Rudolf Gaiseb
The Ministry of International Relations and Trade has emphasised that neither the government nor the ministry can determine the products that exporters should trade within the continent.
However, the ministry noted that value-added goods are encouraged and forms part of the government’s policy.
The ministry reiterated that the African Continental Free Trade Area (AfCFTA) is a conducive forum for Namibian enterprises to access and benefit from opportunities in regional markets.
The ministry’s deputy minister, Jennely Matundu, said the ministry continues to ensure that all Namibian exporters are provided with the necessary support to enable their products to access and compete effectively in African markets under the AfCFTA framework.
“The government continues to provide a sound environment to trade and to negotiate favourable markets for exports; however, businesses now need to take the opportunity created through preferential market access and export their goods and services in the African market,” she said.
Namibia signed the AfCFTA Agreement on 2 July 2018, ratified it on 25 January 2019, and deposited its instrument of ratification on 1 February 2019 with the African Union Commission.
“Products that have been negotiated under Category A will have their duties move to zero by 2031. The liberalisation period for these goods is ten years, starting from January 2021; hence, most of the Namibian traders will opt to trade under the Southern African Customs Union (SACU) or under the Southern African Development Community (SADC), for which the products are attracting zero duties at the moment,” Matundu said in parliament last week.
On a broader scale, the country has been doing well in its integration and global trade-barrier liberalisation efforts, ranking fourth in regional integration in 2023 with a score of 64.7 and second in trade integration among 54 African countries.
Namibia is a member of regional and multilateral trading arrangements such as the Southern African Customs Union (SACU), the Southern African Development Community (SADC), the Tripartite Free Trade Agreement (FTA), the African Continental Free Trade Area (AfCFTA), Economic Partnership Agreements (EPAs), and the World Trade Organisation (WTO).
Figures in the Sixth National Development Plan (NDP6) indicate that Namibia’s recent export performance showed steady growth, with total exports reaching N$102.1 billion in 2024, while imports totalled N$166.6 billion in the same period.
Namibia’s trade within the continent has improved significantly, with intra-African exports reaching N$4.7 billion and imports N$7.7 billion by September 2024. Similarly, intra- African trade accounted for 52.3% of total exports and 51.8% of imports, moving closer to the Agenda 2063 goal of a single market for the AfCFTA.
During the National Development Plan 5 period, exports averaged N$64.9 billion, while imports averaged N$89.9 billion. Namibia’s NDP6 policy document further outlines that the country’s key export commodities include diamonds, uranium, gold, fish, and copper, with emerging growth in horticultural products.
Despite this positive trajectory, Namibia continues to endure a trade deficit due to high import levels. However, the government fosters industrialisation and value addition. The Ministry of Industrialisation and Trade launched the National AfCFTA Implementation Strategy and Action Plan in 2023.
It calls for value addition in meat products (poultry and beef), dairy products, food and drinks, horticulture (fruits, vegetables, flowers), cosmetics and essential oils, clothing and textiles, and leather and leather goods.
The strategy underscored calls for mineral beneficiation and the production of downstream products from iron, steel, base metals, and other minerals, rather than the exporting of raw concentrates or semi-processed minerals.
“It is important that all key stakeholders implement the strategies provided for in the National Implementation Strategy and Action Plan,” Matundu said.
There are no restrictions on the types of products that can be traded; any product that meets the AfCFTA requirements is eligible for export across the continent.
“We continue to encourage traders to export value-added goods but also trade in services exports, such as transportation, tourism, financial, communication, and business services,” she added.
Companies that want to trade under the AfCFTA are required to register with the Namibia Revenue Agency, in accordance with the national guidelines on preferential trade under the Agreement.
This registration process ensures businesses comply with the Rules of Origin and other relevant protocols under the AfCFTA.
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