520 |
|
|
|b The global increasing trend towards economic blocs induced many countries to engage in economic grouping. The Organization of Islamic Cooperation (OIC), the second largest international organization, has been keen to engage strongly in this field; so, it established the Trade Preferential System among the OIC Countries (TPS-OIC) as one of the important means of boosting economic and trade cooperation among its 57 member states, including 22 countries in sub-Saharan Africa. This study explored and analyzed the TPS-OIC system and its importance in promoting intra-OIC trade in general and sub-Saharan Africa in particular. The study seeks to determine the situation of African States in this system and the expected benefit of its engagement. The study began by defining the meaning of preferential trade agreements, clarifying the importance of enhancing intra-OIC trade. It also reviewed a historical background on the TPS-OIC, which is based on three agreements (the Framework Agreement on the TPS, The Protocol on Preferential Tariff Scheme for TPS-OIC (PRETAS), and Rules of Origin for the System of Trade Preferences among the OIC Member States). Then the study highlighted the importance and benefits of engaging the African countries in the TPS- OIC system. The study concluded that 18 countries from 22 sub-Saharan countries that are members of the Organization of Islamic Cooperation (OIC) have signed the Framework Agreements, while only 15 of the 22 countries signed PRETAS and the Rules of Origin. By comparing the volume of intra-trade before and after the signing of agreements, Sub-Saharan Africa members of the OIC recorded a remarkable growth in their regional trade between 2002 and 2017, rising from 7.2 billion dollars in 2002 before the establishment of the TPS-OIC to 17.8 billion in 2017, an increase of 146.3%. It can be said that in general, the establishment of the Islamic Trade Preferences System has had a positive impact on the volume of trade between these countries. In this context, the acceleration of the engagement of these countries in TPS-OIC System will encourage the establishment of free trade and export zones between these countries, on the one hand, and between them and the rest of the Islamic countries, on the other, which eventually reaches to approach a joint Islamic market, a role that must be shared by both the OIC and the Governments of African States. Therefore, the study recommends expanding the awareness programs aimed at African member states to urge other countries to sign the agreements. The study also pointed out that the role of the OIC should not be restricted to reducing customs barriers. Rather, an integrated approach must be adopted to develop the productive and competitive capacities necessary for trade and to attract investment in these African countries through an integrated development plan for these countries.
|