AfCFTA signs $3.1bn customs modernisation deal across Africa

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The African Continental Free Trade Area Secretariat on Thursday said it has signed “a 20-year, $3.1bn concession agreement with Bergmans Security Consultants and Supplies Limited to modernise customs administration across Africa,” a major step aimed at boosting intra-African trade, reducing border delays and improving revenue collection across the continent.

According to a statement by AfCFTA Secretary General, Wamkele Mene, on Thursday, the concession agreement, signed in Abuja, will drive the implementation of the AfCFTA Customs Modernisation Project, an initiative designed to deploy advanced digital technologies and customs infrastructure to support the continent’s free trade ambitions.

The agreement was executed weeks after both organisations signed a Memorandum of Understanding to collaborate on transforming customs administration across Africa.

Mene signed on behalf of the continental trade bloc, while the Chairman of Bergmans Security Consultants and Supplies Limited, Saleh Ahmadu, signed for the company.

Speaking after the signing ceremony at the Transcorp Hilton Hotel, Abuja, Mene described the agreement “as a significant milestone in Africa’s drive to build an integrated and digitally enabled trading system.”

He said the project would provide the technological backbone required to implement AfCFTA protocols on customs harmonisation and trade facilitation, enabling customs administrations across Africa to improve operational efficiency, protect government revenues and facilitate the seamless movement of goods without placing additional financial burdens on member states.Mene disclosed that “about 50 African countries had already keyed into the initiative,” adding that it would support the AfCFTA’s objective of creating a single continental market of approximately 1.3bn people with a combined Gross Domestic Product estimated at $3.4tn.

He noted that the project was inspired by the success of customs modernisation initiatives implemented in Nigeria. According to him, Bergmans’ deployment of digital solutions for the Nigeria Customs Service significantly improved cargo clearance processes, reduced processing time, enhanced transparency and boosted government revenue.

“The Nigerian experience demonstrated that technology can transform customs administration. The success recorded gave the AfCFTA Secretariat the confidence to replicate the model across the continent,” Mene said.

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