Liberalisation of Trade Regime Under AfCFTA: A Perspective Analysis on Africa’s Single Market

Abstract

In this chapter provides a comprehensive analysis of the African Continental Free Trade Area (AfCFTA), exploring its multifaceted impacts on Africa’s single market from economic, regulatory, and sustainability perspectives. It commences with an introduction to the AfCFTA, highlighting its inception as a major step towards continental economic integration aimed at enhancing intra-African trade, promoting sustainable development, and fostering industrial diversification. The chapter further examines the potential economic impacts, including increased competitiveness, integration into global value chains, and significant boosts in intra-African trade. Additionally, it delves into the complexities of tax and fuel harmonisation, addressing the challenges of coordinating fuel policies and prices across member states to reduce trade barriers and support a unified market. The exploration into sustainable aviation fuels (SAF) discusses the transition towards aviation decarbonisation, presenting feedstock options, production challenges, and the potential for creating a sustainable aviation sector within the AfCFTA framework. Through detailed examinations of the economic, regulatory, and environmental dimensions, the chapter outlines the transformative potential of the AfCFTA, while also acknowledging the hurdles in realising a fully integrated African market.

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