FG Inaugurates Committee on Review of Trade Policy

James Emejo

The Minister of Industry, Trade and Investment, Mr. Adeniyi Adebayo, yesterday inaugurated a committee on the review of Nigeria’s trade policy, which had become moribund for some years now.

The minister said the ceremony marked a significant new trajectory on how the country uses international trade and investment as veritable tools for economic growth and poverty reduction.

He said the major objectives of Nigeria’s trade policy which were first articulated in a document in 1989 under the Structural Adjustment Programme (SAP) was later revised in 2002, and had not been reviewed or revised since then.

Adebayo, at the occasion, said national trade policy frameworks needed to explicitly address all aspects of development, including sustainable development, in a holistic manner by providing opportunities for creating wealth through income generation and distribution, increased employment and competitiveness, as well as economic and social well-being.

Analysts had variously argued that the country lacked a trade policy that was in consonance with modern economic reality and urged the government to make necessary amends.

The minister, however, said in spite of the prevailing environment of geo-political tensions, particularly the Brexit Vote, the 2016 US elections and the intensification of trade tensions with China, as well as the ongoing Russia-Ukraine War, the international trading system had continued to experience several initiatives on trade reforms, leading to various new preferential trade agreements, including the African Continental Free Trade Area (FTA) Agreement that entered into force on May 30, 2019.

The minister noted that going forward, it was essential that the national trade policy framework was continuously augmented or complemented by year-to-year import and export policy guidelines, thereby reducing trade costs and enhancing a more transparent trade-enabling environment in the country.

He added that for this to be effective and efficient, a robust and intensive mechanism for consultations with stakeholders, particularly the private sector and civil society is required.

In a statement issued by his media aide, Mr. Sayo Ifedayo, the minister explained: “So, today, we have begun a new phase in the ongoing efforts by the Ministry to review and update the National Trade Policy of Nigeria 2002, with a view to ensuring that the new trade policy framework reflects the very dramatic changes that have taken place in the global trade and economic policy landscape, especially the 2008/2009 global financial and economic crises, as well as the current health, economic and social impacts of the COVID-19 pandemic.”

He said an updated trade policy document would effectively capture the nine core policy priorities of the recently launched Medium-Term National Development Plan 2021-2025.

The minister listed the priorities to include building a thriving and sustainable economy; enlarge agricultural output for food security; attain energy sufficiency in power and petroleum products; and expand transport and other infrastructure development.

Others included expanding business growth, entrepreneurship and industrialisation; improve access to quality education, affordable health care and productivity; enhance social inclusion and reduce poverty; build systems to fight corruption, improve governance and create national cohesion; and improve security for all.

He said, “Under these circumstances, it is important for us to ensure that the new Trade Policy of Nigeria is not only consistent with international best practices to enhance productivity and competitiveness, but also fully takes into account the realities of the national economy in the 21st Century.”

Among other things, he said trade remained central to ending global poverty and continues to contribute to the economic growth and development of all economies.

In a remarks, Chairman of the committee, Mr. Mike Okpanachi, commended the federal government for the move adding that it would go a long way in enhancing the growth of the nation’s economy.

He, therefore, promised the committee’s commitment towards producing a trade document that would meet international best practices in the sector.

Other members of the committee were drawn from the Federal Ministry of Industry, Trade and Investment, FMITI, Nigeria Office for Trade Negotiation, NOTN, Nigeria Customs Service (NCS), Corporate Affairs Commission (CAC), Central Bank of Nigeria (CBN), National Association of Nigerian Traders (NANTS) and the academia among others.