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ECOWAS Commission highlights benefits of border digitisation

The ECOWAS Commission has highlighted the benefits of origin-to-destination digitalization of the ECOWAS certificate of origin as one of the instruments needed to facilitate cross – border movement of goods within the sub- region. Such procedure, the Commission said, not only transcends national to regional levels, but will assist to eliminate signatures, human intervention, drastically reduce fraud and engender transparency. Its Commissioner for Economic Affairs and Agriculture, Mrs. Massandje Toure – Liste, said this at the launch of the ECOWAS Electronic Certificate of Origin, in Lagos. Represented by the Director of Customs Union and Taxation, Mr. Salifou Tiemtore, she said the new regime besides boosting confidence will also facilitate cross border movement of community goods. The event brought together representatives of the African Continental Free Trade Area Secretariat, African Development Bank, GIZ, World Customs Organisation, UEMOA Commission, Regional Economic Communities, TradeMark Africa, ECOWAS member states and members of the  organised private sector. She said the new clearance regime is expected to have a significant and positive impact on the cross-border movement of goods in the ECOWAS region. Observing that the proliferation of free trade agreements around the globe has become a way of creating markets and stimulating the productive capacity of countries with its attendant economic benefits, she said the development, however, poses significant challenges to developing and least developed countries in Africa. She said: “These countries have weak industrial capacity and are highly dependent on border taxes for economic development. “The erosion of customs revenues and non-compliance with origin requirements and...

Trade Ministry to Address Challenges Facing Cross Border Women Traders

The National President of CB­WTAG, Ms Lucky Rose Honodzi, stated that women played crucial roles in the development of the country, as they tried to improve on the living standard of their families, hence the need to provide them with the necessary support and a levelled playing field to thrive. The Chairperson of the Gender Sub-Committee on Trade (GSCT) un­der the Ministry of Trade and Industry (MOTI), Ms Naah Ayitteh Densua, has assured Cross Border Women Traders (CBWT) in the country that efforts are being made to address the challenges confronting them in carrying out their business activities along Ghana’s borders. Ms Densua said issues such as security problems at the borders, lack of easy access to financial support, lack of infrastructure, in­cluding markets and health facilities at the borders remained as some of the problems facing CBWT in the country. Speaking at the maiden annual general meeting (AGM) of Cross Border Women Traders Association of Ghana (CBWTAG) under the theme: ‘Unleashing the Power of Cross Border Women Traders: Innovation, Security, Compliance, Resilience and Sustainability,’ at Af­lao in the Volta Region, Ms Densua emphasized the inmense contributions of women to the economic growth of the country which required that they be supported to carry out their businesses and trades effectively. She said the CBWTAG had com­plained about the personnel of the Customs Division of the Ghana Revenue Authority (GRA) and the Ghana Immigration Service (GIS) of harassment in the pursuit of their lawful activities, saying it was import­ant for security...

UK-funded cargo system praised for increasing revenue collection

A screen in the RECTS control room at Mombasa Port showing trucks being tracked. The Regional Electronic Cargo Tracking System (RECTS), funded by the United Kingdom, has been hailed as an innovative platform for driving growth and speeding up trade within the East Africa region. Launched in 2017, the system monitors the movement of transit cargo in real time to enhance safety and efficiency across the region. During the unveiling of the Trade Facilitation Report in Kigali, Rwanda, Neil Wigan, British High Commissioner to Kenya expressed confidence in the system for improving the trade relations among nations. "The UK is proud to have helped deliver this exciting innovation in digital trade that is growing the economy of Kenya by overcoming barriers to the swift and efficient trade that East Africa deserves," Wigan stated. "This is only made possible through partnerships with the Government of Kenya and TradeMark Africa – we go far in East Africa when we go together," he added. Another benefit for the RECTS system includes the reduction of costs of transit cargo on the Northern Corridor from Mombasa through to Bujumbura. For instance through the tracking system, the time taken for cargo trucks to move from Mombasa to Kampala has been reduced from 21 days to just 4-5 days. The government of Uganda has praised the system for saving over Ksh.129 million in costs for more than 20,000 consignments. In Kenya, the system has aided in driver safety through real-time monitoring and hence deterring the common robbery...

Digital technologies could unlock Africa’s trade potential, says Prime Minister Ngirente

Investment in Africa’s digital and technological capabilities is necessary to unlock the continent’s trade potential and accelerate economic growth, Prime Minister Edouard Ngirente said as he opened the Africa Trade Development Forum in Kigali. Achieving this vision requires countries to adapt to the rapidly evolving trade landscape shaped by emerging technologies, Ngirente said, adding that enabling free movement of people, goods, and services is crucial to unlocking the full potential of intra-African trade. “Leveraging digital technologies is critical. Removing non-tariff barriers and facilitating seamless cross-border movement will not only create new opportunities for businesses but also address key trade-related challenges across the continent,” he said. “This potential requires that our countries advance the use of digital innovation in trade operations. Doing so will not only facilitate connections between producers and consumers but also boost growth and create opportunities for better jobs.” Ngirente noted that achieving this ambitious vision would require significant investments in scaling up energy and digital infrastructure, easing electronic cross-border payments, and improving customs and logistics systems. Studies show that improving digital connectivity, combined with a supportive regulatory framework, could reduce trade costs by as much as 25 percent, Ngirente told delegates at the two-day event co-hosted by the Rwandan government and TradeMark Africa. The Prime Minister also emphasized the transformative role of the African Continental Free Trade Area (AfCFTA) and its digital trade protocol in integrating regional economies, increasing connectivity, reducing barriers, and driving economic growth. The forum held under the theme, “Unlocking Africa’s Trade Potential Through...

What’s holding back Africa’s digital trade?

The Secretary General of the African Continental Free Trade Area (AfCFTA) Secretariat, Wamkele Mene speaks during the Africa Trade Development Forum in Kigali on Monday, December 2. Courtesy. Africa has achieved different levels of digital trade, with some regions making more progress than others. Work must be done to connect the scattered dots and ensure the continent becomes a single digital market. The appeal was made by various leaders at the just-concluded Africa Trade Development Forum in Kigali, co-hosted by the government of Rwanda and TradeMark Africa. The forum was held under the theme, 'Unlocking Africa's trade potential through digital innovation.’ ALSO READ: How digitalisation is transforming trade in Africa The Secretary General of the African Continental Free Trade Area (AfCFTA) Secretariat, Wamkele Mene, cited the AfCFTA Digital Trade Protocol (AfCFTA DTP) as one of the ways digital trade fragmentations can be addressed on the continent. "We have seen how digital technologies have enabled trade and made it more efficient especially in the East African region. The AfCFTA DTP intends to consolidate all these efforts and create a single digital market," he said. The AfCFTA Digital Trade Protocol was adopted in February 2024, with negotiations still ongoing on annexes such as rules of origin and cross border digital payments. According to Annette Ssemuwemba, Deputy Secretary General Customs, Trade and Monetary Affairs at the East African Community, more still needs to be done to ensure a seamless flow of trade in the region. “The electronic single windows were meant to be integrated so that we are...

Trade facilitation report: driving African trade through digitalisation

CLICK HERE TO DOWNLOAD the  Trade facilitation report: driving African trade through digitalisation The Trade Facilitation Report is the inaugural knowledge report by TradeMark Africa (TMA). It was launched in Kigali, Rwanda, on 3 December 2024 at the conclusion of the Africa Trade Development Forum 2024. ODI Global researchers – Dirk Willem te Velde, Yohannes Ayele, Maximiliano Mendez-Parra and Linda Calabrese – contributed to shaping the ideas of the report. Recognising trade facilitation as a critical element for improving Africa’s trading environment, the Trade Facilitation Report addresses the priorities, lessons, risks and opportunities associated with trade facilitation in Africa. It seeks to outline ideas, opportunities, principles and priorities that should guide governmental actions and continental reforms in trade facilitation. The primary message is clear: investing in trade facilitation yields substantial long-term benefits in growth for both the private sector and consumers, and advances in digital technology mean that this area is now particularly fertile to drive gains. This document presents evidence of these benefits and lessons learned from various interventions across Africa, particularly from the impact of digitalisation in reducing the time and cost of trade for countries. It also highlights the disparities in policy frameworks and digital infrastructure, which, if effectively addressed, will further stimulate opportunities for intra-African trade. Lastly, it outlines risks that states should be wary of while accelerating digitalisation for trade.

How digitalisation is transforming trade in Africa

David Beer, CEO of TradeMark Africa speaks exclusively to The New Times. The digitalisation of trade has increased efficiencies in trade processes and changed how trade is conducted on the continent. However, a number of challenges need to be addressed in order to streamline digital trade and ensure its benefits are realised and shared inclusively. The New Times’ Tesi Kaven spoke to David Beer, the CEO of TradeMark Africa on the challenges, opportunities, and the future of digital trade in Africa. Below are the excerpts: How is digitalisation changing trade in Africa? We have seen improvements in the reduction of cost and time of trading across borders after digitalising many trade processes. At TradeMark Africa, we have implemented over 100 digital trade processes in conjunction with our government and private sector partners across Eastern Africa and even further. We have seen the average time to complete trade processes come down by around two thirds or 66 hours. That makes a big difference to exporters and increases their margins and makes them more profitable. We have worked with the government of Rwanda to put in place the electronic single window, which has reduced the time taken to complete those trade processes by half. We have also worked with the government of Kenya to put in place their integrated customers management system that reduced the time to clear air freight from about four days to just a couple of hours. In Uganda, we did the same thing and saw annual costs come...

VOX POP: Excitement as Rubavu port officially opens

The Rubavu Port was officially opened on Friday, and is expected to boost trade and maritime transport between Rwanda and DR Congo.   The biggest port in Rwanda located in Nyamyumba Sector, Rubavu District, has the capacity of 1.4 million passengers annually and two cargo vessels, each with a capacity of 500 DWT and a length of 60 m.   ALSO READ: How Rubavu port is set to reshape cross-border trade with DR Congo   The port, whose construction cost more than $9 million, was among four ports that were to be built as part of a broader construct four ports along the shores of Lake Kivu in the Western Province. Other ports in the pipeline include Rusizi, which is 51% complete, as well as Nkora and Karongi, both scheduled for construction in early 2025, according to officials. ALSO READ: Rwanda's biggest port to open in December The New Times spoke to Rubavu residents, business people, and Congolese about their expectations and what the port means in terms of trade industry and maritime transport.     Trésor Hategekimana, Paradis Malahide Resort Trésor Hategekimana, hotelier, Paradis Malahide Resort   What we are expecting from the port as hoteliers is to gain more customers, tourists, from different places around Rwanda and far away. We expect the number of foreigners visiting Rubavu to increase and they will need accommodation and a place to eat and to relax.   It is interesting to the community around here and the whole district at large. I see the port...

How Rubavu port is set to reshape cross-border trade with DR Congo

The Ministry of Infrastructure will, Friday, December 6, officially launch the Rubavu Port, a modern facility set to boost trade not just in Rwanda but across the region. As the country’s largest port, the facility is expected to help ease cross-border trade and enhance connectivity between Rwanda and DR Congo, and support local communities through increased economic opportunity anchored on trade, according to officials. Nestled in Nyamyumba Sector on the shores of Lake Kivu in Western Province, the port spans an area of two hectares with two main terminals, one for cargo and and the other passengers. The facility, which has been operating under a pilot phase for the last one year, can handle 700,000 tonnes of cargo and at least 2.7 million passengers annually. The port can simultaneously accommodate two cargo vessels (quays), each spanning 60 metres and capable of carrying 500 deadweight tonnage (DWT). A positive outlook While this capacity is relatively small by global maritime transport standards, officials told The New Times that one vessel can accommodate 35 containers. “Generally, the pilot phase painted a positive outlook. The main objective was to attract businesses and offer alternative, affordable routes,” said Jean Marie Ndizeye, the Inland Water Transport Senior Engineer at the Rwanda Transport Development Agency (RTDA). A landscape view of the newly constructed port on the shores of Lake Kivu close to the DR Congo border. The project is being developed by the Rwandan government through the RTDA, with funding from Netherlands-backed Invest International and the UK government through TradeMark...

How one stop border posts have reduced cost of trade

Despite digital advances, most cross-border trade procedures in Africa remain largely paper-based and involve a multitude of stakeholders and intermediaries, significantly impacting the time and cost of trade. To facilitate trade flows across borders, one-stop border posts (OSBPs) were introduced in various regions including in East Africa. OSBPs are specialised border crossing points that aim to streamline and facilitate trade and movement of goods and people between neighbouring countries through consolidation of border control procedures and services in one location. According to TradeMark Africa, the OSBPs have slashed border crossing times by an average of 70 per cent. ALSO READ: Rwanda, DRC to build $22m One Stop Border Post in Rusizi However, the rapid growth in economies and trade volumes is placing renewed pressure on these corridors, causing congestion and delays at border crossings. Smart digital corridors Smart Digital Corridors have been hailed as a long term solution to the challenges and constraints of physical infrastructure, facilitating seamless trade through intelligent and interconnected systems. 'SMART' is an acronym that stands for 'Safety, Mobility, Automated, Real-time Traffic Management' that aims to reduce cargo transportation time and cost as well as Increase safety and security of transport services across corridors. To have these smart corridors, stakeholders say that countries must eliminate bottlenecks. “Not everyone wants to have these smart digital corridors because people are making money and benefitting from the current system of operation," Mukhisa Kituyi, former Secretary-General of the United Nations Conference on Trade and Development (UNCTAD) said during the recent Africa...