Ethiopia has started implementing customs duty reductions with 24 member states under the African Continental Free Trade Area (AfCFTA). The move follows the adoption of Council of Ministers Regulation No. 574/2025, published in the Federal Negarit Gazette on July 14, 2025.
The regulation marks the beginning of a multi-year plan to gradually eliminate customs duties on more than 90% of goods traded with eligible African partners. The measure forms part of Ethiopia's obligations under the AfCFTA agreement, which was ratified by the House of Peoples' Representatives and approved at the African Union summit in February 2024.
Among the 24 countries that have met domestic requirements and submitted trade proposals to the AfCFTA Secretariat are Algeria, Burundi, Botswana, Cameroon, Egypt, Eswatini, Gambia, Ghana, Kenya, Lesotho, Malawi, Mauritius, and Morocco. These countries are now eligible for tariff reductions or duty-free trade with Ethiopia.
The implementation officially began on October 9, 2025, aligning with the wider AfCFTA goal of establishing a single continental market across 55 African countries. The agreement covers a population of 1.4 billion people and a combined GDP of about US$3.4 trillion. It seeks to remove tariffs and non-tariff barriers, enhance product competitiveness, promote intra-African trade, and support regional economic growth.
Ethiopia has prepared for implementation by identifying products with comparative advantage, target export destinations, and risk mitigation measures. A National Coordinating Committee, including representatives from the Ministries of Trade, Finance, and Agriculture, the Customs Commission of Ethiopia, the National Bank of Ethiopia, and logistics institutions, is responsible for monitoring progress.
Ethiopian Airlines has already begun exporting vegetables and fruits to Kenya, Somalia, and South Africa, taking advantage of new AfCFTA trade opportunities. The Customs Commission has also issued guidance to regional offices and traders to ensure compliance with the updated tariff framework and destination countries' import regulations.
Source: 2Merkato
