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Nigeria and UAE Forge Major Trade Pact: Tariffs Slashed on 13,000 Goods

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UAE

Nigeria has entered a new era of economic diplomacy after signing a historic Comprehensive Economic Partnership Agreement (CEPA) with the United Arab Emirates. The landmark deal, finalized in January 2026, aims to eliminate trade barriers and supercharge non-oil exports between the two nations.

Hon. Sam Onuigbo, a member of the North East Development Commission (NEDC) and former Chairman of the House Committee on Climate Change, described the pact as a “game changer” during an interview in Abuja. He noted that the agreement was a centerpiece of Nigeria’s engagement at the 2026 Abu Dhabi Sustainability Week.

Breaking Down the Tariff Cuts

The CEPA creates a reciprocal framework for duty-free trade, covering a massive catalog of products.

Exports from Nigeria to the UAE

The UAE has committed to removing tariffs on 7,315 Nigerian products.

  • Immediate Access: 2,805 products (38.3%)—including seafood, oilseeds, cereals, cotton, and pharmaceuticals—now enter the UAE duty-free.
  • Phase-out Period: Duties on machinery, vehicles, electrical equipment, and apparel will be removed over the next three to five years.

Imports from the UAE to Nigeria

Reciprocally, Nigeria is eliminating tariffs on 6,243 products imported from the Emirates.

  • Immediate Access: Approximately 63% (3,949 products) are now duty-free.
  • Phase-out Period: The remaining 37% will see tariffs removed over a five-year period.
  • Sensitive Protections: Nigeria has excluded 123 sensitive products (such as meat, dairy, and certain textiles) to protect domestic industries.

Opening the Door for Business and Energy

Beyond simple trade, the CEPA introduces flexible business arrangements. Verified Nigerian entrepreneurs can now establish a presence in the UAE and stay for up to 90 days annually to explore investment opportunities.

Hon. Onuigbo emphasized that these moves are essential for a nation of 250 million people currently struggling with energy gaps. He highlighted several legislative milestones intended to support this economic shift:

  • Electricity Act (2023): Signed by President Tinubu just eight days after taking office to solve industrial power shortages.
  • Carbon Market Framework: Unveiled in Abu Dhabi to attract green investment into Nigeria’s energy sector.

“Nigeria is ready for business,” Onuigbo remarked, praising President Bola Tinubu for repositioning the nation as a global investment haven.

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