Somali Cabinet approves rules of origin law to boost exports and regional trade

Friday August 7, 2026

Mogadishu (HOL) — Somali Cabinet has approved a draft Rules of Origin Law designed to strengthen the country’s trade framework, promote domestic production and help Somali businesses gain greater access to regional and continental markets.

The legislation was endorsed during the weekly Cabinet meeting on Tuesday as the government continues efforts to implement trade reforms following Somalia’s accession to the African Continental Free Trade Area (AfCFTA) and membership in the East African Community (EAC).

Trade and Industry Minister Jamaal Mohamed Hassan said the proposed law will establish the legal framework for issuing Certificates of Origin, allowing Somali exporters to qualify for preferential tariff treatment under regional and continental trade agreements.

“The law will enable Somali traders and manufacturers to obtain Certificates of Origin, allowing them to benefit from tax exemptions and preferential market access provided under trade agreements to which Somalia is a party, particularly the East African Community and the African Continental Free Trade Area,” Hassan said.

Under the proposed legislation, products that satisfy the rules of origin requirements including goods manufactured in Somalia will receive official certification confirming their country of origin, making it easier for businesses to export to regional and African markets.

The minister said the measure is expected to improve the competitiveness of Somali-made products, expand business opportunities for local companies and encourage greater participation in regional trade.

Hassan added that the government is also reviewing tax policies to give preference to locally manufactured goods as part of a broader strategy to stimulate domestic industries.

He said the reforms are intended to attract investment, create employment opportunities and reduce Somalia’s reliance on imported products.

The minister added that additional policies are being prepared to protect domestic production, strengthen the country’s industrial and agricultural base and expand Somalia’s export capacity across Africa.

The draft law comes as Somalia accelerates economic reforms aimed at integrating the country into regional and continental markets following its recent ratification of the African Continental Free Trade Area agreement. The Ministry underscored that the reforms are intended to diversify the economy, increase exports and improve the competitiveness of Somali businesses.