November 27, 2025
Ethiopia has taken a significant leap toward deeper African economic integration by commencing customs duty reductions on traded goods with 24 member countries of the African Continental Free Trade Area (AfCFTA). This initiative, formalized through the Council of Ministers Regulation No. 574/2025 published in July 2025, launches a phased multi-year plan aimed at eliminating tariffs on over 90% of goods exchanged with eligible African partners.
This commitment is part of Ethiopia’s broader adoption of the AfCFTA agreement, ratified by the House of Peoples’ Representatives and endorsed at the African Union summit in February 2024. Countries that have met their national compliance obligations and submitted trade proposals to the AfCFTA Secretariat, including Algeria, Botswana, Cameroon, Egypt, Kenya, Ghana, Morocco, and others, are now benefiting from these tariff concessions or duty-free access.
The formal implementation began on October 9, 2025, aligning with AfCFTA’s vision to establish a unified continental market comprising 55 nations, a combined population of 1.4 billion, and a collective GDP of approximately USD 3.4 trillion. By removing customs and non-tariff barriers, the agreement aims to boost product competitiveness, facilitate smoother intra-African trade flows, and foster sustained economic growth across the continent.
Ethiopia has positioned itself strategically by identifying priority products with comparative advantage and establishing mitigation strategies to maximize the benefits of AfCFTA. A National Coordinating Committee, involving key government ministries, the Customs Commission, the National Bank, and logistics entities, steers the implementation process.
Already, Ethiopian Airlines has capitalized on these new opportunities by exporting products such as meat, vegetables, fruits, dried coffee, and cereals to key regional markets including Kenya, Somalia, and South Africa. Concurrently, Ethiopia’s Customs Commission has issued clear guidelines to customs branches and traders to ensure a smooth transition to the new tariff framework, emphasizing compliance with destination countries’ regulatory standards.