The Mauritian strategy to leverage opportunities in the African Continental Free Trade Area (AfCFTA)

Abstract

Trade has been a centrepiece of the economic success of Mauritius, focusing predominantly on an export-led growth strategy. This success was based on effectively taking advantage of the country’s preferential access to developed markets, particularly the EU, in sugar, and textile, clothing and apparel sectors, combined with a tariff-free policy on inputs, tax incentives, and relaxed labour regulations for the export-oriented sector located in its industrial zones. Additionally, trade in services has become a key driver of Mauritius’ external trade in recent years. The country is a net exporter of services, with a positive balance of trade at USD 820 million in 2019. This Strategy aims to realise the vision of transforming Mauritius “to become the ideal and undisputed platform for doing business across Africa and promoting reforms, trade and investment across the region.