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WAEMU area: Non-compliance with texts weakens intra-Community trade

09/08/2021
Categories: Sectors

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EMU states trade more externally than with each other. With less than 15% of regional trade, intra-Community trade is seriously weakened by non-compliance with the texts governing the market.

 

Despite the existence of favourable regulations, intra-Community exports represent 2123.1 billion CFA francs compared to 12,783 billion CFA francs of extra-EU exports, or 14.24% of all trade in 2019, according to figures from the Commission of the Union. With 120 million inhabitants, the sub-regional institution offers a priori an important market for trade that should promote more investment, diversified offers and more competition with lower prices for the well-being of the populations. Additional Act No. 04/96 of 10 May 1996 strengthened the liberalization of trade within the Union, the rules of origin, the customs procedure applicable to local products, traditional crafts, and approved and non-approved originating industrial products.

However, the main objective of the constitutive treaty of the West African Economic and Monetary Union (WAEMU) is the creation of a common market between member States based on the free movement of persons, goods, services, capital and the right to rsquo;establishment of persons. To correct the situation, the Union will not only have to ensure compliance with the texts but will also have to focus on the development of regional value chains, the development of regional strategies for the marketing of products (cotton, cashew, mango, etc.) and the establishment of the free circulation regime.

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