The chief executive officer of the Private Sector Federation (PSF), Stephen Ruzibiza, has said doors for business relations between Rwandan and Tanzania business communities are now open. Ruzibiza made the remarks during the preparations to host the first Tanzania Rwanda Trade Forum (TRTF) early this month. TRTF is expected to facilitate both countries boost trade. “We have to increase exports, promote cross-border trade and investment more in Tanzania,” Ruzibiza said. The forum, to be held under the theme: ‘Strengthening Bilateral and Trade Investment Opportunities,’ is being organized by PSF, Tanzania Chamber of Commerce, Industry and Agriculture (TCCIA); Tanzania Trade Development Authority (Tantrade) and Tanzania Truck owners Association (Tatoa).

The event aims to assemble over 100 key business players from Tanzania and Rwanda’s private sectors, as well as policymakers from both governments. “Rwanda and Tanzania have a firm commitment to increase trade and cooperation through their joint membership with East African Community (EAC). There is a conducive environment for trade and we encourage Rwandans to use it,” says Ruzibiza. He mentions the Rusumo one-stop border post which will soon operate for 24 hours, and Dar es Salaam port as opportunities to be exploited. According to the ministry of East African Community (MINEAC), TRTF comes at the heels of renewed political ties between both Rwanda and Tanzania following the inauguration of President John Pombe Magufuli.

Magufuli’s first maiden trip outside Tanzania was to Rwanda on the invitation of President Paul Kagame. The two presidents officially opened the Rusumo one-stop border post and the Rusumo International Bridge. They also encouraged Rwandans and Tanzanians to build stronger trade relationships to benefit both countries and the region at large.

TRTF is an outcome of private sectors from Rwanda and Tanzania heeding to bilateral talks between their respective governments in an effort to deepen and widen trade opportunities between the two countries. Robert Opirah, the head of trade and investment at the ministry of trade and industry, said the forum is an opportunity for them to cement the relationship between the two countries in terms of trade and investment.

“We want to facilitate trade, industrial advancement and market access,” Opirah says, adding that for anyone to open a company in Tanzania, over 50% shares are supposed to be owned by a Tanzanian. Though Rwanda expects to benefit more from the TRTF, trade between the two countries is minimal due to unfavorable requirements for foreign investors in Tanzania. PSF requests that such conditions be scraped or reduced. Tanzania also imposes high taxes on Rwandan products, hence limiting exports. “Such issues are hindering Rwandans to invest in Tanzania but this will be discussed in the forum.Wehope Rwandans will be granted opportunities and allow flow of investment,” Opirah says.

Existing trade

Currently Rwanda exports, Sulfo products to Tanzania and imports rice, cement and mattresses. Tanzania has invested in agro processing through companies like Bakhresa where Azam wheat flour and Azam beverages are manufactured. Azania also produces wheat flour. The TRTF follows the recently concluded joint permanent commission for both Rwanda and Tanzania which took place on April 30 in Rubavu, Western Province.

Source: All Africa

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