The selection: Friday, 18 December

The Intra-African Investment Report: consultancy services for conducting data collection (AfDB)

The Intra-African Investment Project aims to (i) contribute to a better understanding and knowledge of intra-African Investments, a rapidly growing phenomenon and a critical source of growth and jobs for the continent on which data is still patchy, (ii) increase efficiency of intra-African private sector investment at the regional/continental levels, (iii) promote regional firm productive capacities and sustainable development of regional value chains (RVC) and (iv) integrate development of investment and trade at the regional and continental levels. The successful consultants are expected, inter alia, to: collect data on the scale, trends, composition of Intra-African Investment flows and stocks and address impediments of IAI; to illustrate best practices where local enterprises are connected with global/regional value chains and benefits created such as job creation, income growth, technology spill-over, skills development, etc.

Serious lack of Sub-Saharan intra trade (Chamber Trade Sweden)

In a special report commissioned for our chamber partner organisations in Africa, 'Globalization, protectionism and economic growth', the author Fabian Wallen puts forward conclusions underlying the serious effects of the lack of regional SSA trade and integration. The report was presented at chamber seminars in Zambia and Zimbabwe, in November, as part of our capacity building on Industrial Development. The report will be launched officially in the beginning of 2016. We hope the report will promote further discussion within the chamber family in Africa.

Ghana’s transit trade fortunes in West Africa dip (GhanaWeb)

The Ghana Ports and Harbours Authority says Ghana is losing significant revenue due to continued drop in transit trade between the country and her West African neighbours. Officials attribute the trend, among others, to the introduction of axle load regulation which has seen shippers from the Sahel Region boycott Ghana’s ports over high cost. Figures from the authority indicate Ghana lost about 50% of cargo trade with Burkina Faso, Mali and Niger from one million tons annually since 2009 to 500 thousand tons in 2014. Marketing and Public Relations Manager at GPHA, Paul Asare Ansah, says Ghana paid the price in the country’s quest to maintain the integrity of her corridors. He was addressing police regional commanders forum on transit trade organized in Kumasi by the Ghana Shippers Authority in collaboration with the Borderless Alliance.

Kenya, Ghana push for African trade market (The Standard)

Kenya and Ghana are pushing for the formation of an African company that would provide a continental market for goods and services to promote trade among the 50 countries of the African Union. The structure of the enterprise, to be named Pan African Trade Hub System (Paths), will be modelled along the Africa Development Bank, and registered in Kenya, Ghana, Mauritius and Tunisia. It is projected to be operational by 2017.

Ethiopia: 'Green Export' review update (UNCTAD)

During the workshop [22-23 December], participants will discuss the potential for supporting the development of sustainable value chains, assess existing market opportunities and review options for generating increased added value. National sustainable development priorities and relevant sectoral policies will also be considered. As a result of the workshop, stakeholders will select the priority green sectors that will be further analyzed and supported in the framework of the NGER.

Extract from Ethiopia's draft NGER: There is a large un-tapped potential for developing countries to advance the development of green sectors. In this context international trade, through exports and imports of green goods and services, can facilitate the development of green sectors. There are formidable challenges, however, to undertaking the transitions successfully and engaging in international trade. Principal approaches towards this goal include the creation of an enabling environment through improved regulatory and institutional frameworks for the green economy, productive capacity building, investment and related financial services, and more open trade, with greater attention to social equity, in green goods and services to enhance market access and investment opportunities. [Download the draft report]

Roadmap to boost intra-COMESA trade in maize (COMESA)

The COMESA Mutual Recognition Framework (C-MRF) was launched in Kampala yesterday. It is aimed at providing equivalence of analytical results and recognition of certificates of analysis issued by the laboratories of the participating countries. This will eliminate the need for multiple testing by both the exporting and importing country. The C-MRF was developed by the COMESA Secretariat in partnership with six countries with significant maize trade. They comprise Kenya, Malawi, Rwanda, Uganda, Zambia and Zimbabwe and will also pilot the Framework. The key components of the MRF are common grading criteria, proficiency testing for Aflatoxin analysis and a risk-based sampling protocol.

Swaziland’s SACU sugar sales projected to grow (Swazi Observer)

Swaziland's sugar sales in the SACU market are projected to grow at 3.25% in the short term and 2.5% thereafter. According to the Royal Swaziland Sugar Corporation, the implementation of the dollar based reference price mechanism has resulted in the institution of a variable tariff that protected the SACU market from low cost imports, hence SACU sugar price was projected to increase.

El Niño cools Africa’s economic engine (WSJ/Business Day)

SADC Agromet Update: 2015-2016 season

SA-AGOA: South Africa to open poultry quota Friday (Politico)

Commodities and Development Report 2015 (UNCTAD)

Smallholder farmers constitute the largest contingent of the poor and yet they produce more than 8% of the world's food, in value terms. The report argues for specific measures at the national, regional and global levels, including in international trade and investment agreements, for unleashing the full business potential of smallholders. It showcases good policy practices, including the role of strong political leadership in reversing the policy neglect that small farmers have suffered from. Extract: Regardless of differing estimates of the extent and the value of post-harvest losses, the resulting low returns on farming investments may discourage many farmers from engaging with markets, and retreating into subsistence farming or off-farm activities instead. Mitigation technologies vary by product. For perishable fruits and vegetables, introducing and maintaining cold storage facilities in rural areas is challenging in most low-income countries because of the high capital investment needed, unreliable electricity supply and lack of maintenance. The absence of a domestic cold-chain infrastructure also limits the possibility of smallholders to participate in regional and international value chains. [Download]

Why agricultural product standards matter for small traders in developing countries (World Bank Blogs)

New World Bank Group research offers a first look at how a specific set of mandatory product standards - in this case, the maximum pesticide residue permitted on unprocessed food - impacts exporters. Novel firm-level data for exporters from 42 developing countries from 2006-2012 were analyzed along with data on pesticide standards for 243 agricultural and food products in 63 importing countries. We found that pesticide standards differ greatly across countries. These findings have clear implications for developing countries trying to reduce poverty by expanding agricultural trade.

MC10 updates:

Bridges Daily Update #4: 'As clock runs down, WTO Nairobi talks kick into gear'

Azevêdo welcomes efforts to help implement Trade Facilitation Agreement (WTO)

DG Azevêdo noted the unique architecture of the TFA, which provides developing and least-developed countries with the flexibility to tailor their commitments and implementation schedules according to their specific needs and commensurate with their level of development. I.V. Mazorodze, Commissioner of Customs and Excise with the Swaziland Revenue Authority, said efforts undertaken by his government so far on implementation have included the creation of a National Trade Facilitation Committee, the development of a National Trade Portal, training of customs clearing agents, upgrading border infrastructure and the drafting of a new Customs Act. He noted that Swaziland's ranking in the World Bank's “Doing Business” survey has improved significantly in recent years. The country currently ranks 30th worldwide for the survey's “trading across borders” indicator.

Ambassador Michael Froman: launch of the Global Alliance for Trade Facilitation (USTR)

“I’d like to say from our own perspective, we know, as is the case for many countries, that SMEs are really the driving force of the economy. They are the job creators. And yet, when we ask our SMEs what are the biggest challenges they see facing them when they engage in international trade, the number one issue they point to are the complexities in the various customs procedures and border measures, and the TFA very much is an effort to address them."

PACCI: 'Urge your government to ratify the agreement on trade facilitation'

The Pan African Chamber of Commerce and Industry notes, with deep concern, that most African governments have yet to put in place all the necessary measures for the ratification of the Agreement on Trade Facilitation. PACCI calls upon national chambers of commerce and business associations to push for ratification by their government and allow prompt implementation of the long-awaited Agreement on Trade Facilitation.

Kenya rules out hitches under WTO’s trade automation deal (Business Daily)

Kenya has ruled out hitches as it begins to open its customs and border procedures to the rest of the world under the WTO’s ambitious Trade Facilitation Agreement. Kenya, one of the 60 states that had signed the TFA by yesterday, says it is already running ahead of other developing states after recent automation of its ports and border procedures.

Sh15bn boost from Denmark to streamline cargo handling in Mombasa (Daily Nation)

Kenya yet to sign trade deal scrapping taxes on ICT imports (Business Daily)

Kenya expects to sign the WTO agreement that is aimed at removing taxes on Information Communication Technology products like TV decoders and computers to promote economic growth and jobs creation. Foreign Affairs and International Trade secretary Amina Mohamed on Thursday said the State is still monitoring the Information Technology Agreement, which gives 201 goods duty-free access to markets of the WTO members from July next year.

EA seeks common warehouse rules to plug revenue leakages (Business Daily)

The Treasuries of the EAC states are seeking common rules to tighten supervision of customs warehouses and stem tax evasion. Treasury cabinet secretary Henry Rotich said there were differences in the warehousing regimes in the region that make it difficult to enforce best practices, thereby leading to revenue leakages.

Zambia plans to establish export-import bank (World Bulletin)

The Zambia Development Agency has recommended the establishment of the EXIM bank to the government, according to ZDA Manager in Charge of Export Albert Halwampa. "At the moment, in Zambia, there is no institution that subsidizes export finance to support traders, as there is in many other countries. The establishment of this specialized bank will enable Zambian traders to take advantage of international trade initiatives," Halwampa said. "Zambia is trying to become an export-led economy, so the EXIM bank will help to boost foreign exchange earnings that will serve to grow the national economy," Halwampa explained.

Afreximbank plans Sh350bn in trade finance to ease Africa forex crunch (Business Daily)

Egypt: Country Partnership Framework (World Bank)

The CPF reflects a clear departure from past World Bank support for Egypt. This is not only by its proposed scale, which is considerably larger than in the past, but also by its focus on supporting the country’s efforts to renew its social contract with its citizens. The three closely interconnected key pillars of the CPF are improving governance, supporting private sector job creation, and improving social inclusion.

AfDB, Egypt ink $500m loan agreement, Egypt Suez Canal revenue drops to $408.4m in November (Ahram), Egypt says consultancy firms behind failure to reach agreement on Ethiopia dam (Ahram)

Latin American Economic Outlook 2016: the time is now for a new Latin America-China partnership (OECD)

Since 2000, the trade relationship between Latin America and China has experienced an exceptional expansion, multiplying 22 fold, compared to a 3 fold increase with the world at large, says the report. The evolution of China’s participation in Latin American global value chains has been remarkable and has even surpassed intraregional ones: between 2000 and 2011, the region’s intraregional share of backward linkages grew from 5% to 9%, and China’s share roared from 1% to 11%. Today, China is the largest trading partner for Brazil, Chile and Peru. Latin America has to advance in its integration agenda, building on existing platforms such as Mercosur, the Pacific Alliance and CARICOM to grasp the benefits of higher integration in global value chains. [Download]

MTN takes fight over Nigerian fine to court (Business Day)

Sudan prepares proposals to bolster trade with Russia (Sputnik)

Zimbabwe: Doing Business performance review workshop (The Herald)

Beitbridge: Traffic volumes increase (The Herald)

Kenya's PPP Unit: 3 keys to success, 5 lessons to share (World Bank Blogs)

IGAD committed to establishing a gender management system (IGAD)

Lesotho: Coalition parties blast SADC (Lesotho Times)

Trilateral cooperation on trade and investment: implications for African industrialisation (IDS)

Stuck in a patent policy rut: considerations for trade agreements (Brookings)

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This post has been sourced on behalf of tralac and disseminated to enhance trade policy knowledge and debate. It is distributed to over 300 recipients across Africa and internationally, serving in the AU, RECS, national government trade departments and research and development agencies. Your feedback is most welcome. Any suggestions that our recipients might have of items for inclusion are most welcome. Richard Humphries (Email: This email address is being protected from spambots. You need JavaScript enabled to view it.; Twitter: @richardhumphri1)