⚠ Official Notice: www.ijisrt.com is the official website of the International Journal of Innovative Science and Research Technology (IJISRT) Journal for research paper submission and publication. Please beware of fake or duplicate websites using the IJISRT name.



The Impact of the ECOWAS Common External Tariff on Intra-Regional Trade Liberalization: Evidence from 2015–2024


Authors : Charles Nzube Ofodile

Volume/Issue : Volume 11 - 2026, Issue 6 - June

Google Scholar : https://shorturl.at/fyDuE

Scribd : https://tinyurl.com/2uxsjwps

DOI : https://doi.org/10.38124/ijisrt/26jun258

PlumX Metrics

Semantic Scholar

ResearchGate

Note : A published paper may take 4-5 working days from the publication date to appear in PlumX Metrics, Semantic Scholar, and ResearchGate.

Abstract : This study analyzes the effect of the ECOWAS Common External Tariff (CET) to enhance liberalization of trade within West Africa during January 2015 through 2024. The study makes use of qualitative design and secondary data analysis and trend analysis of trade data of the UNCTAD, ECOWAS Commission report and peer-reviewed literature to anchor the study in the Customs Union Theory (Viner, 1950; Balassa, 1961). The results indicate that the CET brought a marginal positive effect to intra-regional trade, with the intra-ECOWAS trade share growing from 9.38% of total merchandise trade in 2015 to a peak recorded of 10.79% in 2023, and stabilized at 10.63% by 2024, which is an improvement of 52% over the pre-CET baseline of 7.11% of total merchandise trade in 2012. In addition, the volume of regional exports were also at a record high in 2024, amounting to USD 135.2 billion. The CET reinforced the ECOWAS Trade Liberalization Scheme (ETLS) through a harmonisation of the external tariff frontier, a decrease in trade deflection and a more predictable investment environment. However, intra-ECOWAS trade is still low at 15% of total merchandise trade, with much higher levels of liberalisation being achieved in the European Union (60%+) and ASEAN (25%), indicating how much non-tariff barriers, infrastructural weaknesses, smuggling and institutional deficits are hindering the full gains of liberalisation. The study finds that although tariff harmonization is essential, it is not enough; rather, there is a need for coordinated actions in the areas of trade facilitation, infrastructure, border governance and regional policy coherence for transformative trade integration in West Africa.

Keywords : ECOWAS, Common External Tariff, Trade Liberalization Scheme, Intra-Regional Trade, Customs Union, West Africa.

References :

  1. Adebayo, A. (2020). The impact of ECOWAS Common External Tariff on trade flows (2015–2019). West African Economic Review, 8(1), 21–39.
  2. Adeniyi, O. (2019). Effectiveness of the ECOWAS Trade Liberalization Scheme in promoting intra-regional trade. West African Journal of Economic and Social Studies, 6(2), 88–103.
  3. Adepoju, A. (2019). Regional integration, migration, and development in West Africa. Nigerian Institute of International Affairs.
  4. Adepoju, A., & Fadeyi, O. (2022). Porous borders and illicit trade in West Africa. Journal of Borderlands Studies, 37(5), 923–940.
  5. Adewuyi, A. O., & Adeniyi, O. (2020). Nigeria’s border closure policy and regional trade implications. African Development Review, 32(4), 620–633.
  6. Afesorgbor, S. K. (2018). The economic effects of monetary integration in West Africa: Evidence from WAEMU. Journal of Economic Integration, 33(3), 1152–1180.
  7. Afesorgbor, S. (2021). Regional integration, trade facilitation, and economic growth in Africa. Journal of African Trade, 8(1), 45–60.
  8. African Development Bank. (2020). African economic outlook 2020. AfDB.
  9. Bach, D. C. (2016). Regionalism in Africa: Genealogies, institutions and trans-state networks. Global Governance, 22(2), 275–289.
  10. Balassa, B. (1961). The theory of economic integration. Richard D. Irwin.
  11. Balassa, B. (1985). Change and challenge in the world economy. Macmillan.
  12. Bhagwati, J. (1993). Regionalism and multilateralism: An overview. In J. de Melo & A. Panagariya (Eds.), New dimensions in regional integration (pp. 22–51). Cambridge University Press.
  13. Busse, M., & Koopmann, G. (2010). The impact of the ECOWAS common external tariff on trade flows. Intereconomics, 45(3), 145–152.
  14. ECOWAS Commission. (2015). ECOWAS Common External Tariff (CET) handbook. ECOWAS Commission.
  15. ECOWAS Commission. (2016). Report on the implementation of the ECOWAS Common External Tariff. ECOWAS Commission.
  16. ECOWAS Commission. (2018). ECOWAS Trade Liberalization Scheme (ETLS) handbook. ECOWAS Commission.
  17. Ibrahim, A., & Umar, M. (2020). Common external tariff and trade imbalance reduction in ECOWAS. Journal of Economic Integration, 35(4), 675–695.
  1. Ighodalo, A., & Eke, G. (2021). Non-tariff barriers in West African trade corridors. African Journal of International Affairs, 24(1), 56–73.
  2. Kabia, A. (2016). Trade liberalization and regional integration in West Africa. African Development Review, 28(3), 245–258.
  3. Krueger, A. O. (1999). Trade creation and trade diversion under NAFTA. Journal of Economic Perspectives, 13(1), 125–144.
  4. Krugman, P., Obstfeld, M., & Melitz, M. (2018). International economics: Theory and policy (11th ed.). Pearson.
  5. Lisinge, R. (2016). The impact of the ECOWAS common external tariff on regional trade (ATPC Working Paper). United Nations Economic Commission for Africa.
  6. Mensah, K. (2018). Compliance with rules of origin in ECOWAS trade. Journal of African Trade, 5(2), 93–108.
  7. Nnadi, M., & Kanu, S. (2020). Impact of illicit trade on ECOWAS common external tariff objectives. African Security Review, 29(4), 395–410.
  8. Ogunkola, E. O. (2010). Enhancing ECOWAS CET and trade liberalization schemes through policy alignment. Journal of Economic Integration, 25(2), 303–326.
  9. Robson, P. (1987). The economics of international integration (3rd ed.). Allen & Unwin.
  10. Schiff, M., & Winters, L. A. (2003). Regional integration and development. World Bank.
  11. Sy, A. (2017). Logistics barriers to trade integration in ECOWAS. African Development Review, 29(4), 628–640.
  12. Tinbergen, J. (1954). International economic integration. Elsevier.
  13. United Nations Conference on Trade and Development. (2023). Economic development in Africa report 2023. UNCTAD.
  14. United Nations Conference on Trade and Development. (2025). Inter-ECOWAS trade and share, annual. UNCTADstat. https://unctadstat.unctad.org/datacentre/dataviewer/US.TradeMerchTotal
  15. United Nations Conference on Trade and Development. (2025). Merchandise: Intra-trade and extra-trade of country groups, annual. UNCTADstat. https://unctadstat.unctad.org/datacentre/dataviewer/US.IntraTrade
  16. United Nations Economic Commission for Africa. (2021). Assessing regional integration in Africa X. UNECA.
  17. Venables, A. J. (2003). Winners and losers from regional integration agreements. Economic Journal, 113(490), 747–761.
  18. Viner, J. (1950). The customs union issue. Carnegie Endowment for International Peace.
  19. World Bank. (2019). Trade facilitation indicators: Measuring the impact of border reforms. World Bank.
  1. World Bank. (2020). Africa’s pulse: An analysis of issues shaping Africa’s economic future. World Bank.
  2. World Trade Organization. (2017). Trade policy review: ECOWAS member states. WTO.
  3. Yakubu, A. (2021). Informal cross-border trade and ECOWAS trade liberalization scheme. African Borderlands Research Journal, 6(1), 70–88.

This study analyzes the effect of the ECOWAS Common External Tariff (CET) to enhance liberalization of trade within West Africa during January 2015 through 2024. The study makes use of qualitative design and secondary data analysis and trend analysis of trade data of the UNCTAD, ECOWAS Commission report and peer-reviewed literature to anchor the study in the Customs Union Theory (Viner, 1950; Balassa, 1961). The results indicate that the CET brought a marginal positive effect to intra-regional trade, with the intra-ECOWAS trade share growing from 9.38% of total merchandise trade in 2015 to a peak recorded of 10.79% in 2023, and stabilized at 10.63% by 2024, which is an improvement of 52% over the pre-CET baseline of 7.11% of total merchandise trade in 2012. In addition, the volume of regional exports were also at a record high in 2024, amounting to USD 135.2 billion. The CET reinforced the ECOWAS Trade Liberalization Scheme (ETLS) through a harmonisation of the external tariff frontier, a decrease in trade deflection and a more predictable investment environment. However, intra-ECOWAS trade is still low at 15% of total merchandise trade, with much higher levels of liberalisation being achieved in the European Union (60%+) and ASEAN (25%), indicating how much non-tariff barriers, infrastructural weaknesses, smuggling and institutional deficits are hindering the full gains of liberalisation. The study finds that although tariff harmonization is essential, it is not enough; rather, there is a need for coordinated actions in the areas of trade facilitation, infrastructure, border governance and regional policy coherence for transformative trade integration in West Africa.

Keywords : ECOWAS, Common External Tariff, Trade Liberalization Scheme, Intra-Regional Trade, Customs Union, West Africa.

Paper Submission Last Date
30 - June - 2026

SUBMIT YOUR PAPER CALL FOR PAPERS
Video Explanation for Published paper

Never miss an update from Papermashup

Get notified about the latest tutorials and downloads.

Subscribe by Email

Get alerts directly into your inbox after each post and stay updated.
Subscribe
OR

Subscribe by RSS

Add our RSS to your feedreader to get regular updates from us.
Subscribe