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Home » Stakeholders Advocate Priority for African-Flagged Vessels in AfCFTA Implementation

Stakeholders Advocate Priority for African-Flagged Vessels in AfCFTA Implementation

By Joshua Yousouph 

by Joshua
October 30, 2025
in Featured, News

Maritime experts and industry advocate, have called for deliberate policies that prioritize African-flagged vessels in the implementation of the African Continental Free Trade Area (AfCFTA), stressing that genuine intra-African trade cannot thrive if foreign-owned ships continue to dominate the region’s maritime space.

Speaking at the sub-regional seminar and meeting of the Standing Committee on Trade and Transport organized by the Nigerian Shippers’ Council (NSC) in collaboration with the Union of African Shippers’ Councils (UASC), Secretary-General, African Shipowners Association (ASA), Ms. Funmi Folorunsho emphasized the need for African nations to strengthen indigenous shipping capacity and ownership as a core part of AfCFTA’s operational framework.

Folorunsho questioned whether ongoing engagements under the AfCFTA framework were being designed to benefit African shipowners or simply to expand opportunities for foreign shipping lines.

She proposed that African policymakers consider reserving certain trade routes and cargoes within the AfCFTA framework exclusively for African-flagged vessels. According to her, such a move would encourage more investments in indigenous shipping, strengthen national registries like Nigeria’s, and ensure that the continent benefits directly from the economic opportunities AfCFTA presents.

She also cited a United Nations Economic Commission for Africa (UNECA) report, which projects the number of vessels needed by the continent over the next 20 years, warning that Africa must act fast to avoid continued dependence on foreign tonnage.

Folorunsho therefore called for a strategic partnership between African shipowners and the UASC to strengthen indigenous participation in maritime trade, emphasizing that the continent’s economic future lies in owning and operating its own ships.

“I speak on behalf of all Africans who own or operate vessels—whether they fly the African flag or any other flag. Many African shipowners register their vessels under foreign flags such as Panama or Singapore for business and regulatory reasons, not out of lack of patriotism. But if conditions become favorable at home, they will proudly fly their national flags.

“When we talk about engaging shipping lines like Maersk and others, we must also ask: are we developing AfCFTA for African-flag vessels or for foreign ones? If you tell me today that AfCFTA trade within Africa is reserved for African-flag vessels, before the end of the year, we’ll have more vessels registered under Nigerian and other African flags,” she said. “Who will give you the best rates and loyalty? It is the African-flagged vessel, not a foreign one.”

“On behalf of Africans who own ships, operate ships, and those who want to invest in ships, I am calling for a partnership between us and the UASC,” she concluded. “We must promote trade peace and sustainability through African ship ownership and cooperation.”

On his part, Senior Trade Policy & Law Expert and Lead for Trade Enablement at Nigeria’s AfCFTA Coordination Office, Olusegun Olutayo, predicted a whopping $120.83 billion Investment for the effective implementation of Africa Continental Free Trade Agreement (AFCFTA) transport infrastructure to aid trade facilitation.

According to him, the Economic Report on Africa 2025, disclosed that the continent requires $120.83 billion investment in transport equipment by 2030 to support AfCFTA streamlines regulations and strategic trade facilitation measures to maximise the benefits of the agreement.

Olutayo who is leading the Nigeria AfCFTA Coordination Office, emphasized the critical role shippers’ councils play in boosting intra-African trade and facilitating efficient transport connectivity.

He maintained that the ECOWAS is also working on developing maritime links and some sea routes to improve regional shipping and launched a digital certificate of origin to simplify trade procedures.

Therefore, the expert affirmed that member states are expected to align their regulatory procedures by domesticating the provisions of the AfCFTA Agreement to facilitate trade, simplify procedures, link land to sea through trade corridor development and management, transit management and collaboration with shippers’ Councils.

Olutayo reiterated that measures such as transparent customs procedures, simplified border procedures, harmonised transit procedure, regional corridor management, automation and digitalisation are indicators that could enhance transport connectivity bearing in mind the link between regulation, logistics and shipping by enhancing and supporting the continental supply value chain through regulatory compliance, technology deployment to automate and digitalise shipping procedures and regulatory compliance.

“Furthermore, intra-African exports is dominated by manufactured good that stood at 46% share indicate huge potential for value addition and less for primary commodities. Amidst this strategy, shippers/s councils have a critical role to play in connecting State Parties and increasing intra-African trade.

”As shippers, have a key role to play in connecting State Parties, increasing trade and providing low-cost and efficient transportation. Trade facilitation will play a crucial role in creating the enabling environment for shippers” Olutayo noted.

Speaking during his paper presentation, an economist and Chief Executive Officer of Centre for the Promotion of Private Enterprise (CPPE) Dr. Muda Yusuf emphasized the need for comprehensive policy reforms to reduce trade costs and strengthen transport connectivity across West and Central Africa stressing that improving trade performance goes beyond building infrastructure.

Dr Yusuf noted that strong political will, practical reforms, and sustained regional cooperation are critical to unlocking new trade opportunities, stimulating job creation, and building stronger, more resilient economies across the sub-region.

He further explained that the policy framework under discussion offers a “clear and achievable roadmap” for governments, private sector players, and development partners to make trade more efficient and inclusive. He concluded by urging African nations to adopt coordinated approaches that promote seamless border procedures, digital integration, and transparent trade systems, noting that such measures are vital to achieving the transformative goals of the African Continental Free Trade Area (AfCFTA).

“Reducing trade costs and improving transport connectivity is not only about infrastructure — it is also about simplifying processes, using technology wisely, and working together across borders.” he noted.


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