An Assessment of the Short Term Impact of the ECOWAS-CET and EU-EPA in Senegal
In recent years, there have been major changes in the trade policy landscape in West Africa that will affect Senegal. The Common External Tariff (CET) for (ECOWAS) and European Union-Economic Partnership Agreement (EU-EPA) have generated an intense...
| Main Authors: | , |
|---|---|
| Format: | Working Paper |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2016
|
| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/209801480496403751/An-assessment-of-the-short-term-impact-of-the-ECOWAS-CET-and-EU-EPA-in-Senegal http://hdl.handle.net/10986/25756 |
| Summary: | In recent years, there have been major
changes in the trade policy landscape in West Africa that
will affect Senegal. The Common External Tariff (CET) for
(ECOWAS) and European Union-Economic Partnership Agreement
(EU-EPA) have generated an intense debate among policy
makers, interest groups and the general population. The CET
aims at the establishment of a customs union for ECOWAS
countries through ‘the adoption of a common external tariff
and a common trade policy vis-à-vis third countries.’ It was
adopted at a Heads of State Summit in October 2013 in Dakar
and is to be implemented from 2015. When initially designed
in the mid-2000s, the CET was organized in four tariff
bands: 0 percent for essential social goods, 5 percent for
goods of primary necessity, raw materials and specific
inputs, 10 percent for intermediate goods and 20 percent for
final consumption goods. Since then, Nigeria has obtained
the introduction of a fifth band at 35 percent for ‘specific
goods for economic development’ (essentially agricultural
goods and some consumer goods). The first section of the
paper presents an analysis of the impact of the CET and
EU-EPA on protection levels, trade flows and state revenues,
changes in the price of the consumption bundles for
households and impact on firm’s profits. The second section
underlines some key elements of an accompanying policy
agenda and a third section concludes. |
|---|