The African Continental Free Trade Area AfCFTA is a continental treaty that seeks to, among other things, eliminate tariff and non-tariff barriers that have hindered intracontinental trade and the movement of people and goods for centuries on the continent.

 AfCFTA also seeks to liberalise trade in services and progressively promote investments, intellectual property rights, competition policies and foster cooperation on all trade-related areas.

The trade treaty has been hailed as a game-changer for the continent’s people and their businesses, particularly, SMEs.

And this is rightly so because, as of today, Africa’s combined Gross Domestic Product is estimated at $3.4 trillion but trades internally at only 14 per cent. The rest of the trade is with Europe, Asia, and America.

Since the agreement commenced on January 1, astute SME players are eagerly looking for opportunities to explore the treaty.

 AfCFTA now makes Africa the largest single market in the world with 1.3 billion people.

Increasing intra-trade will mean stopping or reducing the outflow of much needed foreign exchange and enabling local SMEs to increase their market shares and gain for expansion.

If SMEs expand, it will translate into more jobs, increased national revenues and improved living standards on the continent.

Recommended article: Why investing in agribusinesses in Africa is most exciting now

To many SMEs, AfCFTA seems to be a far-fetched document. However, the agreement, signed by the continent’s governments means that goods, services, investment, skilled labour, and people, can freely move on the continent without the current multiple checks and restrictions that exist today.

As AfCFTA takes shape, SME operations, business models, competition and technology are set to change.

Renowned French chemist Louis Pasteur once said that “Chance favours the prepared mind”. SMEs that will prosper under AfCFTA can only do so by exploiting new markets, attracting foreign direct investment, sourcing for reduced input costs, and preparing themselves for the continental trade.

The majority of businesses on the continent are SMEs, yet they seem to be unprepared to grab AfCFTA opportunities.

SMEs lack the information about customs measures, regulatory processes, opportunities and standards to help them make their services and products thrive under AfCTA.

Recommended article: Opportunity to tap into the African Continental Free Trade Area (AfCFTA)

That is why Human Capital International (HCI)’s annual Strategic Leaders’ Summit, set for the February 25, will explore how SMEs can prepare to tap into AfCFTA.

Under the theme: ‘Transformation of Agribusiness and SMEs in the digital economy under AfCFTA’, HCI’s Strategic Leaders’ Summit, known for its thoughtful deliberations, will guide SMEs on what to do to survive under the continental trade.

The free virtual Summit, will comprehensively discuss the transformation of agribusinesses, the sector where Africa has a competitive advantage.

Register today and participate in this important event.

Grab a book today!

  $6.99                                      $7.99                                               $5.99                                          $5.99

BUY NOW                              BUY NOW                                     BUY NOW                                 BUY NOW