ECOWAS Trade Liberalisation Scheme

Overview

The ECOWAS Trade Liberalisation Scheme (ETLS) is a regional trade arrangement established by the Economic Community of West African States (ECOWAS) to promote free trade among its member countries. The scheme aims to eliminate customs duties and non-tariff barriers on goods originating within the ECOWAS region, thereby supporting regional economic integration.

Objectives of the ETLS

The primary objective of the ETLS is to enhance intra-regional trade by encouraging the free movement of goods produced within ECOWAS member states. It seeks to stimulate industrial development, strengthen regional value chains, and reduce dependence on external markets by creating a larger and more competitive regional market.

Key Features

Under the ETLS, approved industrial products, agricultural goods, and handicrafts that meet the rules of origin requirements are eligible for duty-free and quota-free access within ECOWAS. Companies must obtain ETLS approval and certification from their national authorities to benefit from the scheme. The scheme also includes provisions to address non-tariff barriers and improve customs cooperation among member states.

Relationship with WTO Rules

The ETLS operates in line with WTO provisions on regional trade agreements, particularly Article XXIV of the General Agreement on Tariffs and Trade (GATT), which allows the formation of customs unions and free trade areas. As a regional arrangement, ETLS complements WTO multilateral trade rules by promoting trade liberalisation at the regional level.

Significance in Regional Trade

The ETLS plays a vital role in promoting economic integration and development within West Africa. By reducing trade costs and encouraging cross-border commerce, the scheme supports industrial growth, job creation, and greater economic cooperation among ECOWAS member states.