A Corridor of Opportunity: How UNDP’s Collaboration with Uganda Airlines and Nigerian Exporters Is Redefining Intra-African Trade

June 10, 2025

Delegates including Hon. Dr. Jumoke Oduwole Minister of Industry, Trade and Investment, Elsie Attafuah UNDP Nigeria Resident Representative, and Berna Mugema, UNDP Uganda Inclusive Growth and Innovation Lead, preside over the launch at Nnamdi Azikiwe International Airport in Abuja, Nigeria

On 25th May 2025, a new chapter in African economic integration was written on the tarmac of Nnamdi Azikiwe International Airport in Abuja, Nigeria. With the roar of jet engines and the hopeful cheers of entrepreneurs, Uganda Airlines and Nigerian exporters established a dedicated air cargo corridor linking the economic hubs of West Africa to the dynamic markets of Eastern and Southern Africa. But this is more than a logistics deal. It’s a bold leap toward realizing the vision of the African Continental Free Trade Area (AfCFTA): an ambition for an Africa that trades more with itself, creates more value from its resources, and delivers prosperity for its people.

That this pact was launched on Africa Day is no coincidence. Africa Day commemorates the founding of the Organization of African Unity (now the African Union) in 1963, a day that symbolizes unity, self-determination, and pan-African solidarity. Launching the corridor on this day sent a powerful message: Africa is not waiting for the world; it is building its own future.  As United Nations Development Programme (UNDP) Resident Representative Ms. Nwanne Vwede-Obahor noted “This is not just about logistics. It is about leadership; it is about forging bold pathways toward an Africa that trades more with itself and delivers prosperity for its people.”

This landmark initiative is the result of months of technical collaboration between Uganda Airlines, the Government of Uganda, Nigeria’s Federal Ministry of Industry, Trade and Investment (FMITI) and UNDP. The Nigeria–East/Southern Africa Air Cargo Corridor is more than a bilateral agreement. It is a bold blueprint for reimagining how trade flows across Africa. It exemplifies what is possible when governments, development partners, and the private sector come together with a shared vision to unlock Africa’s trade potential.

Why this Matters for Intra-African Trade

Africa trades more with the rest of the world than it does with itself. Intra-African trade accounts for less than 15 percent of the continent’s total trade, in stark contrast to 60 percent in Europe and 40 percent in North America. The reasons for this are complex ranging from inadequate infrastructure to limited logistics connectivity, high transportation costs, fragmented supply chains and regulatory bottlenecks. The newly inaugurated Nigeria–East/Southern Africa Air Cargo Corridor is a practical and timely response to these challenges, aiming to strengthen intra-African trade and economic resilience. As His Excellency Yoweri Kaguta Museveni, President of the Republic of Uganda emphasized at the recently concluded 8th African Leadership Forum held on the margins of the eleventh African Regional Forum on Sustainable Forum (ARFSD-11), “Integration must be operationalized through investments in transport corridors and the ratification of pending AfCFTA protocols.”

This corridor brings the AfCFTA to life in a palpable yet impactful way, connecting key African markets in Nigeria, Uganda, South Sudan, Democratic Republic of Congo, Kenya, Tanzania, Zambia, Zimbabwe, and South Africa. Operating from Lagos and Abuja, the corridor funnels all cargo through Entebbe International Airport, where consolidated shipments benefit from optimized storage, customs clearance, and onward distribution. The corridor offers consolidated cargo services at significantly reduced freight rates of up to 50–75 percent lower than previous costs. These preferential rates are available to members of business associations, creating a reliable, cost-effective route for goods to move seamlessly across African borders.

The economic impact of this partnership extends far beyond the cargo hold. By opening new markets, the corridor stimulates local production, encourages investment, and creates jobs across the value chain, from farming and manufacturing to logistics and retail while strengthening regional supply networks. The corridor supports President Bola Tinubu’s agenda to diversify the Nigerian economy and promote non-oil exports. It empowers micro, small and medium-sized enterprises (MSMEs), particularly those led by women and youth, to scale their operations and compete across regional markets. In Uganda, increased cargo traffic through Entebbe is expected to boost employment in ground handling, warehousing, and customs services. For Uganda Airlines, the partnership strengthens its regional footprint and revenue base, contributing to its long-term sustainability.

Cargo is loaded onto the first flight through the air cargo corridor to East and Southern Africa

From Vision to Reality: The Human Impact

At the heart of this initiative are youth, women, entrepreneurs, artisans, farmers, and small business owners whose livelihoods depend on access to markets. The inaugural shipment included goods from five Nigerian MSMEs in cosmetics, agro-processing, and fashion. For these businesses, the corridor is not just a trade route; it’s a lifeline.

“This gives us a real chance to be visible in other African markets,” said one exporter.
“Being able to deliver faster, at half the cost, changes everything. We can now think bigger,” added another.

These voices reflect a broader truth: trade is not just about goods; it’s about people. It’s about the tailor in Lagos whose Ankara designs now reach boutiques in Nairobi, the shea butter cooperative in Kaduna supplying organic skincare brands in Kampala, and the cassava processor in Enugu whose flour is now on supermarket shelves in Johannesburg.

Behind this transformation is the catalytic role of UNDP. From facilitating early negotiations and aligning stakeholders to providing technical expertise, UNDP has been instrumental in turning a bold idea into a functioning trade corridor. This is part of UNDP’s broader commitment to supporting AfCFTA implementation; not just in policy, but on the ground strengthening trade infrastructure, enhancing regulatory frameworks, and unlocking opportunities for MSMEs.

in making this partnership a reality, UNDP facilitated negotiations, aligning stakeholders, and providing technical support. This is part of a broader strategy to support AfCFTA implementation by strengthening trade infrastructure, enhancing regulatory frameworks, and empowering MSMEs. Across the continent, UNDP is building bridges between businesses, governments, and logistics providers, fostering platforms for dialogue and collaboration. Through this work, UNDP is not only advancing economic integration, but also shaping a more cohesive, efficient, and people-centred intra-African market.

Looking Ahead: Scaling the Vision

As the first Uganda Airlines cargo flight departed Abuja for Entebbe, it carried more than goods. It carried hope, ambition, and the promise of a more connected continent. This is what intra-African trade looks like when it moves beyond policy commitments into practical, people-centred implementation. As Africa continues to deepen its integration, scaling initiatives like this to include more destinations, exporters, and products will ensure that no one is left behind. Because in the end, it’s not just about cargo. It’s about people and possibilities.

 

By Nicholas Burunde, UNDP Uganda