Market Intelligence
AfCFTA Export Opportunities
The African Continental Free Trade Area (AfCFTA) presents a promising landscape for export opportunities, opening doors to a vast array of potential markets. Let’s explore the two primary sources of these opportunities:
Considering the sources of opportunities, domestic production capacity and the fact that trade in some of the tariff lines to be liberalized is low, AfCFTA trade opportunities was categorized into four segments, namely: (i) core opportunities, (ii) strategic opportunities, (iii) transactional opportunities and (iv) low value opportunities. Examples of the lucrative products and services within these opportunities have been identified in the image below.
- High Potential
Selected products and services that align with Africa’s global import value surpassing $1 billion annually. For Nigeria, the export value falls between $1 million and $10 million, irrespective of whether they are marked for liberalization or not. These opportunities offer a strategic pathway for exporters to establish a strong foothold in the market.
Products with High Potential Opportunities include:
- Petroleum and Petrochemical Products
- Manufactured Products
- 2. Frontier Products
These include:
- Manufactured Products
- Agro and food products
- Communication Services
- Transport Services
- Travel & Tourism
- Business Services
- Health Services
Category A or B products marked for liberalization, with current MFN rates above 20% and a target country’s import value surpassing $10 million annually. Furthermore, services that fall under AfCFTA liberalization, with a global import value exceeding $10 billion per year and Nigeria’s export value exceeding $10 million, hold significant promise.
Core opportunities are classified based on Country plays and Continental Play, and include:
- Country Plays
- Central Africa (Cameroon, Central African Republic, Chad, Congo Republic – Brazzaville, Democratic Republic of Congo, Equatorial Guinea, Gabon, São Tomé & Principe)
- Egypt,
- Madagascar
- Mauritius
- Seychelles
- Zambia
- Others (to be updated based on approved schedule of concessions)
- Continental Play
- Agro and food products
- Petroleum and Petrochemical Products
- Manufactured Products
- Transport Services
- Travel & Tourism
- Financial Services
- Business Services
These opportunities encompass Category A or B products marked for liberalization, with current MFN rates below 20%. They target countries with a global import value below $1 million annually. Although they may seem less lucrative, they can serve as stepping stones for businesses looking to expand their presence gradually.
All other Category A or B products (marked for liberalization) with MFN rates exceeding 20%, and a target country’s global import ranging from $1 million to $10 million annually, fall under this category.
Additionally, all other AfCFTA liberalized services with a global import value below $10 million annually for the target country present viable transactional opportunities for exporters
Exporter enumeration and mapping
There are a number of resources that can help businesses identify potential exporters, track the performance of exporters, and develop strategies for targeting partnership opportunities with exporters. Some of these resources include:
NEPC Importer DatabaseNEPC Business Support Organizations Directory for Women EntrepreneursPriority products and services
Nigeria is a country with a vast array of natural resources, including crude oil, natural gas, and solid minerals. Based on the Schedules of Tariff Concessions verified and strategic opportunities in Africa, AfCFTA has identified the following priority products and services in the image below.
Petroleum and Petrochemical Products
271011 light oils, preps of petroleum/bituminous minerals
Manufactured Products
390210 polypropylene in primary forms
890120 tankers
8428 Lifting, handling, loading/unloading machinery
380893 Herbicides, anti-sprouting products …
740200 copper unrefined; anodes for electrolytic refining
740811 refined copper wire x-section dimension>6mm
Chapter 61/62 – Articles of apparel and clothing accessories (whether knitted or crocheted or not)
640299 footwear with outer soles & upper soles of rubber or plastics
880240 Aeroplanes & other powered aircraft of an unladen weight > 15.000 kg (excl. helicopters)
252310 Cement Clinkers
Country Plays
- Central Africa (Cameroon, Central African Republic, Chad, Congo Republic – Brazzaville, Democratic Republic of Congo, Equatorial Guinea, Gabon, São Tomé & Principe)
- Egypt,
- Madagascar
- Mauritius
- Seychelles
- Zambia
- Others (to be updated based on approved schedule of concessions)
Strategic Opportunities High Potential
Petroleum and Petrochemical Products 271011 light oils, preps of petroleum/bituminous minerals
Manufactured Products 390210 polypropylene in primary forms 890120 tankers 8428 Lifting, handling, loading/unloading machinery 380893 Herbicides, anti-sprouting products … 740200 copper unrefined; anodes for electrolytic refining 740811 refined copper wire x-section dimension>6mm Chapter 61/62 – Articles of apparel and clothing accessories (whether knitted or crocheted or not) 640299 footwear with outer soles & upper soles of rubber or plastics 880240 Aeroplanes & other powered aircraft of an unladen weight > 15.000 kg (excl. helicopters) 252310 Cement Clinkers
Frontier Products
Manufactured Products 390110 Propylene, specific gravity <0.94 in primary form 392690 Articles of plastics, other materials of heading 3901 to 3914, n.e.s 853690 electrical apparatus for switching electrical circuits 853710 Boards, cabinets, similar apparatus for elect. control 854449 electrical conductors for voltage <=1.000V, insulated, not fitted with connectors, n.e.s 330210 Mixtures of odoriferous substances and mixtures… 401110 /20 new pneumatic tyres of rubber for motor cars, buses and lorries 701710 laboratory, hygiene or pharma glassware… 720839 Flat-rolled products of iron or non-alloy steel width of >= 600 mm, in coils… 721420 Bars and rods of iron or non- alloy steel, with indentations, ribs, groves or other deformations. 300490Medicaments consisting of mixed or unmixed products for therapeutic or prophylactic purposes, put up in measured doses 300220 vaccines for human medicine 300490 medicaments consisting of mixed or unmixed products for therapeutic or prophylactic purposes. 382200 Diagnostic or laboratory reagents on a backing, prepared diagnostic or laboratory reagent. 380891 Insecticides put up in forms or packaging for retail sale or as preparations or articles 380893 Herbicides, anti-sprouting products and anti-plant growth regulators, put up in forms or packings 901890- Instruments and appliances used in medical, surgical or veterinary sciences 901819- Electro-diagnostic apparatus, including apparatus for functional exploratory examination.
Agro and food products 170199,Cane or beet sugar and chemically pure sucrose, in solid form (excluding cane and beet sugar … 100630 Semi-milled or wholly milled rice, whether or not polished or glazed 100119 Durum wheat (excluding seed for sowing) 150710 Crude soya-bean oil, whether or not degummed 151110 Crude palm oil 151190;Palm oil and its fractions, whether or not refined (excluding chemically modified and crude) 020230 Frozen, boneless meat of bovine animals 020714;Frozen cuts and edible offal of fowls of the species Gallus domesticus
Communication Services · Motion picture/video tape production/distribution services · Motion picture projection service · Radio and television services · Radio and television transmission services · Sound recording · Computer Services
Transport Services · Other modes of transport, Freight, others
Travel & Tourism · Travel, Personal, Education-related, Health related · Travel, Business, Other (other than acquisition of goods and services by border and short-term workers) · Sports
Business Services · Professional and management consulting services · Charges for the use of intellectual property n.i.e. Health services · Hospital services · Medical (General & Specialised) & Dental Services · Pharmaceutical services · Other medical services (Nursing, Medical laboratory, diagnostic imaging, etc)
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- Agro and food products
210690 Food preparations n.e.s
240220 Cigarettes, containing tobacco
- Petroleum and Petrochemical Products
271019 Medium oils, preps of petroleum/bituminous minerals
271113 Butanes, liquefied
271129 Hydrocarbons in gaseous state n.e.s (excl. nat. gas)
390120 Polyethylene with S.G>=0.94 in primary form
310210 Urea, whether or not in aqueous solution
271600 Electrical energy
- Manufactured Products
240220 Cigarettes, containing tobacco
890190 Vessels for the transport of goods and persons
890520 Floating and submersible drilling and production platforms
- Transport Services
- Freight transport, Sea
- Passenger & freight transport, Air
- Travel & Tourism
- Travel, Personal (other than health and education)
- Financial Services
- Explicitly charged and other financial services
- Direct insurance
- Business Services
- Technical, Trade related business services
-Category A or B Products (marked for liberalisation)
– Current MFN Rate < 20%
– Global import by target country <$1m p.a.
-All other Category A or B Products with MFN rates >=20% (marked for liberalisation)
-All other AfCFTA liberalised services
– Global import by target country of $1m – $10m p.a.
– AfCFTA liberalised services with global import value >$10m p.a. for target country
Value chain inclusive
Understanding Global Value Chains (GVCs) is crucial for exporters, because it helps identify opportunities for economic growth, trade integration, investment, development, and jobs. Nigeria, with its abundant inputs and commodities, offers exporters the potential to participate in GVCs and benefit from the economic advantages.
Nigeria possesses abundant agricultural products, fisheries, livestock, crude oil, and natural gases, which can serve as a foundation for inclusion into the GVC. Proper harnessing of these value chains can lead to new forms of production, technology transfer, job creation, poverty reduction, and inclusive growth. The following value chain has been identified:
Target markets
As an exporter looking to expand your business globally, knowing the top markets can give you a strategic advantage and help you identify lucrative opportunities in various industries. Top markets refer to the most lucrative or profitable markets for a particular product or service, and identifying them can help businesses focus their resources and strategies to maximize their potential revenue and growth.
ITC Market Analysis Tools
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Harvard’s Atlas of Economic Complexity
The Atlas of Economic Complexity is a free tool that can help you understand how countries are connected through trade and their potential future economic growth and development, and the diversified product space for each country. As an exporter, you can make use of the several resources available such as the Economic Complexity Index (ECI) and the Product Complexity Index (PCI) to identify growth opportunities for economic diversification and dynamics of global trade and economic development. View the HAEC here >>>
Trade Map
This is a tool developed by the International Trade Center (ITC) that makes trade statistics for international business development readily accessible. Here, you have access to monthly, quarterly, and yearly trade data, including import and export values, volumes, growth rates, market shares, and much more. Visit the ITC trade map here >>>