…Pact Introduces Zero Tariffs On Agro, Other Products
Nigeria and the United Arab Emirates (UAE) on Tuesday signed a Comprehensive Economic Partnership Agreement (CEPA), a trade deal that aligns with the present administration’s Renewed Hope Agenda and is expected to strengthen bilateral economic ties between the two countries.
The agreement was sealed following extensive negotiations led by Nigeria’s Minister of Industry, Trade and Investment, Dr. Jumoke Oduwole, with the UAE top government officials.
Under the agreement, the UAE will eliminate tariffs on more than 7,000 Nigerian products, granting immediate duty-free access for key agricultural and industrial exports such as fish and seafood, oil seeds, cereals, cotton, pharmaceuticals, and chemicals.
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According to the deal, over the next three to five years, tariffs will also be phased out on Nigerian machinery, vehicles, electrical equipment, apparel, and furniture, providing Nigerian manufacturers with a competitive entry into one of the world’s most dynamic trade hubs.
The deal further allows Nigerian businesses to establish corporate entities, branches, and subsidiaries in the UAE, while business visitors can enter the country for up to 90 days within a 12-month period to explore trade and investment opportunities. In addition, Nigerian managers, executives, and specialists can relocate under intra-corporate transfer arrangements for renewable three-year terms.
Speaking on the bilateral pact, Oduwole explained that the CEPA would also help to remove long-standing barriers to foreign direct investment, offering UAE investors greater clarity and confidence to invest in Nigeria’s productive sectors, and support Nigeria’s industrialisation drive, improve transport and logistics connectivity, and create quality jobs for the country’s youthful population.
As part of its commitments, the Nigerian government will remove tariffs on about UAE 6,000 imported goods, with about 60% removed immediately and the remainder phased over five years. The affected imports largely comprised industrial inputs, capital goods, and machinery aimed at strengthening domestic productive capacity.
Despite the bilateral merchandize trade regime, Nigeria’s Import Prohibition List remained unaffected by the concessions.
On services, Nigeria made commitments across 99 specific services in 10 sectors, including business, communication, transport, financial services, construction, health, tourism, and recreation.
Describing the CEPA as a strategic instrument for economic transformation, the minister said the agreement would incentivise Nigerian manufacturers to scale up production for export and position Nigeria as a gateway for international investors seeking access to the African Continental Free Trade Area (AfCFTA) market.
She noted the growing interest by UAE institutional investors in Nigeria, including First Abu Dhabi Bank’s involvement in infrastructure financing such as the Lagos–Calabar Coastal Road project.
According to her, the agreement signals accelerated investments in agriculture, real estate, digital banking, retail, and infrastructure financing.
Oduwole maintained that the bilateral pact wasconsistent with Nigeria’s obligations under the World Trade Organisation, AfCFTA, and ECOWAS frameworks, adding that her ministry, working with agencies such as the Nigeria Customs Service, Nigerian Export Promotion Council, Nigerian Investment Promotion Commission, and the Standards Organisation of Nigeria, will ensure swift implementation and support for Nigerian businesses and investors.
The minister commended the Nigerian negotiation team and relevant ministries, departments, and agencies (MDAs) for their roles in making the signing of the pact a reality, and the UAE Minister of Foreign Trade, Dr. Thani bin Ahmed Al Zeyoudi, and his team for their collaboration.
Oduwole charged business owners in the country to explore the opportunities created by the agreement for improved performance since the CEPA was sealed to empower Nigerian enterprises to compete in the UAE and global markets.
She assured: “Nigeria is open for business, and Nigerian businesses now have open access to the UAE, the Middle East, and the rest of the world.”
