Dispute Resolution Mechanism under the African Continental Free Trade Area Agreement

Abstract

The African Continental Free Trade Area Agreement (AfCFTA) has a detailed judicial-based dispute system styled after the World Trade Organization (WTO)’s trade dispute resolution method (DRM). The paper undertook an overview of the Agreement. It examined trade dispute mechanisms under it. It also identified and appraised the challenges of the dispute resolution method under the Agreement. A qualitative research approach was adopted, and AfCFTA’s dispute resolution method was compared with that of the WTO and similar regional bodies in Africa and elsewhere. The paper revealed that the DRM under AfCFTA is comprehensive and rules-based. The analysis of the AfCFTA’s Protocol on DRM was preliminary because the Treaty began operation in 2019. It was also found that the use of resolution techniques such as parties’ negotiations, good offices, mediation, conciliation, and arbitration could enhance DRM under AfCFTA. Its major challenge is that the DRM under AFCFTA is limited to State Parties and disputes.

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