Nigeria WT/TPR/S/247 
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II. TRADE POLICY REGIME:  FRAMEWORK AND OBJECTIVES 
(1) TRADE POLICY FORMULATION AND IMPLEMENTATION  
1. The Federal Ministry of Commerce and Industr y has the main responsibility for making and 
implementing trade policy.  Other ministries and ag encies also have primary or shared responsibility 
for trade in some products, such as the Ministry of  Energy, which is responsible for trade policy for 
hydrocarbons.  The Central Bank of Nigeria, the Mi nistry of Finance and the Ministry of Transport 
also have are role in trade policy development. 
2. The National Planning Commission (NPC) advi ses the Government on development and 
economic management.  The NPC was set up by Decree No. 12 in 1992, as amended by the National 
Planning Commission Act, 1993.  The Trade Po licy Advisory Council (TPAC) has overall 
responsibility for coordinating trade policy among the responsible ministries.  The TPAC is made up 
of representatives from the Federal Ministries of  Foreign Affairs, Commerce and Industry, 
Agriculture and Water Resources;  and Informa tion and Communications.  The Economic Policy Co-
ordination Committee monitors macro-economic deve lopments, including trade.  The EPCC is made 
up of senior officials from the Office of the Secretar y of the President, the Office of the Secretary to 
the Government of the Federation and the Minist ries of Finance, Commerce and Industry;  and 
Agriculture and Water Resources.  In 1995, the Ministry of Commerce and Industry established a 
National Focal Point to coordinate the implem entation of the commitments resulting from the 
conclusion of the Uruguay Round.  The focal point was renamed the Enhanced National Focal Point 
in 2001, and includes representatives from the private sector, civil society, and academia. 
3. Input to trade policy making is also provided by government agencies, including:  Nigeria 
Customs Service, Nigeria Ports Authority, Nigeria Export Promotion Council, Nigeria Export and Import Bank, Nigerian Export Processing Zone Authority, Nigeria Investment Promotion Commission, Nigeria Tourism Development Corpora tion, Bureau of Public Enterprises, Nigerian 
National Petroleum Corporation, National Agency  for Food and Drug Administration and Control, 
and the Standard Organization of Nigeria.   
4. The organised private sector (OPS) is invol ved in policy making through representative 
organizations that participate in the National Fo cal Point and other official bodies, including the 
Nigerian Export Promotion Council (NEPC), Nige rian Export-Import Bank (NEXIM), Nigeria Export 
Processing Zones Authority (NEPZA), States' Export Promotion Committees, Nigeria Committee on Trade Procedures (NITPRO), and the Presidential Committee on Export-oriented companies.  The 
main organizations representing the private sector are: 
 - the Manufacturers Association of Nigeria, which represents nearly 2,000 enterprises 
in both the public and private sectors
1; 
- the National Association of Chambers of Commerce, Industry, Mines and Agriculture 
(NACCIMA), which is the umbrella organi zation for the city, state, and bilateral 
chambers of commerce in Nigeria.  The Association runs a Trade and Investment 
Promotion Centre to facilitate investment in Nigeria2; 
                                                      
1 Viewed at:  http://www.manufacturersnigeria.org/about.htm. 
2 Viewed at:  http://www.naccima.com/. WT/TPR/S/247 Trade Policy Review 
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- the Association of Nigerian Exporters (ANE ), membership of which is mandatory for 
all exporters3;  and 
- several other organizations, such as the Nigerian Association of Small-Scale 
Industrialists (NASSI), banking institu tions, organized labour, and professional 
institutions. 
5. Some development partners have noted that step s are also being taken to include stakeholders 
in the development of legislation:  the preparati on of the draft Nigeria Customs Service Act included 
consultations with the private sector (Table II.1) .  However, as noted in the previous Trade Policy 
Review Report, few organizations represent consumers or rural dwellers.  Furthermore, some official 
agencies could improve their consultative processes,  improve access to information, and enhance 
trade policy development capacity.4 
Table II.1 
Selected trade and trade-relat ed legislation, December 2010 
Area  Title of law/regulation 
Customs Customs and Excise Management Act, Cap 45, LFN, 2004  
 Customs and Excise Management (Amendment) Act, No. 20, 2003  
 Customs and Excise Management Act, Cap 84, 1959  
 Customs and Excise (Special Panel an d other Provisions) Cap 45, LFN, 2004  
 Customs and Excise Agents (Licensing) Regula tions 1968 (Legal Notice 95/1968) as amended  
 Decree No. 45, 1992 as amended by Decree No. 77, 1993  
Contingency measures Customs Duties (Dumped and Subsidized Goods) Act, Cap 87, 1958  
Import prohibitions Endangered Species (Control of International Trade and Traffic) Act, Cap 108, LFN, 1990  
Export promotion and assistance Export Incentives (Miscellaneous Provisions) Act, Cap 118, LFN, 1990  
 Nigerian Export Credit Guarantee and Insurance Corporation Act, Cap 305, LFN, 1990 
 Nigerian Export Promotion Council Act, Cap 306, LFN, 1990 as amended by Act No. 64 of 
1992 
 Nigeria Export-Import Bank Act No. 38, 1991 
 Nigeria Export Processing Zones Act No. 63, 1992 
 Export of Nigerian Produce Act, Cap 119, LFN, 1990 
 Export Produce (Federal Powers) Act, Cap 120, LFN, 1990 
 Oil and Gas Export Free Zone Act No. 8, 1996 
Export prohibition Export (Prohibition) Ac t, cap 121, LFN, 1990  
Intellectual property Trade Marks Act, Cap 436, LFN, 1990  
 Industrial Inspectorate Act, Cap 180 LFN, 1990 
 Patents and Designs Act, Cap 344, LFN 1990  
 Copyright Act, Cap 68, LFN, 1990 as amended by the Copyright (Amendment) Decree No. 98, 
1992 and the Copyright (Amendment) Decree No. 42 of 1999 
 National Office of Industrial Property Act, Ca p 268, LFN, 1990, as amended by Act No. 82, 
1992 
Standards and technical regulations Standards Organization of Nigeria Act, Cap 412, 1990, as amended by Act No. 18, 1990  
Price controls Productivity, Prices and Income Board Act, Cap 372, LFN, 1990  
 Petroleum Act, Cap 350, LFN, 1990 
Table II.1 (cont'd) 
                                                      
3 Viewed at:  http://www.associationofnigerianexporters.org/. 
4 WTO document WT/TPR/S/147, 13 April 2005. Nigeria WT/TPR/S/247 
 Page 15 
 
 
Area  Title of law/regulation 
Taxation Petroleum Profits Tax Act, Cap P13, LFN 2004 
 Personal income Tax Act, Cap P8, LFN 2004 
 Companies Income Tax Act, Cap C21, LFN 2004, amended in 2007 
 Value Added Tax Act, Ca p VI, LFN 2004 amended in 2007 
 Industrial Development (Income Ta x Relief) Act, Cap 17, LFN 2004 
 Stamp Duties Act, Cap s8, LFN 2004 
 Capital Gains Tax Act, Cap C1, LFN 2004 
 Taxes and Levies (Approved list for collection) Act, Cap T2, LFN 2004 
 Education Tax Act, Cap E4, LFN 2004 
Business and investment Companies and Allied Matters Act No. 1, 1990  
 Labour Act, Cap 198, LFN, 1990 
 Bankruptcy Act, Cap 30, LFN, 1990, as amended by Act No. 109, 1992 
 Industrial Promotion Act, Cap 181, LFN, 1990 
 Investment and Securities Act No. 45, 1999 
 Investments and Securities Decree No. 34, 1999 
 Nigerian Investment Promotion Commission Ac t No. 16, 1995 as amended by Act No. 32, 1998 
 Public Enterprises (Privatization and Commercialization) Act, No. 28, 1990 
Others Trade Disputes Act, Cap 432, LFN, 1990  
 Trade Disputes Essential Services Act, Cap 433, LFN, 1990 
 Foreign Exchange (Monitoring and Mis cellaneous Provisions) Act No. 17, 1995 
 Money Laundering (Prohib ition) Act, No. 7, 2003 
 National Shipping Policy Act, Cap 279, LFN, 1990 
 Nigerian Shippers' Council (Freight Stabiliza tion Fees on Imports and Exports) Regulations 
 Nigeria Shippers' Council (Local Shipping Charge s on Imports and Exports) Regulations, S.I. 7, 
1997 
 Coastal and Inland Shipping (Cabotage) Act, No. 5, 2003  
 External Trade Letters of Credit (Control) Act, Cap 124, LFN, 1990 
 Consumer Protection Act, No. 66, 1992 
 Trade Malpractices (Miscellaneous Offences) Act No. 67, 1992 
Source: Nigerian authorities;  an d various online sources. 
(2) TRADE POLICY OBJECTIVES  
6. Nigeria's plans for economic and social deve lopment are set out in Vision 20:2020, which 
followed the National Economic Empowerment a nd Development Strategy (NEEDS) medium-term 
plan that covered the period 2003-07 (Chapter V) .  Vision 20:2020 sets out the overall objective of 
making Nigeria one of the top 20 economies in the world by 2020, reducing poverty, improving wealth distribution, and a number of other social and economic development objectives.  According to 
Vision 20:2020, the objective of becoming a top 20 economy requires industrialization based on 
agriculture, non-oil minerals, and manufacturing, and diversification away from oil dependence.  As 
noted in Chapter I, achieving these goals would requi re economic growth to average more than 14% 
per year in the 2011 to 2020 period but, just mainta ining current growth rates requires a broad range 
of economic, structural, administrative, legal, an d institutional reforms along with investment in 
infrastructure.  With only nine years left to 2020 , these reforms and investments would have to take 
place very soon.
5 
7. The economic policies outlined in Vision 20: 2020 would continue the course of action 
pursued over the past ten years by continuing to lib eralize trade and industry with growth driven by 
                                                      
5 For the full text of Vision 20:2020, see the National Planning Commission online information.  
Viewed at:  http://www.npc.gov.ng/home/ doc.aspx?mCatID=68253 [January 2011]. WT/TPR/S/247 Trade Policy Review 
Page 16 
 
 
the private sector.  According to the document, market  protection is not proscribed but is to be used 
only for limited periods and for selected industries.  The plan states that Nigeri a is to continue trade-
enhancing reforms and to stimulate value-added ex ports in order to diversify away from crude oil 
exports and to higher value-adde d processed and manufactured goods. 
8. In order to support the development of the ma nufacturing and processing sectors, a number of 
major reforms for primary production have been put fo rward.  Many are intended to improve the legal 
framework and the institutional support fo r the different sectors.  For example: 
- agriculture:  Vision 20:2020 states that the Land Use Act, 1978 is to be amended to 
improve conditions of tenure and allow the development of larger scale farming.  
Improved tenure would also en able farmers to obtain better access to credit as their 
land could provide collateral for loans.  It  also states that fertilizer production and 
distribution would be fully deregulated a nd that the State would improve irrigation 
and extension services to farmers. 
- minerals and metals:  Vision 20:2020 fo resees a big increase in production, with 
initial Government investment in steel pr oduction before privatization.  It also 
provides for support to the sector through a geological survey of the entire country 
and improvements in funding for supporting agencies such as the School of Mines, the Council of Mining Engineers and Geoscientists, and the National Metallurgical Development Centre.  
- oil and gas:  the objective is to increase production and reserves while improving 
value added through refining of crude oil.   While stating that fiscal incentives for 
exploration are to be improved, Vision 20:20 20 also says that local content should be 
increased and the Petroleum I ndustry Bill passed into law. 
9. The main engine for growth and the focus on increasing exports is in the manufacturing and 
processing sectors.  The plan envisages the creation of  different types of industrial zones focussed on 
manufacturing, from six large industrial parks each located in a different region of the country, to 
smaller industrial clusters operated with state and local government support, enterprise zones to 
encourage the informal sector to integrate with th e formal economy, and incubators to provide for the 
establishment of new enterprises.  Businesses est ablishing in these zones would benefit from the 
infrastructure provided and fiscal incentives such as exemptions from import duties or VAT on inputs 
and low interest rates on loans. 
10. To encourage exports, Vision 20:2020 proposes st rengthening the capitalization of financial 
institutions like the Bank of Industry, the Nigerian  Export Import Bank, and the Nigerian Agricultural 
Cooperative and Rural Development Bank.  Border ad ministration is also to be improved with new 
legislation on customs procedures, and the privati zation of the ports has already helped reduce the 
time needed to import and exports goods.  Simplifyi ng the tariff book, with the implementation of the 
ECOWAS common external tariff, and removing pr oducts from the list of prohibited goods, would 
also help to improve trading conditions (Chapter III). 
(3) I
NVESTMENT REGIME  
11. Nigeria's policies for economic growth put st rong emphasis on foreign direct investment, 
particularly for infrastructure and large-scale industrial projects.  The authorities recognize that improving the climate for investment requires both creating a legal framework that encourages it and 
removing institutional and practical barriers, in cluding tackling corruption, social and economic 
instability, and applying the rule of law.  During the 1990s, significant steps were made to improve Nigeria WT/TPR/S/247 
 Page 17 
 
 
the legal framework through the Foreign Exchange  (Monitoring and Miscellaneous Provisions) Act, 
1995, which created an autonomous foreign exchange market and removed barrie rs to the repatriation 
of foreign currency, and the Nigerian Investme nt Promotion Commission (NIPC) Act, 1995, which 
established the NIPC.  The NIPC is a federal agency created to provide supporting services to setting 
up a business in Nigeria and to assist investment in Nigeria by existing and new businesses 
(Table II.2).6   
Table II.2 
Taxes and investment incentives 
Sector Description 
All sectors Taxes:  
(i) 30% companies income tax in all sectors, except comp anies in the preferred sectors (agriculture, mining 
of solid minerals, and wholly export) where it is  20% for the first 5 years, and petroleum;   
(ii) tax holiday on companies investing in pioneer industries for 3 years, renewable for an additional 2 years;   
(iii) tax relief current spending on research and deve lopment is restricted to 10% of total profit; 
(iv) rural Investment Allowance for companies located more  than 20 km from infrastructure provided by the 
Government in the year in which the investment occurred at: 
a. 100% of the cost of infrastructu re where no facilities are provided, 
b. 50% of the cost of infrastructure where no electricity is provided, 
c. 30% of the cost of infrastructure where no water is provided,  and 
d. 5% of the cost of infrastructure where no tarred road is provided;  
(v) capital allowances from 10% to 95% depending on expenditure. 
 Investment incentives: 
 (i)  unconditional transferability of funds  through an authorized dealer in  freely convertible currency; 
(ii) no enterprise shall be nationalized or expropriate d by any government of the federation, unless the 
acquisition is in the national interest or for public purpose, in which case there are legal procedures to 
follow; 
(iii) any company incorporated in Nige ria is allowed to have access to land rights for the purpose of its 
activity in any state in the country. 
Industrial sector (i)  companies with Pioneer Status are entitled to a tax holid ay for 3 years, which may be extended by a further 
2 years;   
(ii) manufacturing companies with turnover of less than N 1 million are taxed at 20% for the first 5 years of 
operation. 
Oil and gas  (i)  tax rate under the Petroleum Profit Tax (PPT) Act: 
a. 85% for mature sole risk or joint-venture partners, marginal field operators, and service contracts that 
have fully recovered their capital investment, 
b. 65% for newer sole risk or joint-venture partners, marginal field operators, and service contracts that 
have not fully recovered their capital investment, 
c. 50% for profit sharing contracts, 
d. 30% for gas production, tran smission and distribution; 
(ii) capital allowance at the rate of 20% per a nnum in the first 4 years, 19% in the 5th year and the remaining 
1% in the books;   
(iii) investment tax credit at 50% fo r production sharing contracts; 
(iv) petroleum investment allowance at varying rate s from 5% to 20% depending on water depth;   
(v) repatriation of profits;   
(vi) no foreign exchange regulation;   
(vii) dividend derived from manufacturing companies in pe tro-chemical and liquefied natural gas subsector 
exempt from tax. 
Agriculture (i)  100% capital allowances;   
(ii) capital allowances on agri-allied plant and equipment are 95% with 5% retained. 
Solid minerals (i)  three to five-year tax holiday;   
(ii) possible capitalization of expenditure  on exploration and surveys;   
(iii) provision of 100% foreign ownership of mining companies or concerns; 
(iv) capital allowance. 
Table II.2 (cont'd) 
                                                      
6 WTO (2005). WT/TPR/S/247 Trade Policy Review 
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Sector Description 
Tourism (i)  tax holidays;   
(ii) longer moratorium and import duty exemp tion on tourism-related equipment;   
(iii) tax exemption on 25% of incomes de rived from tourists by hotels. 
Telecommunications (i)  pioneer status. 
Gas exploitation (i)  investment needed to separate oil from gas to be  considered part of oil field development cost;  
(ii) capital investments to deliver gas to point-of-use or poi nt-of-transfer to be treated as capital investment 
for oil development. 
Gas utilization (i)  tax-free period of 3 years; or an addi tional investment allowance of 35%;  
(ii) accelerated capital allowances after the tax free pe riod of 95% with 5% retained on the books;  
(iii) 15% investment capital allowance;  
(iv) gas development projects taxed under the CITA (not the PPT);  
(v) 0% royalty. 
Exporting (i)  company profits in respect of goods exported are exempt  from tax provided: the pr oceeds are repatriated to 
Nigeria and used exclusively for the purchase of raw ma terials, plant, equipment, and spare parts; and the 
company is established in an export processing zone; 
(ii) profits of companies whose supplies are exclusively input to the manufacture of products for export are 
excluded from tax;   
(iii) investment tax credits at 15% where a company replaces obsolete plant and machinery or 25% for 
companies engaged in fabrication of spare parts for export and local consumption;   
(iv) retention of export proceeds in a foreign currency in  a domiciliary account with a Nigerian bank;   
(v) export development fund to cover expe nses on export promotion activities;   
(vi) export adjustment fund to compensate exporters for high cost of local production, arising mainly from 
infrastructural deficiencies;   
(vii) unrestricted remittance of profits and dividends;  and  
(viii) zero-rated VAT. 
Source:   Nigerian authorities. 
12. In March 2006, the President opened the One Stop Investment Centre (OSIC) in the NIPC.  
The OSIC brings together the agencies responsible for the processes, procedures, and requirements for 
business entry permits, licences, and authorizations.  The Centre aims to reduce the cost of a business 
entering and establishing in Nigeria by simplif ying procedures and speeding up the processing of 
application forms.7   
13. There are no barriers to foreign entities estab lishing a business or investing in Nigeria.  
However, the process is complicated, requiring th e local incorporation of public and private 
companies through the Corporate Affairs Commission, and fees of N 10,000 per N 1 million of 
authorized share capital for a private company or N 20,000 per N 1 million for a public company plus 
N15,000 per N 1 million in stamp duties.  Foreign companies setting up in Nigeria must register with 
the NIPC and must have minimum share capital of N 10 million.  Oil companies, mining companies, 
and telecommunications companies must obtain licences from the relevant ministries and banks must 
obtain a licence from the Central Bank of Nigeria. 
14. Foreign acquisitions of Nigerian businesses are regulated by the Investments and Securities 
Act, 1999, which requires authorization from the Securities and Exchange Commission before a Nigerian businesses can be taken over, while cor porate mergers must be approved by the Federal 
High Court. 
                                                     
 
7 OSIC online information.  Viewed at:  http://www.nipc.gov.ng/onestop.html. Nigeria WT/TPR/S/247 
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15. Nigeria has bilateral investment treaties with E gypt, Finland, France, Germany, Italy, Korea, 
the Netherlands, Romania, South Africa, Spain,  Switzerland, Turkey, and the United Kingdom.  
Negotiations are currently on-going with Belgium,  the Russian Federation, and the United States.8 
16. Nigeria has comprehensive double taxation agreements with Belgium (effective 1991), 
Canada (2000), China (2010), France (1992), the Netherlands (1993), Pakistan (1991), Romania 
(1994), South Africa (2009), and the United Kingdom  (1989).  These treaties apply to personal 
income, corporate income, capital gains, and petr oleum profits.  Treaties with the Czech Republic, 
Norway, the Philippines, Poland, the Slovak Republic , Korea, and Sweden are at various stages of 
finalization and ratification.9  Nigeria is also negotiating agreements with Denmark, the Gambia, 
Germany, New Zealand, Sierra Leone, and Switzerland.10 
17. Doing business in Nigeria is not  easy and the country ranks 137th out of 183 economies, 
particularly for dealing with construction permits  and registering property.  The ranking for paying 
taxes (134), trading across borders (146), dealing with construction permits (167), and registering 
property (179) were particularly low.  The ma in problems seem to be the time needed for each 
activity:  938 hours are needed to prepare and pay taxes, 39 days to import an average container, 
82 days to register a property, and 350 da ys to deal with a construction permit.11  In some areas, the 
ease of doing business in Nigeria has improved, for example the time needed to register property has fallen from 274 days in 2005 to 82 days in 2010, but it is clear that much more needs to be done.  
18. Nigeria continues to be perceived as highly corrupt.
12  Several steps have been taken to 
address this image, including through legislative m easures in the Corrupt Practices and other Related 
Offences Act, No. 5, 2000, a nd institutional reform in the Co rrupt Practices and Other Related 
Offences Commission.  In addition, other govern ments have pursued cases where individuals and 
enterprises resident in their countries have b een involved in corrupt practices in Nigeria.13  However, 
despite progress, the perception continues that Nigeria remains corrupt;  it ranks 134th out of 
178 countries.  
(4) TRADE AGREEMENTS  
(i) World Trade Organization 
19. Nigeria is an original member of the WTO having ratified the WTO Agreement on 
6 December 1994.14  Under the Constitution of the Federal Re public of Nigeria, a treaty between the 
Federation and another country or group of countries has the force of law only to the extent to which 
it has been enacted into law by the National Assembly.15  The Marrakech Agreement Establishing the 
WTO has not been incorporated into  Nigerian law and, therefore, traders and investors are unable to 
invoke WTO provisions in domestic courts.   
                                                      
8 TradeInvest Nigeria online information.  Viewed  at:  http://www.tradeinvestnigeria.com/incentives/ 
983065.htm;  and UNCTAD Investment Instruments Onlin e.  Viewed at:  http://www.unc tadxi.org/templates/ 
docsearch.aspx?id=779 [January 2011]. 
9 Nigerian authorities. 
10 EIU (2010a). 
11 World Bank (2010). 
12 Transparency International (2004). 
13 See, for example, Covington JP, Tillipman J, (2007). 
14 GATT document Let/1957, 7 December 1994. 
15 Article 12. WT/TPR/S/247 Trade Policy Review 
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20. Nigeria has not signed the Agreement on Trade in Ci vil Aircraft although it is an observer.  It 
has not signed and is not an observer to the Agreem ent on Government Procurement.  It has not been 
involved in any dispute, as complainant, respondent or third party, in the WTO.  Nigeria has made a number of notifications to the WTO (Table II.3) but a large number remain outstanding (Table II.4). 
21. Nigeria has been active in the negotiations unde r the Doha Development Agenda where it is a 
member of several different nego tiating groups.  It is a member of the African Group, the ACP Group, 
and the G-90 Group.  In the agriculture negotiations it is in the G-20 and the G-33 groups of developing countries.  In the NAMA negotiations it is one of the group of countries to which 
Paragraph 6 of the first draft of modalities refers.
16  That is, less than 35% of its non-agricultural 
tariff-lines are bound tariffs.  In the TRIPS nego tiations it is one of the proponents of the 
W52 proposal, that is, it sponsored a proposal on ge ographical indications and disclosure of genetic 
resources and traditional knowledge  in patent applications.17   
Table II.3 
Selected notifications to the WTO, March 2005 to January 2011 
WTO Agreement Description of 
requirement Most recent 
notification Date Period covered by 
notification 
Agreement on Agriculture     
Article 10 and 18.2  Export subsidy  G/AG/N/NGA/11 22/07/2010 2009 
  G/AG/N/NGA/10 17/07/2010 2008 
  G/AG/N/NGA/8 28/10/2008 2007 
  G/AG/N/NGA/6 11/04/2008 2006 
  G/AG/N/NGA/4 25/10/2006 1998-2005 
Article 18.2  Domestic s upport G/AG/N/NGA/12 22/07/2010 2009 
  G/AG/N/NGA/9 16/07/2009 2008 
  G/AG/N/NGA/7 28/10/2008 2007 
  G/AG/N/NGA/5 11/04/2008 2006 
  G/AG/N/NGA/3 25/10/2006 1998-2005 
Agreement on Subsidies and Co untervailing Measures    
Article 25 Subsidies G/SCM//N/186/NGA 12/11/2009 2007-2008 
  G/SCM/N/155/NGA 19/04/2007 up to 2006 
Article 32.6 Laws and regulations G/ADP/N/1/NGA/1 11/05/2007 up to 2006 
Agreement on the Implementation of Article VI of the GATT 
1994 (Anti-Dumping Agreement)     
Article 18.5 Laws and regulations G/ADP/N/1/NGA/1 11/05/2007 up to 2006 
Agreement on the Implementation of Article VII of the 
GATT 1994 (Agreement on Customs Valuation)     
Article 22.2 Notification G/VAL /N/1/NGA/1 5/09/2008 one-off 
 Checklist of issues G/VAL/N/2/NGA/1 3/09/2008 one-off 
GATT 1994      
Article XVII:4(a) State trading 
enterprises G/STR/N/12/NGA 6/11/2008  
Agreement on Import Licensing      
Article 7.3  Questionnaire on 
import licensing 
procedures G/LIC/N/3/NGA/6 26/07/2010 2009 
  G/LIC/N/3/NGA/5 21/07/2009 2008 
  G/LIC/N/3/NGA/4 19/11/2008 2007 
  G/LIC/N/3/NGA/3 24/04/2007 2006 
Agreement on Technical Barriers to Trade    
Annex 3C Notification of 
acceptance G/TBT/CS/N/162 30/01/2006 one-off 
Source: WTO Secretariat. 
                                                      
16 Confusingly, paragraph 6 is now paragraph 8 of TN/MA/W/103/Rev.3 of 6 December 2008. 
17 WTO document TN/C/W/52 of 19 July 2008 and Add.1 (24 July 2008), Add.2 (25 July 2008), and 
Add.3 (29 July 2008). Nigeria WT/TPR/S/247 
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Table II.4 
Outstanding notifications to the WTO, January 2011 
WTO Agreement Description of requirement WTO Agreement Description of requirement 
Agreement on Agriculture  State Trading Enterprises  
Article 10 and 18.2  Export subsidy  Article XVII.4 of GATT State trading enterprises 
Article 18.2 Domestic support Services  
Import Licensing  Article III.3  New or changed laws  
Article 7.3 Questionnaire on procedures Article VI I.4 Recognition measures 
Rules of Origin    
Article 5.1 Rules of origin and other details   
Annex II, para. 4 Preferential rules of origin   
Source: WTO Secretariat. 
22. In the negotiations on agriculture, Nigeria is seeking improved market access, particularly 
into the markets of developed countries, al ong with reductions in domestic support and the 
elimination of export subsidies.  As part of the G-33 group of countries it is also seeking flexibility for 
its own commitments on market access.  In services,  Nigeria is looking for better market access, under 
mode 4, and has submitted an initial offer.18  In NAMA it is looking for reductions in tariff escalation 
and preserving flexibility while extending the covera ge of bound tariffs.  During the period under 
review, Nigeria has also submitted a proposal on cu stoms cooperation to the core group of developing 
countries, and, as a member of the group, has par ticipated in proposals on special and differential 
treatment, capacity building, and  technical assistance. 
(ii) Regional agreements  
(a) African Union and African Economic Community 
23. Nigeria is a founding member of the African Union, having signed the Abuja Treaty 
Establishing the AEC in June 1991, and is an orig inal signatory to the New Partnership for African 
Development (NEPAD). 
(b) ECOWAS 
24. Nigeria has been a member of the Economic Community of West African States (ECOWAS) 
since it was created by the Treaty of Lagos in May 1975 with the objective of promoting economic integration among its member countries.
19  The Treaty was revised in 1993 in order to accelerate 
economic integration and set as objectives the esta blishment of a common market and a single 
currency.  Nigeria is part of the West African Monetary Zone, which intends to introduce a common 
currency by 2015.20  The eventual goal for ECOWAS is to co mbine the future West African Monetary 
Zone common currency with the CFA franc. 
25. Under the ECOWAS Trade Liberalization Scheme, work on implementing a common 
external tariff started in 1990 and it was to have been established by the beginning of 2004.  However, 
Nigeria has not been able to adopt the existing four band CET with rates set at 0%, 5%, 10%, and 
20%, and a fifth band has been introduced at 35%.  The new CET covers about 80% of Nigeria's tariff 
lines although it continues to apply im port prohibitions on several products.21   
                                                      
18 WTO document TN/S/O/NGA of 3 September 2007. 
19 The other members of ECOWAS are Benin, Burkin a Faso, Cape Verde, the Gambia, Ghana, Guinea, 
Guinea-Bissau, Liberia, Mali, Senegal, Sierra Leone, and Togo. 
20 The members of the West African  Monetary Zone are the Gambia, Ghana, Guinea, Nigeria, and 
Sierre Leone. 
21 World Bank (2009b). WT/TPR/S/247 Trade Policy Review 
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26. Despite the steps taken to integrate trade in West Africa, Nigeria's exports remain 
concentrated in relatively few markets;  over half of its exports go to the EU and the United States.  
Exports to other African countries are increasing, but still represent only 7% of total exports by value, 
and most of this share goes to Algeria, Bots wana, and South Africa and not to other ECOWAS 
members. 
(iii) Non-reciprocal and asymmetric preferential arrangements 
27. A number of countries provide non-reciprocal pr eferential treatment for imports from Nigeria, 
including:  Belarus, Canada, the EU, Japan, New Zealand, the Russian Federation, Switzerland, and 
Turkey.  The United States also provides pref erential access under the African Growth and 
Opportunities Act.  Nigeria has been part of the Global System of Trade Preferences (GSTP) among 
developing countries since its inception in 1988. 
28. As part of ECOWAS, Nigeria is in negotiati ons with the EU on an Economic Partnership 
Agreement.  At the time of writing, Nigeria negotiations remain ongoing with several outstanding issues to be resolved.  Thus, at present the Cotonou Agreement between the EU and the ACP 
countries remains in force.  The Cotonou Agreement provides for unila teral preferences by the EU for 
most imports from Nigeria.