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Home Business & Economy

AfCFTA signs $3.1bn customs pact

AfCFTA signs a $3.1bn customs concession, but questions remain over repayment, participation and control of trade data

by Editorial Staff
2 days ago
in Business & Economy
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Freight trucks parked beside Niger’s Route Nationale 1 near the boundary between the Tillabéri and Dosso regions

Freight trucks parked along Niger’s Route Nationale 1. AfCFTA’s $3.1bn customs modernisation project aims to connect national systems and ease the movement of goods across African borders. Photo: NigerTZai/Wikimedia Commons, CC BY-SA 4.0

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Keypoints:

  • Bergmans will finance the $3.1bn project
  • National participation still requires clarification
  • Repayment and data safeguards remain undisclosed

AFRICA’S continental free-trade secretariat has signed a 20-year, $3.1bn concession with Nigerian customs technology company Bergmans Security Consultants and Supplies Limited to build a connected customs system intended to reduce border delays, revenue losses and fraud.

The agreement could supply part of the digital infrastructure needed to turn the African Continental Free Trade Area into a functioning market. Its success, however, will depend on national participation, compatible systems and fuller disclosure of its financing, procurement and data-governance terms.

Deal follows formal discussions

The agreement was signed in Abuja, according to Reuters and Nigerian reports from the ceremony. AfCFTA Secretary-General Wamkele Mene signed for the Secretariat, while Bergmans chairman Saleh Ahmadu represented the company.

The concession followed several weeks of formal discussions. In an official statement dated June 9, the AfCFTA Secretariat said Mene had met Bergmans to discuss a proposed partnership under the AfCFTA framework.

The Secretariat said the proposed Customs Modernisation Project would support continental digital customs solutions, harmonise border procedures and improve connections between national customs administrations.

That statement did not disclose the project’s eventual $3.1bn value, its 20-year duration or its commercial structure. Those terms were announced later at the Abuja ceremony and reported by Reuters and Nigerian media.

Customs technology faces continental test

Bergmans is expected to finance and deploy digital and physical customs infrastructure. Ahmadu said at the ceremony that the rollout would include non-intrusive inspection systems, integrated data centres and multilingual customs portals.

The platform is intended to help customs agencies exchange information, monitor consignments and identify inconsistencies in cargo declarations. Better data sharing could make it harder to divert goods, falsify values or exploit gaps between national systems.

The project would sit alongside wider efforts to create an interoperable African digital trade backbone. AfCFTA’s ADAPT digital trade initiative is designed to connect customs agencies, ports, financial institutions and other trade participants through shared infrastructure.

Africa Briefing has previously reported that inconsistent customs requirements and border charges continue to limit the value of AfCFTA tariff preferences. A connected platform could reduce those frictions, but only if countries integrate it with existing systems.

Trade expansion raises stakes

Intra-African trade increased by 12.4 percent to $220.3bn in 2024, according to Afreximbank’s African Trade Report 2025. The recovery followed a 5.9 percent contraction in 2023.

Customs modernisation could support further growth by shortening clearance times, improving revenue collection and making procedures more predictable. Traders gain little from lower tariffs when paperwork, inspections and inconsistent valuations continue to delay consignments.

Technology will not solve every barrier. African businesses still face fragmented cross-border payment systems, transport bottlenecks and costly trade corridors. Digital customs reforms must therefore be coordinated with payment connectivity, roads, ports and border infrastructure.

Repayment structure remains unclear

Bergmans has said it will finance the entire $3.1bn project, potentially limiting the immediate burden on participating governments.

Public reports do not explain how Bergmans or its project vehicle will recover that investment during the concession. The agreement has not been published, and no formula has been disclosed for transaction charges, government payments, revenue sharing or financial guarantees.

Those terms could directly affect traders if customs-processing or cargo fees are passed to importers and exporters.

The procurement process also requires clarification. The AfCFTA Secretariat’s June statement did not explain how Bergmans was chosen, whether competing bids were considered or which performance conditions would apply if targets were missed.

National consent and data control

The AfCFTA Secretariat reported in February 2026 that 50 countries had ratified the agreement, with 25 implementing it domestically at that point.

Ratification should not automatically be treated as approval of this customs concession. Customs administration, border security and revenue collection remain national responsibilities, and governments may need separate domestic authorisation before joining the platform.

Some Nigerian reports from the ceremony said 50 countries had joined or supported the project. The Secretariat has not published a country-by-country list confirming participation.

The system could process cargo manifests, declared values, importer records, risk profiles and government revenue data. Countries will therefore need guarantees covering ownership, storage, cybersecurity and access.

Governments must also know whether the platform will replace existing customs systems or connect with them. Countries with established infrastructure may resist wholesale replacement, while those with weaker systems may need substantial technical support.

Nigeria experience informs project

Mene said at the ceremony, according to Reuters, that Bergmans’ role in Nigeria’s customs modernisation programme influenced the Secretariat’s decision to work with the company.

Reuters reported that Mene linked the Nigerian reforms to a 90.4 percent increase in customs revenue. That remains an attributed claim rather than independently established proof that Bergmans alone caused the rise.

Customs receipts can also be affected by exchange rates, import values, tariff changes, enforcement and wider administrative reforms.

The concession could remove a major obstacle to regional trade if governments accept the system and implementation is transparent. Its credibility will depend on publication of the financing framework, procurement history, performance requirements and data safeguards.

Related stories

  • Kenya, Nigeria and Morocco pilot AfCFTA digital trade
  • AfCFTA tests Africa’s single market
  • AfCFTA struggles to turn vision into reality
Tags: AfCFTAAfrican tradeBergmans Securityborder technologycustoms modernisationintra-African trade
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Editorial Staff

Editorial Staff

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