how do trade barriers affect the african economy today

how do trade barriers affect the african economy today

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One of the main barriers to trade in Africa is distance. The length of time it takes for goods to travel from one location to another, and the associated costs, can be a major factor in deciding whether or not a trade relationship will be profitable for both sides. A second barrier to trade in Africa is tariffs. Tariffs are taxes that are levied on goods imported into an economy and paid by importers who wish to sell their goods locally. The higher amount charged by local producers compared with their international counterparts results in lower profits for local exporters and higher unemployment rates among workers who depend directly on imports coming into an area rather than being produced within its borders.

One of the main barriers to trade in Africa is distance.

One of the main barriers to trade in Africa is distance. Transport costs are high, and there are few roads, bridges and railways. There is also a lack of reliable electricity supply and telecommunications infrastructure which makes it difficult for traders to communicate with their counterparts in other countries or regions.

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A second barrier to trade in Africa is tariffs.

In the past, tariffs were used to protect local industries from foreign competition. Today, however, many African countries have begun using tariffs as a way of protecting large national economies instead. For example:

  • South Africa has a 25% tariff on imports over $0 and a 10% tariff on all other imports (except for those from Botswana).
  • Mauritius has an additional 5% import duty on all goods entering its territory.

A third barrier to trade in Africa is quotas.

Quotas are limits on the amount of a particular good that can be imported. They’re usually put in place by individual countries to protect their own industries, but they can also be used to protect domestic producers from foreign competition.

For example, if you’re an African country with a large textile industry and you want to keep out cheap Chinese fabrics, you could impose quotas on imports of those fabrics by making it difficult for any other country that wants access to your market (or even just your ports) — even if there’s no obvious reason why this is necessary or fair.

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The fourth barrier to trade in Africa is lack of infrastructure.

The fourth barrier to trade in Africa is lack of infrastructure. In this case, we are talking about the lack of roads, railways and airports that can be used by traders who want to import or export goods from one country to another. This problem has been around for a while but has become more serious since 2008 when there was an economic crisis that affected many African countries including Nigeria which at that time had one of the biggest economies in Sub-Saharan Africa.

The fifth barrier to trade in Africa is protectionism

The fifth barrier to trade in Africa is protectionism. Protectionism is a government policy that limits or prevents the import of foreign goods and services. It often results from political considerations, but it can also be motivated by economic factors such as local production costs and consumer preferences.

Protectionist policies are used to shelter domestic industries from foreign competition, which can lead to higher prices for consumers and less competitive industries.

The sixth barrier to trade in Africa is lack of competitiveness

The sixth barrier to trade in Africa is lack of competitiveness. Africa’s competitiveness is low because of poor infrastructure, poor education, and poor health care. This continues a trend that began with colonial rule and continued into the post-colonial era through unequal access to technology and knowledge base.

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Until these barriers to trade in Africa are lifted, the economic growth rate will remain low and unemployment will be high.

Until these barriers to trade in Africa are lifted, the economic growth rate will remain low and unemployment will be high.

The idea of removing trade barriers is not new. It has been a subject of discussion for many years now and it seems that there are still no clear answers as to how this can be done.

One way that could help achieve this goal would be by improving infrastructure across all African countries so that they become more competitive on an international level. This would also mean improving education systems so as well as other aspects such as health care or poverty reduction programs needed for sustainable development

Conclusion

Trade barriers are a big problem in Africa. They restrict free trade, which is the best way to raise living standards and create jobs. But there are ways to fix this problem: the first step is to reduce the distance that goods must travel and make it easier for people with different ideas about how things should be done (like me) to collaborate with each other rather than against each other. The second step would be to remove tariffs and quotas so we can all compete fairly on fair terms – but if we don’t have any infrastructure or competition then that won’t work either!

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