Nigeria, UAE Formalise Pact To Liberalise Trade In Over 7,000 Products

Nigeria and the United Arab Emirates (UAE) have formally signed a Comprehensive Economic Partnership Agreement (CEPA), marking a major milestone in bilateral economic relations and opening a new chapter in Nigeria’s global trade integration.

The agreement, which was signed in the presence of the Heads of State of both countries, is designed to significantly liberalise trade in goods and services, eliminate tariffs on thousands of products, and expand market access for Nigerian businesses and professionals.

The development was announced on January 13, 2026, by Nigeria’s Minister of Industry, Trade and Investment via a post on X.
Under the CEPA, tariffs will be eliminated on more than 7,000 products traded between both countries, while access will be opened to 108 service sectors, positioning the UAE as a strategic gateway for Nigerian enterprises into the Middle East and wider global markets.

The Ministry described the agreement as a transformative step that reshapes Nigeria’s trade architecture and strengthens its competitiveness in international trade.

According to details released by the Ministry, Nigeria will liberalise a total of 6,243 products under the agreement. Of this number, tariffs on 3,949 products, representing 63.3 per cent, will be eliminated immediately, while tariffs on a further 2,294 products, or 36.7 per cent, will be phased out over a five-year period.

Advertisement

A total of 123 products have been excluded from liberalisation.
On the UAE side, tariffs will be immediately removed on 2,805 out of 7,315 products, accounting for 38.3 per cent of covered goods.

Another 1,468 products, or 20.1 per cent, will have tariffs eliminated within three years, while 3,042 products, representing 41.6 per cent, will see tariffs removed over a five-year period.

In total, 593 products are excluded or prohibited, bringing the UAE’s liberalised tariff lines to 7,315.

The CEPA also introduces a dedicated Rules of Origin chapter aimed at ensuring that only goods genuinely produced in Nigeria or the UAE benefit from tariff preferences.

This provision is intended to protect the integrity of the agreement and prevent trade deflection through third countries.

Advertisement

Commenting on the development, the Minister of Industry, Trade and Investment said the agreement sends a strong signal to global investors and trading partners.

“Nigeria is open for business, and Nigerian businesses now have open access to the UAE, the Middle East and the rest of the world,” the Minister stated.
Beyond goods, the agreement significantly deepens cooperation in trade in services, with commitments that go beyond Nigeria’s existing obligations at the multilateral level.

The Ministry noted that the CEPA exceeds Nigeria’s current commitments under the World Trade Organization’s General Agreement on Trade in Services (GATS), while remaining fully compliant with Article V of the agreement.

The Federal Government also emphasised that the Nigeria–UAE CEPA is consistent with Nigeria’s broader regional and continental trade obligations.

For trade in goods, the agreement satisfies Article XXIV of the General Agreement on Tariffs and Trade (GATT).

It also complements Nigeria’s commitments under the African Continental Free Trade Area (AfCFTA), without affecting the country’s AfCFTA tariff concessions.

Advertisement

According to the Ministry, Nigeria’s AfCFTA commitments in priority service sectors, including business services, communication, financial services, transport, and tourism, already exceed both GATS and CEPA obligations.

The CEPA is also designed to operate alongside Nigeria’s obligations under the ECOWAS Common External Tariff and to complement commitments under the ECOWAS Protocol on Trade in Services.

Nigeria has formally notified both the ECOWAS and AfCFTA Secretariats of the agreement, underscoring its commitment to transparency and alignment with regional and continental trade frameworks.

The CEPA with the UAE could significantly boost Nigeria’s non-oil exports, attract investment, and enhance the country’s integration into global value chains, particularly by leveraging the UAE’s role as a major logistics, financial, and commercial hub.

Leave a comment

Advertisement