By Dorothy Nakaweesi

To improve regional markets which have become bigger consumers of Uganda’s exports, government has hatched a plan to construct border export zones.

The border export zones will act as one-stop-markets where traders from neighbouring countries will pick the goods without going through a lot of bureaucracy.

The Common Market for Eastern and Southern Africa (Comesa) and Uganda Export Promotions Board will oversee the construction of the border export zones.

The Comesa support will be channeled through the Regional Integration Support Mechanism (RISM) – a European Union Development Fund that supports member states to implement regional integration programmes.

Speaking at the ministry of Trade offices in Kampala during the opening of the steering committee meeting recently, Comesa Secretary General Sindiso Ngwenya, said: “Border export zones will result in reduced cost of doing business.”

Mr Ngwenya added: “This project has very high potential to generate increased revenue for the country and the region.”

However, he said there is need for the project to find other means of sustaining itself when the RISM funding ends in December this year. Comesa has so far approved €3.9 million (Shs14.5 billion) for Uganda.

In his submission, Mr Elly Twineyo, Uepb executive director, said: “At least 60 per cent of Uganda’s exports go to the regional markets Comesa inclusive. Most of the people who trade are small and medium enterprises (SMEs), a fact we cannot afford to ignore.”

He said once the border export zones are implemented, they will serve as a one-stop shop with all essential amenities including warehouses, banks, hotels and food courts.”

“We believe these border export zones will increase Uganda’s exports into the region,” Mr Twineyo added.

Regional exports

Figures. Last year Uganda’s exports to Comesa stood at $1.2 billion (Shs4 trillion), to the EAC $771.6million (Shs2.6 trillion) according to the Ministry of Trade.

Source: All Africa

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