The Agreement Establishing the African Continental Free Trade Agreement (AfCFTA) draws a distinction between LDCs and non-LDCs for the tariff negotiations:
- LDCs have 10 years to achieve 90% liberalisation, while non-LDCs have 5 years.
- The remaining 10% of tariff lines is divided into two categories. 7% can be designated sensitive products and 3% of tariff lines can be excluded from liberalisation entirely. LDCs have 13 years to eliminate tariffs on sensitive products and may maintain their current tariffs for the first 5 years, backloading liberalisation during the remaining 8 years. Non-LDCs have 10 years to eliminate tariffs on sensitive products and may also retain the status quo, starting liberalisation in year 6. Both LDCs and non-LDCs may exclude 3% of tariff lines, but the excluded products may not account for more than 10% of their total trade.
- A specific group of countries, the G6 countries (Ethiopia, Madagascar, Malawi, Sudan, Zambia, Zimbabwe) have managed to secure a 15-year phase down period.
LDCs | Non-LDCs | G6 countries | |
Full liberalisation | 90% of tariff lines | 90% of tariff lines | 90% of tariff lines |
10-year phase down | 5-year phase down | 15-year phase down | |
Sensitive products | 7% of tariff lines | 7% of tariff lines | Not yet determined |
13-year phase down (current tariffs can be maintained during first 5 years – phase down starting in year 6) | 10-year phase down (current tariffs can be maintained during first 5 years – phase down starting in year 6) | ||
Excluded products | 3% of tariff lines | 3% of tariff lines | Not yet determined |
Note:
- LDCs: Angola, Benin, Burkina Faso, Burundi, Central African Republic, Chad, Comoros, Democratic Republic of Congo, Djibouti, Eritrea, Ethiopia, Gambia, Guinea, Guinea-Bissau, Lesotho, Madagascar, Malawi, Mali, Mauritania, Mozambique, Niger, Rwanda, Sao Tome and Principe, Senegal, Sierra Leone, Somalia, South Sudan, Sudan, Togo, Uganda, Tanzania, Zambia
- G6 countries: Ethiopia, Madagascar, Malawi, Sudan, Zambia, Zimbabwe