A.

Historical background

First created in the early 1980s as the Preferential Trade Area (PTA) for Eastern and Southern Africa,
COMESA (Common Market for Eastern and Southern Africa) has a long history. With preferential
treatment and tariff concessions, the PTA was established in 1981 with its main goal of increasing trade
among the nations that are its members. The PTA's first goal was to lower trade barriers inside the region
and only included a small number of nations.

As the PTA grew in size and range of activities a more open regional economic community became
possible. After the signing of the Treaty Creating the Common Market for Eastern and Southern Africa in
Kampala, Uganda, in December 1994, the PTA became COMESA. This change represents a major step in
the member nations' larger economic cooperation and integration.

The goal of creating stronger foundations for regional integration and economic growth in Eastern and
Southern Africa led to the formation of COMESA. By choosing larger objectives like the creation of a
customs union and a common market, the new group tried to build on the results of the PTA. The
founding treaty of COMESA set up goals for increasing industrial growth, economic cooperation, and
increasing the general standard of living of the people in the region.

Since its establishment, COMESA has been important in creating the economic environment of Eastern
and Southern Africa. It supported efforts to improve regional connectivity and infrastructure, supported
investment, and supported trade liberalization. The region's aim to supporting stronger economic
connections and using group abilities in support of sustainable development is seen in COMESA's
historical evolution.

COMESA's historical history is still important for understanding the organization's goals, difficulties, and
successes in creating economic cooperation and integration between its member states, even when it
continues to change.

B. Member states

There are twenty-one member states that together make up COMESA, or the Common Market for
Eastern and Southern Africa. In the structures of COMESA, the member nations work together to
improve trade opening, economic cooperation, and regional integration. An outline of the COMESA
member states is shown below:

1. Burundi: Burundi joined COMESA in 1994.

2. Comoros: became a member of COMESA in 1997.

3. Democratic Republic of Congo (DRC): DRC, joined COMESA in 1997.

4. Djibouti: has been a member of COMESA since 1994.

5. Egypt: joined COMESA in 1998.

6. Eritrea: Eritrea became a member of COMESA in 1994.

7. Eswatini (formerly Swaziland): has been a member of COMESA since 1994.

8. Ethiopia: joined COMESA in 1994.

9. Kenya: has been a member of COMESA since 1994.

10. Libya: Libya became a member of COMESA in 1994.

11. Madagascar: joined COMESA in 1994.

12. Malawi: Malawi has been a member of COMESA since 1994.

13. Mauritius: joined COMESA in 1994.

14. Rwanda: Rwanda became a member of COMESA in 1996.

15. Seychelles: joined COMESA in 1997.

16. Sudan: Sudan has been a member of COMESA since 1997.

17. Somalia: Somalia became a member of COMESA in 1996.

18. Tanzania: has been a member of COMESA since 1994.

19. Uganda: Uganda joined COMESA in 1994.

20. Zambia: Zambia has been a member of COMESA since 1994.

21. Zimbabwe: Zimbabwe joined COMESA in 1994.

C. Achievements

Since its founding in 1994, COMESA (Common Market for Eastern and Southern Africa) has grown
considerably, promoting growth in the economy, trade opening, and regional integration between its
member states. Among the major accomplishments of COMESA are:

 Trade Facilitation and Customs Cooperation: To lower trade barriers and simplify process for
customs between member states, COMESA has placed trade facilitation programs into place. By
the removal of small-scale traders from some customs processes and taxes, the COMESA
Simplified Trade Regime (STR) allows smoother cross-border trade and supports the inclusion of
the informal sector into the formal economy.

 Establishment of a Free Trade Area (FTA): COMESA runs an FTA, supporting intra-COMESA trade
and economic cooperation between member nations by lowering or removing tariffs on
products produced inside the area. Trade volumes between member nations have clearly
increased as a result of the FTA, supporting many kinds of economies and growth.

 Infrastructure Development: Infrastructure development, including projects for energy,

telecommunications, and transportation networks, has been given priority by COMESA. For the
purpose to increase trade between countries, draw in investment, and promote economic
development, the organization is working to strengthen infrastructure connectivity in the region.
  Harmonization of Trade Policies and Regulations: In order to improve the business
environment, COMESA has made it easier for member states to integrate their trade laws,
standards, and regulations. It initiatives have lowered company regulations costs, improved
trade processes, and increased cross-border regulation clarity.

 Promotion of Investment and Industrial Development: By using focused policies, programs to

improve ability, and programs to attract investment, COMESA supports industrial development
and investment between its members. The group works to increase local resource use, bring in
international investment, and promote economic growth and job development.

 Regional Integration Initiatives: Plans for regional integration are organized by COMESA in a
number of industries, including banking, services, industry, and agriculture. These programs try
to create a more connected economy where goods, services, and capital can move more easily
across borders, yet there is still work to be done to a full customs union and single market.

 Policy Advocacy and Capacity Building: COMESA works to help member nations in succeeding in
regional integration programs by supporting policies and developing potential. The organization
offers opportunities for information exchange, training, and technical support to strengthen
structures and support sustainable development.

 Institutional Development and Governance: To regulate the success of its agreements and
programs, COMESA has built strong institutional frameworks, such as the COMESA Secretariat,
specialized agencies, and the COMESA Court of Justice. Robust frameworks for governance
guarantee responsibility, openness, and efficiency in accomplishing the goals of COMESA.

These successes show how committed COMESA is to increasing trade opening, sustainable development,
and economic cooperation in Eastern and Southern Africa. COMESA makes an important contribution to
a more productive and stronger region with equal development by promoting greater integration and
cooperation among its member states.

D. Challenges

The Common Market for Eastern and Southern Africa, or COMESA, has made major achievements
toward promoting economic cooperation and regional integration, but it also faces a number of
obstacles that affect its goals and the execution of important projects. Several of the principal obstacles
consist of:

 Economic Disparities Among Member States: Major economic differences may be seen
between COMESA member states in terms of industrialization, infrastructure development, and
income levels. These economic differences make it difficult to organize trade policies, promote
balanced development, and guarantee that the advantages of regional integration can be shared
fairly.

 Trade Barriers and Non-Tariff Measures: Intra-COMESA trade and integration are made difficult
by non-tariff trade challenges and permanent trade barriers. Problems including long customs
processes, red tape, and poor infrastructure at border crossings make it difficult for goods and
services to move freely around the region.
  Infrastructure Deficits: Within COMESA, limited energy, transportation, and telecommunications
infrastructure restricts connection and trade development. A lack of infrastructure limits
economic growth and development among member states, increases transportation costs, and
lowers competitiveness.

 Capacity Constraints and Institutional Coordination: Resource issues prevent many COMESA
member nations from performing trade agreements, unified policies, and doing regional
integration projects. The successful accomplishment of COMESA's goals and efforts is
complicated by poor institutional coordination and governance frameworks at the national and
regional levels.

 Political Instability and Security Challenges: Moves at regional cooperation and integration are
limited by political instability, conflicts, and security issues in some member states. Uncertainty
and instability prevent trade, restrict investment, and make it more difficult to create a situation
that is good to business in the area.

 Diverse Regulatory Frameworks: Bringing together trade policies and regulations is made more
difficult by the differences in standards, legal systems, and regulatory frameworks across the
member nations. For integration initiatives to be successful in removing regulatory barriers and
supporting smooth integration, major communication, technical expertise, and political
willingness are necessary.

 Limited Private Sector Engagement: Increasing the level of private sector involvement is
important for fulfilling the complete potential of COMESA's agenda for economic integration.
The private sector's limited participation currently hinders efforts that improve investment,
trade, and industrial development.

 External Trade and Global Market Dynamics: The changing nature of international trade and
changes in the world economy give challenges for COMESA in its effort to improve export
competitiveness and development. Member states' chances for economic growth and stability
have been affected by their sensitivity to outside factors including changes in the price of
products and declines in the world economy.

In order to get past these challenges, COMESA member states, regional organizations, development
partners, and other actors must work together to improve infrastructure development, improve
governance frameworks, advance policy unity, and promote fair economic development. Reaching
sustainable development goals in Eastern and Southern Africa and achieving the full potential of regional
integration depends on overcoming these challenges.

E. Opportunities for COMESA

The Common Market for Eastern and Southern Africa (COMESA) has many potentials that it can make
use of to further regional integration, economic growth, and trade development, even in all of its
difficulties. Among the principal opportunities are:

 Growing Regional Trade Potential: COMESA member nations, with their supporting economic
systems and close location, offer untapped opportunity for increasing regional trade. Great
potential is available for increasing intraregional trade flows, based on studies made by the
 Economic Commission for Africa (ECA). "A united population of nearly 500 million people can
benefit from new market opportunities, economic diversification, and the development of
regional value chains in industries like manufacturing and agriculture through the promotion of
trade integration within COMESA."

 Natural Resource Endowments and Agricultural Potential: Minerals, agricultural land, and
renewable energy sources are among the many natural resources that many COMESA nations
have in plenty. Industrialization, adding value by processing and manufacturing, and increased
regional competitiveness in the global market can all be achieved by using these resources
through sustainable development strategies.

 Infrastructure Development Initiatives: There are chances to improve regional relations and
lower trade costs by current infrastructure development programs, such as the COMESA Master
Plan on Infrastructure Development, which focus on energy projects, digital connectivity, and
transportation networks. Improving infrastructure may help COMESA member states improve
commerce, bring in investment, and increase economic growth.

 Policy Harmonization and Regulatory Alignment: A more friendly business environment may
result from work that combines trade laws, standards, and policies across COMESA nations.
Coordinating regulatory frameworks improves regulatory unity, lowers trade obstacles, and
makes international investment and trade easier. This objective is actively pursued by COMESA
through programs like the COMESA Trade Facilitation Programme.

 Private Sector Engagement and Investment Promotion: Economic growth and job creation can
be increased by encouraging increased private sector involvement and investment in important
sectors including manufacturing, services, and infrastructure. In order to increase investment
opportunities and bring the private sector into regional development projects, COMESA's
Regional Investment Agency (RIA) is necessary.

 Digital Transformation and Innovation: In COMESA, trade and business processes can be
changed by supporting creativity and new technologies. Recognizing this potential, COMESA is
using digital platforms for e-commerce, digital payments, and information sharing through
projects like the COMESA Digital Trade Initiative. These initiatives can support inclusive growth in
the area, promote entrepreneurship, and improve market access for companies of all sizes.

 Regional Integration Initiatives: Opportunities for stronger regional integration and market
growth come from cooperation with other regional economic communities, such as the
Southern African Development Community (SADC) and the East African Community (EAC).
Tripartite agreements such as the Tripartite Free Trade Area (TFTA) facilitate investment, improve
trade flows, and unify trade regulations for a larger market comprising more than 1.2 billion
people.

 Green Economy and Climate Action: While solving challenges caused by climate change,
investments in green economy and sustainable development programs can promote inclusive
growth. In addition to supporting long-term economic sustainability, promoting
tourism, sustainable agriculture, and renewable energy sources gives chances for new green
companies and increases resistance to climate change.
By taking use of these chances, COMESA member states can speed up their achievement of shared
development objectives, promote balanced economic growth that benefits everyone who lives there,
and improve the general well-being of those who live in the area. To fully use COMESA's potential and
advance regional integration in Eastern and Southern Africa, partnerships, creative thinking, and
collaboration are important.

Resources

 https://www.comesa.int/wp-content/uploads/2020/09/Progress-and-Challenges-of-the-
COMESA-Monetary-Integration-Program.pdf
 https://www.comesa.int/wp-content/uploads/2021/02/key-issues-on-intergration-ii.pdf
 https://ustr.gov/countries-regions/africa/regional-economic-communities-rec/common-market-
eastern-and-southern-africa-comesa