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African agricultural trade: Recent and the future

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  • Jensen, Hans Grinsted
  • Sandrey, Ron

Abstract

This article starts with a profile of African agricultural trade. Using the pre-release version 9.2 of the GTAP database, we then show that the results for tariff elimination on intra-African trade are promising, but these tariff barriers are not as significant as the various trade-related barriers outside of tariffs. Impressive results were forecast by simulating both a 50% reduction in what can be considered traditional non-tariff barriers and a modest 20% reduction in the costs associated with transit time delays at customs, terminals and internal land transportation. Gains from tariff elimination, non-tariff barrier reductions and time in transit cost reductions are likely to be cumulative and would generate very large gains to Africa. The policy implications are clear: while cooperation will enhance the gains, much of the benefits will result from unilateral actions and regional cooperation that does not need the long and drawn-out processes associated with FTA negotiations.

Suggested Citation

  • Jensen, Hans Grinsted & Sandrey, Ron, 2015. "African agricultural trade: Recent and the future," African Journal of Agricultural and Resource Economics, African Association of Agricultural Economists, vol. 10(2), pages 1-12.
    • Handle: RePEc:ags:afjare:208925
    DOI: 10.22004/ag.econ.208925
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    References listed on IDEAS

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    1. Hiau LooiKee & Alessandro Nicita & Marcelo Olarreaga, 2009. "Estimating Trade Restrictiveness Indices," Economic Journal, Royal Economic Society, vol. 119(534), pages 172-199, January.
    2. Longo, Robert & Sekkat, Khalid, 2004. "Economic Obstacles to Expanding Intra-African Trade," World Development, Elsevier, vol. 32(8), pages 1309-1321, August.
    3. Adom, Assandé Désiré & Sharma, Subhash C. & Morshed, A.K.M. Mahbub, 2010. "Economic integration in Africa," The Quarterly Review of Economics and Finance, Elsevier, vol. 50(3), pages 245-253, August.
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    Cited by:

    1. Phumzile Ncube & Simon Roberts & Tatenda Zengeni, 2016. "Development of the animal feed to poultry value chain across Botswana, South Africa, and Zimbabwe," WIDER Working Paper Series wp-2016-2, World Institute for Development Economic Research (UNU-WIDER).
    2. Davids, T. & Meyer, F. & Westhoff, P., 2018. "Quantifying the regional impact of export controls in Southern African maize markets," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277353, International Association of Agricultural Economists.
    3. Jayson Beckman & Michael E. Johnson & Maros Ivanic, 2024. "Agriculture and AfCFTA: NTM reductions increase intra‐Africa trade," Agricultural Economics, International Association of Agricultural Economists, vol. 55(2), pages 200-222, March.
    4. Phumzile Ncube & Simon Roberts & Tatenda Zengeni, 2016. "Development of the animal feed to poultry value chain across Botswana, South Africa, and Zimbabwe," WIDER Working Paper Series 002, World Institute for Development Economic Research (UNU-WIDER).
    5. Phumzile Ncube & Simon Roberts & Tatenda Zengeni, 2017. "The Southern African poultry value chain: Regional development versus national imperatives," WIDER Working Paper Series wp-2017-97, World Institute for Development Economic Research (UNU-WIDER).
    6. Phumzile Ncube & Simon Roberts & Tatenda Zengeni, 2017. "The Southern African poultry value chain: Regional development versus national imperatives," WIDER Working Paper Series 097, World Institute for Development Economic Research (UNU-WIDER).
    7. Chandan Kumar & Nalin Bharti, 2020. "Why NTM is a Challenge in Trade Relations? Evidence from India–Africa Agricultural Trade," Insight on Africa, , vol. 12(2), pages 79-103, July.
    8. Johnson, Michael E. & Farris, Jarrad & Morgan, Stephen & Bloem, Jeffrey R. & Ajewole, Kayode & Beckman, Jayson, 2022. "Africa's Agricultural Trade: Recent Trends Leading up to the African Continental Free Trade Area," USDA Miscellaneous 333528, United States Department of Agriculture.

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