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Borders of 43 African countries closed as virus cases top 225,000

As Covid-19 caseload surpassed 225,105 on Saturday across the African continent, 43 African countries are now under full border closure due to the rapid spread of the coronavirus. The death toll from the pandemic has reached 6,040, while some 102,846 people have recovered, according to the latest data from the Africa Centres for Disease Control and Prevention (Africa CDC). The Africa CDC said that the northern African region is the most affected area across the continent both in terms of positive Covid-19 cases and the number of deaths. HIGHLY AFFECTED The highly affected African countries include South Africa, Egypt, Morocco, Djibouti, Nigeria, and Algeria, said the specialized healthcare agency of the African Union (AU) Commission. Some countries on Saturday reported new records for their daily increases in Covid-19 infections. Egypt registered 1,677 new Covid-19 cases in the last 24 hours, the highest daily surge so far, raising the national count to 42,980, the Egyptian health ministry said. The country has also reported a record single-day increase of 62 in Covid-19 deaths, taking the death toll to 1,484, said Khaled Megahed, the health ministry's spokesman. Ethiopia, Africa's second most populous nation with a population of about 107 million, reported 268 new cases on Saturday, the highest daily increase so far, taking the country's tally to 3,166, the Ethiopian Ministry of Health said. WORST HIT South Africa, the worst-hit country on the continent, has registered a total of 65,736 cases and 1,423 deaths so far, according to Johns Hopkins University's latest tally....

Rwanda, Kenya address truck standoff on Tanzania borders

Rwanda and Kenyan transport officials are expected to hold fresh talks separately with their Tanzanian counterparts over continuing truckers stalemate at their respective borders. Tanzania cross-border cargo truck owners want unconditional access into Rwanda, protesting the Covid-19 control measures requiring them to terminate their trips at the Rwanda border, with exception of perishables and petroleum products as per the deal reached by the governments on May 15. According to media reports, the Tanzania Truck Owners Association has requested the government to have talks with neighbouring countries and review its members claim that their Covid-19 certificates are being rejected at the borders while others have to wait for long to offload cargo at the Namanga (with Kenya) and Rusumo (Rwanda) borders. Rwanda’s Ministry of Foreign Affairs and International Co-operation Vincent Biruta confirmed to The EastAfrican that parties were expected to meet, on a date yet to be set. He, however, did not reveal the specific demands presented by Tanzania, and whether the talks signal a setback to the previously reached deal. Clearance certificates “It will be a follow up on the implementation of the resolutions of the previous bilateral meeting with Tanzania,” he said through the Office of the Government Spokesperson. On the Tanzania-Kenya borders, the situation is the same, as drivers from the two countries are stranded and cannot enter or exit both sides at the Namanga and Holili/Taveta One Stop Border Posts. Tanzania’s Transport Minister Isaack Kamwelwe told The EastAfrican, the two countries are making arrangements to have talks...

Rwanda, Uganda Record Reduced Trade Flows

Rwanda and Uganda have recorded a reduction in trade flows in April and May 2020, according to the latest report from the COMESA Statistics on ‘COVID 19 Impact on Trade’. The report was prepared in the first two months in which COVID-19 spread to the region. Imports into Rwanda declined by 32 % in April compared to March. Rusumo and Airport borders posts recorded declines in imports of 35% and 16% respectively. In Uganda, a drop in imports was recorded at 30% in April compared to March. Malabo, Busia and Entebbe border posts recorded declines in imports of 35%, 28% and 24% respectively. Imports for the month of May were projected to decline by 20%. Exports for Rwanda also declined by 8% in April compared to March 2020 while Uganda recorded a decline in exports by 15% in April compared to March. According to the report, a reduction in customs duties is listed as among the critical challenges faced by the Rwanda Revenue Authority. Customs duty receipts declined by 55% in April compared to March. Rusumo, Kagitumba and the Airport border posts recorded declines in customs duty receipts of 52%, 71% and 41% respectively. For Uganda, a reduction in customs duties was listed among the critical challenges faced by the Uganda Revenue Authority with declines of 42% recorded in April compared to March. Malaba, Busia and Entebbe recorded declined duties of 43%, 36% and 21% respectively. Both countries have however put in place measures to respond to the COVID-19. In...

AfDB approves funds for a proposed construction of rail line linking Ethiopia to Sudan

Construction of a rail line linking Ethiopia to Sudan is to be funded by the African Development Bank (AfDB) which has approved an approximately US$ 1.2M grant to the government of the Republic of Ethiopia to finance the feasibility study for the construction of a proposed standard-gauge railway (SGR) line linking the East African country to its neighboring Republic of Sudan. The funding for construction of the rail line linking Ethiopia to Sudan will cover approximately 35 percent of the total estimated cost of the study, which is US$ 3.4M. NEPAD Infrastructure Project Preparation Facility (NEPAD-IPPF), a multi-donor Special Fund hosted by the AfDB to support African countries to prepare regional infrastructure projects in energy, transport, ICT and transboundary water, will provide additional US$ 2M grant while the two countries will equally contribute the reminder. The feasibility study The 24 months comprehensive feasibility study will evaluate the proposed project’s technical, economic, environmental, and social sustainability, as well as alternative financing arrangements which might include a public-private partnership (PPP). The future 1,522 kilometers railway line is precisely intended to connect the city of Addis Ababa in Ethiopia and that of Khartoum in Sudan, with an extension to Port Sudan, a port city in eastern Sudan and the capital of the state of Red Sea. The lack of a regional route linking Ethiopia, Sudan, and other countries in the Horn of Africa, according to a proposal report handed to the AfDB, undermines trade, development, and regional integration in the region. The project, upon completion,...

Malaba link road upgrade to ease truck congestion

An access road in Malaba border point is being revamped to ease traffic congestion that has been made worse by coronavirus. Transport secretary James Macharia told Parliament the Ministry is engaging TradeMark Africa (TMA) as the contractor for the upgrade. In the recent weeks, truck drivers have been stuck in traffic stretching 40km along the Bungoma-Kanduyi-Malava road due to lengthy wait for results of the Covid-19 test that is mandatory before crossing the border. “A Contractor will be on site this week to upgrade the stretch to the new bridge, to tarmac and to complete the bridge in one week,” Mr Macharia said in a statement to the Senate Committee on Roads. While traffic congestion is common on the Bungoma-Kandunyi-Malava road, it has become worse in the recent months after Ugandan authorities declined to recognise covid-19 results for tests conducted in Kenya. The road connects to the Malaba border point meaning that the traffic snarl-up is causing untold suffering to truck drivers and residents of the counties it passes through. Malaba border is the second busiest border crossing in Africa and serves a number of land-locked countries including Uganda, Rwanda, Burundi, Nothern Zambia, DR Congo, Central African Republic and South Sudan. Truck drivers have also complained of harassment from Ugandan authorities, time wastage before tests are conducted, poor handling when being tested and unlawful detention. Bungoma Senator Moses Wetang’ula in his submission on the floor of the House noted that from Malaba border, the trucks are extending up to way...

Corona controls cut Kenya’s April EAC sales by Sh3.5bn

Kenya’s exports to its three leading markets in the six-nation East African Community fell by Sh3.51 billion in the first full month following adoption of Covid-19 containment measures, official data shows. Earnings from goods sold to Uganda, Tanzania and Rwanda amounted to Sh5.61 billion in April, a drop of 38.47 percent compared with similar period in 2019, according to leading trade indicators published by the Central Bank of Kenya (CBK). Delays have rocked cross-border trade after partner States locked borders and ordered Covid-19 testing for truck drivers, with results taking 48 hours on average. Kenya, Uganda and Rwanda early May reached a deal for testing of truck drivers for Covid-19 at the point of departure to ease tailbacks at border points after each nation initially insisted on separately conducting mandatory testing. Delays threatened to renew long-standing trade disputes between Nairobi and Dar es Salaam mid-last month before the ministers for transport intervened. The provisional CBK data shows Kenyan traders trucked goods worth Sh2.03 billion to Tanzania in April, a 34.16 percent drop compared to a similar period in 2019. Exports to Uganda contracted 39.16 percent to Sh2.69 billion, Rwanda's orders plunged the sharpest at 44.82 percent to Sh890 million. The exports to Uganda, Tanzania and Rwanda fell by nearly half in April, or 48.82 percent, compared with the monthly average of Sh10.97 billion in the January-March 2020 period. During the first quarter of 2020, exports to the three countries were estimated at Sh32.91 billion, a growth of 18.15 percent over...

Kenya loses over 100 billion KES in revenue to illicit trade, says illicit trade – report

Anti-Counterfeit Authority has released findings of the National Baseline Survey on the extent of counterfeit and other forms of illicit trade in Kenya. According to the study conducted between October 2019 and February 2020, the Government revenue lost in 2018 stood at Kes 102.99 billion up from Kes 101.23 billion in 2017. From the 16 sectors of the economy that the study concentrated on, building, mining and construction was heavily affected by counterfeiting with a share of 23.37% in value of total illicit trade, followed by energy, electrical and electronics with a share of 14.67% in 2018. The sector with the most government revenue loss was food, beverage and non-alcoholic drinks with a share of 23.19%, followed by textile and apparel at 20.09%. Thirty (30) percent of the firms were aware that their products were being counterfeited and sold in the market, whereas 56.4% of the sampled firms were not aware that their products are being counterfeited and sold in the market. Between 2016 and 2018, 7,484 jobs were lost in Kenya due to illicit trade with counterfeiting accounting for 32.59% of the jobs lost. The study also cites piracy as a critical form of illicit trade. According to the findings, the loss of sales as a result of pirated products stood at KES 2.2 billion over the period 2016-2018. Although the trend depicts marginal decline between 2017 and 2018, the loss as a result of total sales is quite high ranging between 37.69% and 42.14%, which is a clear...

Report: Kenya loses over Ksh 100B in revenue to illicit trade

The Anti-Counterfeit Authority has Wednesday released findings of the National Baseline Survey on the extent of counterfeit and other forms of illicit trade in Kenya. The purpose of the study is to determine the extent and magnitude of illicit trade in the country. According to the study conducted between October 2019 and February 2020, the Government revenue lost in 2018 stood at Ksh 102.99 billion up from Ksh 101.23 billion in 2017. From the 16 sectors of the economy that the study concentrated on, building, mining and construction were heavily affected by counterfeiting with a share of 23.37% in value of total illicit trade, followed by energy, electrical and electronics with a share of 14.67% in 2018. The sector with the most government revenue loss was food, beverage and non-alcoholic drinks with a share of 23.19%, followed by textile and apparel at 20.09%. Thirty (30) per cent of the firms were aware that their products were being counterfeited and sold in the market, whereas 56.4% of the sampled firms were not aware that their products are being counterfeited and sold in the market. Between 2016 and 2018, 7,484 jobs were lost in Kenya due to illicit trade with counterfeiting accounting for 32.59% of the jobs lost. The study also cites piracy as a critical form of illicit trade. According to the findings, the loss of sales as a result of pirated products stood at Ksh 2.2 billion over the period 2016-2018. Although the trend depicts marginal decline between 2017 and...

Kenya Loses Over $900-Million to Illicit Trade According to Report

The Anti-Counterfeit Authority of Kenya has released findings of the National Baseline Survey on the extent of counterfeit and other forms of illicit trade in the country. According to the study conducted between October 2019 and February 2020, the Government revenue lost in 2018 stood at KES102.99-billion up from KES101.23-billion in 2017. Around $900-million each year. From the 16 sectors of the economy that the study concentrated on, the most affected were building, mining and construction. These three sectors were specifically and heavily affected by counterfeiting with a share of 23.37% in value of total illicit trade, followed by energy, electrical and electronics with a share of 14.67% in 2018. The sectors where most government revenues were lost are the food, beverage and non-alcoholic drinks sector with a share of 23.19%, followed by textile and apparel at 20.09%. 30% of the firms in the sectors were aware that their products were being counterfeited and sold in the black market, whereas 56.4% of the sampled firms were not aware that their products were being counterfeited and sold. Between 2016 and 2018, 7484 jobs were lost in Kenya due to illicit trade with counterfeiting accounting for 32.59% of the jobs lost. The study also cites piracy as a critical form of illicit trade. According to the findings, the loss of sales as a result of pirated products stood at around  $2 million (KES2.2 billion) over the period 2016-2018. Although the trend depicts marginal decline between 2017 and 2018, the loss as a...

New Report Shows Kenya Loses KSh 100 billion in Revenue to Illicit Trade

Total volume of illicit trade stood at Ksh 726 billion in 2017 and increased to Kes 826 billion in 2018 which represents 8.9% and 9.3% of Kenyan GDP respectively. Total government revenue loss from illicit trade in all sectors stood at Kes 101.23 billion in 2017, rising to Ksh 102.99 billion in 2018. Kenya is losing billions of shillings in revenue according to the Anti-Counterfeit Authority’s findings of the National Baseline Survey on the extent of counterfeit and other forms of illicit trade in Kenya. According to the study conducted between October 2019 and February 2020, the Government revenue lost in 2018 stood at Ksh 102.99 billion up from Ksh 101.23 billion in 2017. From the 16 sectors of the economy that the study concentrated on, building, mining, and construction was heavily affected by counterfeiting with a share of 23.37 percent in value of total illicit trade, followed by energy, electrical and electronics with a share of 14.67 percent in 2018. The sector with the most government revenue loss was food, beverage, and non-alcoholic drinks with a share of 23.19 percent, followed by textile and apparel at 20.09 percent. Thirty (30) percent of the firms were aware that their products were being counterfeited and sold in the market, whereas 56.4 percent of the sampled firms were not aware that their products are being counterfeited and sold in the market. Between 2016 and 2018, 7,484 jobs were lost in Kenya due to illicit trade with counterfeiting accounting for 32.59 percent of...