Domestic and international trade should be of common interests. There is a need for various nations with the same economic policies and ideologies to come together and form organization where all the trade barriers and restrictions are removed. The member countries stand to benefit greatly from this union in terms of specialisations, wide spectrum of investment and exchange of ideas. This will help bring about faster economic development and growth among the member nations.
Member countries in ECOWAS mostly do come to an agreement not to impose any kind of duties on imports from the other member of the group. However, each country may retain its own tariff rates against non-member countries.
ORIGIN OF ECOWAS
Countries in West Africa were able to form economic co-operation even during the colonial era. The economic relationship were established in order to foster peace and unity within the region. ECOWAS was given birth to on the 28th of May, 1975 when the heads of states and governments of 15 independent West African countries met in Lagos, the then capital of Nigeria, to formally endorse the treaty that bought the regional economic co-operation into existence. Interesting, one would not fail to acknowledge the noble role played by Nigeria former head of state, Gen. Yakubu Gowon (rtd) in the formation of the organisation and president Eyadema of Togo who initiated the move for the regional economic intergration far back in 1972.
ECOWAS was established in order:
i) To foster regional economic co-operation and unity, economic growth and development;
ii) To eradicate the exploitative tendencies of colonialism since it was realised that the aim of colonialism was to errect efficient and effective administrative states for the purpose of economic exploitation, which would lead to persistent low standard of living, rising unemployment and economic inequality.
ECOWAS is made up of countries from both the Anglophone West African countries which include Nigeria, The Gambia, Liberia, Ghana and Sierra Leone and the Francophone countries which comprises Benin Republic, Togo, Burkina Faso, Niger Republic, Giunea Bissau, Mali, Guinea, Cote d' Ivoire, Senegal, Mauritania and Cape Verde which happens to be the last member of its organisation to increase its membership to 16 countries.
The establishment of ECOWAS was seen as a pivot upon which faster regional industrialization would take place, in terms of fiscal and monetary intergration, abolish trade barriers among the member countries. In order to achieve a virile sub-region, the adoption of common tariff was one of the cardinal objectives of the organisation.
PROTOCOLS OF ECOWAS
There are eleven protocols of ECOWAS, which are the effective instruments for the achievement of the ECOWAS treaty. These are:
1) Protocol on definition of rules of origin.
2) Protocol on exportation.
3) Protocol on the loss of revenue by member states.
4) Protocol on ECOWAS operation.
5) Protocol on contributions by member states.
6) Protocol on the third-party vehicle assurance.
7) Protocol on free movement of persons within the member states.
8) Protocol on peace and assistance.
9) Protocol on trade and restrictions.
10) Protocol on transport and communication.
11) Protocol on agriculture.
Tags:
Business Today