Ethiopia has officially commenced the implementation of customs duty reductions with 24 member states of the African Continental Free Trade Area (AfCFTA).

The action, under Council of Ministers Regulation No. 574/2025 published in the Federal Negarit Gazette on July 14, 2025, initiates a multi-year plan to eliminate customs duties on more than 90 percent of goods traded with eligible African partners.

The duty relief is part of Ethiopia’s commitment to the AfCFTA agreement, ratified by the House of Peoples’ Representatives and approved at the African Union summit in February 2024. 

Of the 24 countries that have fulfilled national requirements and submitted commodity trade proposals to the AfCFTA Secretariat are Algeria, Burundi, Botswana, Cameroon, Egypt, Eswatini, Gambia, Ghana, Kenya, Lesotho, Malawi, Mauritius and Morocco, among others. These nations are now eligible for tariff reductions or duty-free trade with Ethiopia.

Official implementation began on October 9, 2025, aligning with the broader AfCFTA goal of creating a single continental market encompassing 55 African countries, a population of 1.4 billion and a combined GDP of USD 3.4 trillion. The agreement aims to eliminate tariffs and non-tariff barriers, boost product competitiveness, foster intra-African trade and stimulate economic growth.

Ethiopia has strategically prepared for AfCFTA implementation by identifying priority comparative advantage products, target countries and mitigation strategies. A National Coordinating Committee, comprising ministries, the Customs Commission of Ethiopia, the National Bank of Ethiopia and logistics institutions, is overseeing progress.

Already, Ethiopian Airlines has begun exporting meat, vegetables, fruits, dried coffee and cereals to Kenya, Somalia and South Africa, leveraging AfCFTA opportunities. The Customs Commission has issued guidance to branches and traders to ensure understanding of the new tariff system and compliance with destination countries’ regulations.

Source: Capital Newspaper