The African Development Bank Group has signed a $4.8 million institutional support grant to the African Union (AU) for implementation   of the African Continental Free Trade Area (AfCFTA). The grant, approved by the Group’s Board of Directors on 01 April 2019, forms part of a series of interventions by the Bank in its lead role to accelerate implementation of the Free Trade Agreement, seen as a major force for integrating the 55-nation continent and transforming its economy. Albert Muchanga, AU’s Commissioner for Trade and Industry, for the continental body, while Obed Andoh Mensah, representing the Bank’s Director of the Industrial and Trade Development Department (PITD), signed on behalf of the Bank, signaling the startup of implementation. African leaders meeting in Niamey, Niger in early July launched the implementation phase of the free trade area agreement established in March 2018 after it became operational at the end of May this year. Currently, 54 states have signed the deal and are set to begin formal trading next July. “The AfCFTA is going to work and we are confident that by the 1st of July next year, all the 55 countries would have been state parties – meaning, they would have signed and ratified the agreement and intra-African will start,” Muchanga said in a statement and urged countries to use this period to complete the parliamentary processes. In the statement, Muchanga commended the Bank’s strong and consistent support to ensure smooth implementation of the Agreement, saying the grant would be used judiciously for the...

EAC and Regional Development Cabinet Secretary Adan Mohamed speaking during the East African Business Council 20th annual general meeting said that the Monetary Union envisages a situation where there are common monetary and fiscal policies that enable people to trade in a common currency. He noted that the future role of the East African Business Council should usher in a more dynamic and strengthened self regulation mechanism for the private sector, that focuses on critical issues that will be game changers for the region. The CS said this will enable the citizens in the member states to trade seamlessly with one another more than is currently happening. According to Mohammed, the regional economic groupings are anchored on market-based policies, mainly liberalization, wide public, civil society and private stakeholder involvement and convergence of macro-economic policies. The CS said that the EAC is a strong regional bloc that is the most integrated on the continent, that has seen a lot of growth over the years adding that the private sector in the region continues to play a critical role in economic development. He noted that as an economic block the EAC must make themselves attractive on our Ease of Doing Business agenda. “We must make ourselves attractive on our Ease of Doing Business agenda, infrastructure development and other enablers that support business growth,” said CS Mohammed. He emphasized to the member states the need to stick together as EAC in order to compete at the global stage noting that EAC’s combined market size is...

The Kenya Ports Authority has launched a blueprint highlighting measures it seeks to implement to boost, in the next three years, its trans-shipment business with East and Central African countries, which has remained stagnant for more than a decade. Its 2018-2047 masterplan targets more business with the ports of Dar Salaam Port and Djibouti, via the upcoming Lamu port which, when complete, will be able to host big merchant ships due to its wide berths. According to Transport Cabinet Secretary James Macharia, three berths of the target 32 are expected to be complete by October and the first mother ship with close to 10,000 twenty-foot equivalent units (teus) is scheduled to dock before December. Trans-shipment market The Lamu Port, built under the regional Lamu Port-South Sudan-Ethiopia Transport Corridor project, is expected to launch operations in November. “We expect to start competing in the trans-shipment market as the first super post-Panamax vessel is set to dock at Lamu Port before the end of this year,” said Mr Macharia. Source: The East African

The WCO, with the support of the WCO-Finland ESA Project II and the Global Alliance for Trade Facilitation (GATF) through GIZ, conducted a pre-arrival clearance diagnostic mission from 30 July to 2 August 2019. The key objective of this mission was to assist Kenya in the establishment and implementation of requisite legislative and operational measures for expediting the release of goods through pre-arrival processing, which is one of core trade facilitation measures as detailed in Article 7.1 of the WTO Trade Facilitation Agreement (TFA) and Standard 3.25 of the Revised Kyoto Convention (RKC).  Pre-arrival processing brings a higher level of predictability and transparency to Customs procedures hence improving the business environment, and leading to increased economic competitiveness and investment. WCO and GATF experts conducted an in-depth analysis of the current national situation regarding pre-arrival processing vis-a-vis relevant international standards and global best practices with a view to identifying gaps and providing recommendations on legal, procedural, technical and human resource requirements inter alia. Based on this analysis, a set of recommendations for an effective implementation of a pre-arrival processing system were drawn up in line with Article 7.1 of the WTO Trade Facilitation Agreement (TFA), Standard 3.25 of the Revised Kyoto Convention (RKC) and the SAFE Framework of Standards. The KRA, in collaboration with other government agencies and the private sector, is committed to moving forward with the implementation of a pre-arrival processing system. The WCO and GATF will continue to provide all the necessary support to KRA as may be...

About two years since actual operations started on the standard gauge railway (SGR) line between Mombasa and Nairobi, it is time to take stock of the phenomenal success the service has registered. The biggest indicator of this is the fact that in the past three months, the SGR trains have attained the initial break-even projections, bringing in 258 freight trains by transiting 23,522 container tonnes. This success has been evident in the passenger and freight components, the latter service having started only in January last year. The tonnage lifted during the last quarter from Mombasa to Nairobi increased to 1,059,215 metric tonnes from the corresponding quarter’s tonnage of 1,024,220 in 2018. Today, the SGR line operates an average of eight cargo trains daily, but this is elastic and sometimes goes to as high as 14, depending on the cargo arriving at the port. Conventional and containerised cargo topped the uptake charts and the line achieved its objective of supporting the nascent industrial and agro-processing sectors. Source: Daily Nation

A total of 16 new Authorized Economic Operators (AEOs) have been commissioned, bringing the number in Uganda to 66. An Authorized Economic Operator is a company, an organisation or individual authorized by a local customs administration to do self-customs assessment, having been found to comply with the World Customs Organisation (WCO) supply chain security standards. Six of the commissioned companies received certification to operate at the East Africa regional level, where they will be recognized by all regional customs bodies, and accorded preferential treatment. The Uganda Revenue Authority (URA) Commissioner Customs, Dicksons Kateshumbwa says that approximately 30% of the goods cleared by customs, will now be cleared by the AEOs, although the target is to raise the clearance to 60%. He adds that last year, 80% of all customs revenue came from the AEOs. “If, therefore, we can have a greater number assessed for compliance and commissioned, we would concentrate on looking for the less compliant taxpayers,” Kateshumbwa said. He made the statements on August 5, 2019 at the URA head office in Kampala where the 66 received certificates and other documents. “Of the 50,000 importers registered last year, 684 were AEOs, while the remaining 49,000 were under the general category. Currently, the EAC customs bodies are working in collaboration with Common Market for Eastern and Southern Africa to strengthen the AEO program, as they move to facilitate intra Africa trade. The more trade facilitation increases, the more the African continent will attract local and foreign direct investment leading to...

In short The expansion means large vessels operated by top shipping lines now call on the port on a regular basis to load and unload cargo, a critical development for countries like Uganda that depend on it for export-import trade. Uganda’s main export, coffee, also goes through Mombasa port. Source: Uganda radio Network

The draft programme of the 2019 WTO Public Forum is now online (click here). This year's Forum takes place from 7-11 October under the headline of 'Trading Forward: Adapting to a Changing World'. A number of grain trade participants will be leading sessions, including Gafta, the Grain and Feed Trade Association, who will table 'Digital Transformation of the Agricultural Trade', and Cargill, Incorporated who will lead on 'Global Trade Systems and the Next Generation: Connecting Our World'. Other trending issues at the Public Forum include: Digitalization and digital trade (Gafta, ITC, WEF, ICC) Millennials and Gen Z expectations for the future of trade (WTO, UNCTAD, ITC, Cargill, Incorporated, Government of Canada, farming unions of Norway and Switzerland) WTO reform (Africa Trade Network, Government of Brazil, Apex-Brazil, AEGIS Europe) WTO dispute resolution (Bertelsmann Stiftung) Sustainability and trade (ECOSOC, Confederation of British Industry, Government of France, Governmnent of Canada) Developing countries and the international trade agenda (World Bank, IICA) Gender and trade (Gender and Trade Coalition, Trade Mark East Africa) Source: Public

DEPUTY Minister for Foreign Affairs and East African Cooperation, Dr Damas Ndumbaro, has suggested that the Tanzanian government and Moroccan authorities enhance bilateral ties by forming a Joint Permanent Commission which shall propel cooperation to a higher level,- -along with providing a platform for supervising implementation of cooperation agreements signed between the two countries. Speaking at a function to honour 20 years of the leadership of King Mohamed VI of Morocco at the country’s embassy in Dar es Salaam yesterday and attended by foreign envoys based in Dar es Salaam, heads of diplomatic agencies, senior govenrment officials and embassy staff, Dr Ndumbaro said the Tanzanian government was proud of existing cooperation between the two countries, which was strenghened by the visit here of King Mohamed VI. “On behalf of the government of Tanzania under President John Magufuli I congratulate the Royal Goverment of Morocco for marking the 20th anniversary under the firm leadership of King Mohamed VI which has enabled the country to enhance deveopment in various spheres in the country and facilitating the realization of cooperation projects outside the country,” Dr Ndumbaro said. He asserted that the historical visit by the king in the country in October last year has opened up cooperation between the two countries in various areas in sectors of agriculture and fisheries, energy, tourism, indusries, railways, commerce, insurance, health, gas as well as cooperation in scientific and cultural spheres. Speaking at the function, the Moroccan ambassador in Tanzania, Abdellikah Benryane said that marking 20 years...

Briefing the media on Saturday, Communication Director at Ministry of Trade, Wondimu Filate said the total revenue earned accounted to about 61 percent of the planned $4.32 billion for the fiscal year. He attributed the shortfall to contraband trade, prices fluctuation in global market, lack of energy and quality of products as well as instability in some parts of the country. According to him, the export of tantalum, pulses, oilseeds, and floriculture achieved over 75 percent of the target, while coffee, fish, electric power, textile and garment, vegetables and fruits, and tea fell from 50-74 percent. On the other hand, meat, milk and milk products, spices, leather and leather products, food and beverages, honey, pharmaceuticals, minerals, live animals, chemical and construction inputs registered below 50 percent performance. The top 10 importers of the Ethiopian exports were USA, Somalia, Netherlands, Saudi Arabia, China, UAE, Djibouti, Germany, Japan and Israel. Improving the marketing system, supporting industrial parks to become operational, expanding infrastructures, controlling contraband, financing and logistics supply for export-oriented industries, among others, the next measures to be taken, according to the communication director. Source: APA News