AfCFTA signs $3.1bn customs modernisation deal to boost intra-African trade

The African Continental Free Trade Area (AfCFTA) Secretariat has taken a significant step towards boosting intra-African trade by signing a 20-year, $3.1 billion concession agreement with Bergmans Security Consultants and Supplies Limited. This landmark deal is set to modernize customs administration across the continent, aiming to accelerate trade, reduce border delays, and enhance revenue collection.

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The agreement is a major milestone in Africa’s quest to establish an integrated, technology-driven trading system.

The agreement, signed in Abuja, will drive the AfCFTA Customs Modernisation Project, which involves deploying advanced digital technologies and customs infrastructure. This initiative is designed to support the continent's ambitious free trade agenda. The deal follows a recent Memorandum of Understanding between the AfCFTA Secretariat and Bergmans to collaborate on transforming customs operations.

Wamkele Mene, AfCFTA Secretary-General, highlighted the agreement as a major milestone in establishing an integrated, technology-driven trading system for Africa. He explained that the project will provide essential digital infrastructure for implementing AfCFTA protocols on customs harmonization and trade facilitation. This will enable customs administrations to improve efficiency, strengthen revenue collection, and ensure the smooth movement of goods without additional financial burdens on member states.

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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 noted that approximately 50 African countries have already committed to the initiative. He emphasized the project's potential to support the AfCFTA's goal of creating a single continental market encompassing 1.3 billion people with an estimated combined GDP of $3.4 trillion. The success of customs modernization reforms in Nigeria, implemented through Bergmans' digital solutions, served as a key inspiration and confidence booster for replicating the model continent-wide.

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The achievements recorded in Nigeria convinced us that this initiative can deliver similar results across Africa. This is an achievement that should make Nigerians and Africans proud.

Saleh Ahmadu, Chairman of Bergmans Security Consultants and Supplies Limited, described the agreement as the commencement of a long-term investment that will reshape customs operations in participating African nations. Bergmans is committed to financing the entire $3.1 billion project and deploying both digital and physical customs infrastructure.

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The agreement marks the beginning of a long-term investment that would reshape customs operations across participating African countries.