THE ECOWAS TRADE LIBERALISATION SCHEME PROTOCOLS AND REGULATIONS

The ECOWAS Trade Liberalisation Scheme (ETLS) is an initiative of the Economic Community of West African States (ECOWAS) aimed at promoting intra-regional trade among its member states. The scheme was established in 1979 and was revised in 1990 to ensure a more comprehensive coverage of goods and services.

The ETLS is based on the principle of free trade among ECOWAS member states. It allows for the free movement of goods produced within the region, with the exception of goods that are considered sensitive or strategic by member states. The scheme also provides for the gradual reduction of tariffs and other trade barriers between member states, with the goal of creating a single market and boosting regional integration.

To be eligible for the benefits of the ETLS, goods must meet certain rules of origin criteria. These criteria are designed to ensure that only goods produced within the ECOWAS region or those with a significant value-added component from within the region are eligible for duty-free treatment. The scheme also provides for the implementation of measures to prevent fraud and abuse.

Under the ETLS, participating countries agree to eliminate or reduce trade barriers, including tariffs and non-tariff barriers, on goods traded within the region. The scheme covers a wide range of products, including agricultural and industrial goods, as well as services.

The ETLS has contributed to the growth of intra-regional trade in West Africa, although progress has been slower than expected due to various challenges such as weak infrastructure, non-tariff barriers, and limited production capacity in some member states. However, the scheme remains a key priority for ECOWAS, as it has the potential to stimulate economic growth and development in the region. It has helped to create a larger market for goods and services, promote competition and innovation, and increase investment in the region.

In 2004, the ETLS underwent a review which resulted in the adoption of new protocols and regulations. These protocols and regulations include:

1. Protocol on the Rules of Origin: This protocol outlines the rules and procedures for determining the origin of goods traded within the ECOWAS region. It establishes criteria for determining whether a product can be considered as originating from a member state and therefore eligible for preferential treatment under the ETLS.
2. Protocol on the Common External Tariff (CET): This protocol established a common external tariff for goods imported into the ECOWAS region from non-member states. The CET is a tool used to promote regional integration and prevent external trade diversion.
3. Regulations on the Implementation of the ETLS: These regulations provide detailed guidelines for the implementation of the ETLS. They cover issues such as registration of exporters and importers, certification of origin, transit procedures, and customs procedures.
4. Protocol on Mutual Administrative Assistance in Customs Matters: This protocol provides for the exchange of information and mutual assistance between customs administrations in the ECOWAS region. The aim is to enhance cooperation and coordination in the area of customs control, enforcement and compliance.

Overall, the protocols and regulations adopted in 2004 aim to create a more effective and efficient ETLS that facilitates increased trade and investment within the ECOWAS region. Click here to download the document

Author: AITRC 2