Key Points

• Only made-in-Nigeria goods qualify for ECOWAS duty-free trade.

• The rule aims to curb smuggling and protect local industries.

• Businesses urged to register certified made-in-Nigeria goods for export.

The Nigerian federal government has indicated that only commodities that are created in Nigeria or largely in Nigeria would be permitted to take part in the ECOWAS trading Liberalisation Scheme (ETLS), which is the region’s duty-free trading system.

Officials stated the purpose of the measure is to protect local firms and stop the illegal sale of imported goods that are being passed off as Nigerian exports.

At a workshop in Enugu, Ambassador Olawale Emmanuel Awe, Director of the ECOWAS National Unit at the Federal Ministry of Foreign Affairs, spoke to increase awareness. He stated that businesses who want to take advantage of ETLS must make sure that their goods are created in Nigeria.

Goods created in Nigeria are the only ones that can get into ECOWAS without having to pay taxes. He told the individuals present that it is against the treaty to bring items from other countries into the country and then send them back out again through the back door.

Awe noted that the Nigeria Customs Service (NCS), the Standards Organisation of Nigeria (SON), and the Nigerian Export Promotion Council (NEPC) are all part of the process of licensing items under the plan. Before giving their clearance, these agencies verify each company’s production line, inputs, and whether they follow the ECOWAS “Rules of Origin.”

The guideline that says things must be created in Nigeria makes the area more trustworthy.

The ETLS, which ECOWAS started in 1979, is the most important aspect of the group’s economic integration. It permits commodities from the 15 member states of the union come in without paying customs fees.

Awe adds that the program has now certified more than 3,500 Nigerian items, but many small businesses still don’t know what they need to do.

He advised producers, especially those in the South-East and South-South regions, to register their goods created in Nigeria so they could sell them there. He stated, “We can’t industrialise by sending foreign goods back out,” and he cautioned that companies who don’t obey the regulations could be disqualified and face penalties.

The government is telling businesses to take advantage of the potential to sell their goods abroad.

At the same event, Mrs. Nneka Ukpai, Deputy Director at the Ministry of Industry, Trade, and Investment, remarked that the ETLS might be a tremendous engine for job development if more local producers were willing to export.

“Our neighbours, like Ghana, Côte d’Ivoire, and Senegal, are already exporting under this deal.” “Nigerian manufacturers can’t fall behind,” she remarked.

Dr. Muda Yusuf, who used to be the Director-General of the Lagos Chamber of Commerce and Industry, is one of many trade professionals who appreciated the explanation. They argued that making the rule that things must be created in Nigeria would make Nigeria more competitive and less reliant on imports.

The government intends to turn Nigeria become West Africa’s industrial centre by making it harder for Nigerians to get ETLS. This will make people want to invest in making things in their own country.