfCFTA’s operational launch in 2021, much of the early trade activity has taken place under the Guided Trade Initiative (GTI), a pilot programme designed to test customs procedures, tariff liberalisation and rules of origin.
The GTI began in October 2022 with several founding member states, including Ghana, Kenya, Egypt and Tunisia. Ethiopia’s decision follows recent steps to finalise internal preparations, including the approval of tariff schedules and regulatory frameworks for export eligibility.
While observers welcome the development as a milestone for Ethiopia and continental trade integration, they caution that realising the full potential of AfCFTA will depend on overcoming logistical, administrative and compliance hurdles.
For Ethiopia, success will require efficient customs processing, robust transport links and alignment with rules of origin, factors that have delayed AfCFTA implementation in several countries.
Ethiopia’s announcement comes nearly two years after South Africa launched its first export shipment under AfCFTA preferential terms, signalling a historic step for the country and the continent.
On January 31, 2024, South Africa dispatched its inaugural consignment from the Port of Durban in a ceremony officiated by President Cyril Ramaphosa, marking the nation’s formal entry into preferential intra-African trade.
The first shipment comprised a variety of “Proudly South African” manufactured goods, including fridges and freezers produced by Defy, grinding balls manufactured by Grinding Media South Africa, and other locally made products such as cement, safety boots, smart electrical meters, fresh produce and pharmaceutical goods.
The first consignments were bound for Ghana and Kenya, both members of the GTI, piloting tariff reductions and streamlined customs for intra-African commerce.
Together, these developments underline the gradual but tangible progress towards the AfCFTA’s ambitious goal of a single African market, offering new opportunities for intra-continental trade, regional integration and economic growth.