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The Impact of the Economic Partnership Agreements between ECOWAS and the EU on Niger

Abstract

Amadou Ousmane

The aim of this study was to assess the economic impact on Niger of the trade component of the Economic Partnership Agreements (EPAs) between ECOWAS and the European Union. The study used a partial equilibrium WITS/SMART model. Several scenarios of trade liberalization were simulated, but the interpretation of the results focused on the most realistic scenario; that is the one concerned with trade liberalization of Group A, B and C products. In this scenario, imports from the EU would increase by US$ 22 million. For the whole of the EU, this represents a gain in its exports to Niger of about 16.58%. Conversely, the producers from the rest of the world will see their exports to Niger reduce by about US$ 2 million. Such a reduction would result from increased competition from EU products. Niger would also suffer a loss in customs revenues of close to US$ 24 million. Therefore, while liberalization of Group A, B and C products would record a slight increase in receipts, the same liberalization would lead to a relatively bigger loss in revenues.

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