Export diversification as a promotion strategy for intra-ECOWAS trade expansion

Abstract

G. O. Odularu

This paper discusses how ECOWAS members could adopt export diversification strategies in fostering export-led economic growth. Since ECOWAS members are heavily dependent on commodity export and are therefore vulnerable to external shocks, export diversification is one of the strategies for trade expansion, stability in export earnings and increased per capita income. However, studies have revealed that export diversification has continued to pose a major challenge for ECOWAS members. Though export diversification is typically a slow process which needs to be sustained by an appropriate and coherent strategy, ECOWAS members have a lot to gain by implementing the strategy. The paper concludes that the traditional strategy of export promotion which focuses on the international marketing of final goods is no longer appropriate, but the adoption of different routes to diversification which could include resource-based manufacturing and processing of primary products.