Archives: News

US $5m Kasese one stop border post in Uganda to be commissioned

Uganda is set to open the US $5m  Kasese one stop border post in Kasese District. President Yoweri Museveni will perform the commissioning ceremony. The project which began in 2018 is part of the Great Lakes Trade Facilitation (GLTF) project which seeks to boost trade between Uganda and DR Congo. It was implemented by the government through the Ministries of Trade, Industry, Cooperatives, Works and Transport and launched by Works and transport minister, Engineer Monica Azuba and of State for Trade, Mr Michael Werikhe in September 2017. Kasese one stop border post The one stop border project received funding from International Development Association (IDA) of World Bank. The new facility features security agencies offices, immigration offices, Uganda Revenue Authority (URA) among others. According to Ministry of Trade, Industry and Cooperatives in the COMESA region DRC is Uganda’s second largest market after South Sudan, with Kenya coming third in the grid, therefore Uganda’s move to construct the border post comes as a huge boost. It is expected to speed up service delivery at the Uganda-DRC border therefore enhancing business. “This project is aimed at facilitating cross-border trade by increasing the capacity of commerce and reducing costs incurred by traders on both sides,” said Ms Monica Azuba. Regional leaders agreed to construct border points across the countries to  fight insecurity and reduce poverty while promoting shared prosperity among the vulnerable groups at the border areas. The projects will also see promotion of cross-border trade, ensuring food security and economic interdependence. Similar border posts in Busia had earlier last year...

KENYA PLANS NEW TO $140M PORT

Kenya has announced plans to construct a new port in the lakeside city of Kisumu county at a cost of $140m as part of the joint standard gauge railway project. The development comes in the face of underutilization of the Kisumu port for years despite its immense potential and strategic positioning to serve the landlocked countries in the Great Lakes Region. Kisian Port The underuse has been blamed on the invasion of the weed in the lake, a poor transport system and the sorry state of its landing sites. The Kenya Ports Authority‘s 2018 figures indicate that the port handled 12,000 tonnes of fertiliser destined to Uganda, 240 tonnes of Magadi soda, 108 tonnes of heavy machinery to Tanzania and two tonnes of assorted cargo and a bottle filling machine. In terms of imports, the port handled 1,100 tonnes of sugar from Uganda, and 50 tonnes of heavy trucks from Dar es Salaam, pointing to its under-use as a key trade route for the three countries. In its heyday, the Kisumu port was an important passenger and cargo hub interlinking Kenya, Uganda and Tanzania through the Port Bell, Jinja, Bukoba and Mwanza ports. The new port will be developed at Kisian, 16km from the city centre, with cement, coal and petroleum products destined for the region being used as justification for its construction. Two years ago, the government signed an agreement with China Exim Bank to finance its construction. Transport and Infrastructure Cabinet Secretary James Macharia said the Kisian site was chosen for...

The FAO/WHO/WTO International Forum on Food Safety and Trade

Continuing the discussions from the Addis Conference, the Geneva Forum addressed the trade-related aspects and challenges of food safety. The food safety priorities set by this Conference facilitated global collaboration and help ensure that no one is left behind. Its provided an opportunity for participants to explore the challenges and opportunities arising from rapid technological change and digitalization, namely: the use of new technologies in the realm of food safety and trade; how trade in safe food can be facilitated at the borders; multi-stakeholder coordination and the role of partnerships; harmonizing food safety regulation in a period of change and innovation. The conference will result in a document summarizing key issues and recommendations from both, the Addis Conference and the Geneva Forum, to better align and coordinate efforts to strengthen food safety systems across sectors and borders. Extracts of the programme: Addressing the economic burden of foodborne disease Delia Grace, Co-Leader, Animal and Human Health, International Livestock Research Institute Aligning national food safety policies to promote food security Angela Parry Hanson Kunadu, Lecturer, Department of Nutrition and Food Science, University of Ghana Overview of the Addis Ababa Conference Josefa Leonel Correia Sacko (see picture), African Union Commissioner for Rural Economy and Agriculture Synergies between food safety and trade facilitation Elizabeth Murugi Nderitu, Acting DirectorStandards and SPS, TradeMark Africa Source: PAEPARD

IGAD Welcomes the Decision by the Government of Belgium to recognize diplomatic and Service Passports of Somalia

24 April 2019, DJIBOUTI (Djibouti): The Inter-Governmental Authority on Development (IGAD) welcomes the recent decision by the Government of Belgium to recognise diplomatic and service passports issued by the Federal Government of Somalia. The following statement was issued today by the IGAD Executive Secretary. IGAD Executive Secretary Ambassador Mahboub Maalim notes that the move will significantly boost bilateral relations between Somalia and Belgium and facilitate Somalia government officials to engage with European Union institutions based in Brussels. Ambassador Maalim further noted that this is a positive step and is a demonstration of a growing confidence by the international community in the Government of Somalia and its institutions. In this regard, Ambassador Maalim hopes that Belgium will extend this recognition to the ordinary passport of Somalia. He also encourages other remaining countries to recognise passport issued by the Federal Government of Somalia and facilitate favourable visa processing for Somali nationals. Source: Horn Diplomat

Kenya’s foreign trade disputes costly – experts

Kenya spends at least Sh500 million in defending a single case filed by investors at international courts under the Bilateral Investment Treaties, according to a regional trade negotiation institute. The Southern and Eastern Africa Trade Information and Negotiations Institute (SEATINI) and EcoNews Africa said the provisions under the treaties are very risky. The two bodies said the funds used in legal protection and which mostly are not recovered, could be directed in state-led development. BITs are agreements between countries for the reciprocal promotion and protection of investments. However, according to the institutions, BITs have increasingly protected foreign investors, with the capital-exporting countries using the agreements to further their market liberalisation. “With the funds used in protection of these legal risks, then we can really begin to question whether it is necessary to sign them. If we cannot reject the BITs then we need to make sure they are free of ambiguity,” EcoNews Africa Edgar Odari said. Kenya has signed 19 BITs with countries including China, Finland, Germany, Iran, Japan, UK and Netherlands. Out of this, 11 treaties are in force. BITs with France and Switzerland expire on July 10 and May 26 respectively and will be automatically renewed. According to Odari, the Kenya- France treaty is in French language, capable of raising a legal implication. If the government does not submit a renegotiation deal, then the treaty will be renewed for 10 years. SEATINI's Uganda country director Jane Naluga said there is need to adopt the recently approved East Africa...

Uganda to host regional ministers’ summit on agriculture, trade

AGRICULTURE On the second day of May, Uganda will host a regional ministers' summit on agriculture and trade in Kampala. The three-day conference will take place at Speke Resort Munyonyo and is expected to feature delegations from Kenya, Tanzania, Rwanda, Burundi, DR Congo, Sudan, South Sudan, Ethiopia, Eritrea, Madagascar, Malawi and Mozambique. It has been organised by the agriculture ministry in conjunction with the Association for Strengthening Agricultural Research in Eastern and Central Africa (ASARECA). Other critical delegates invited for the summit include heads of regional economic communities; East African Community (EAC), Common Markets for East and Southern Africa (COMESA), Inter Government Authority for Development (IGAD) and representatives from the African Union (AU). Also invited are director generals of national agriculture research institutes from all ASARECA countries, development partners, private sector actors, farmers' organisations among many others. Agriculture minister Vincent Sempijja told reporters at the ministry headquarters on Tuesday that the summit is aimed at co-ordinating the generation of research solutions to challenges affecting agricultural sector such as the management of trans-boundary diseases such as cassava brown streak disease and maize lethal necrosis virus. "We shall also discuss how to co-ordinate and harmonise rationalisation of policies for cross-border trade in agricultural commodities and for exchange of agricultural commodities," he added. The summit has been organised under a theme 'Repositioning ASARECA for accelerated African agricultural transformation, and a sub-theme; Enhancing productivity, Resilience and Prosperity in Africa'. It is aimed at pulling a team of scientists in the region to work on...

TZ urged to ratify trade pact

Arusha. The African Union is reaching out to Tanzania over the African Continental Free Trade Area (AfCFTA) pact, which may come into force this year. “We have been engaging Tanzania and will continue to engage on how it will benefit by ratifying the agreement,” said Dr Halima Noor-Abdi, a senior trade expert with the AU Commission. She told reporters that the pact would come into force in July this year, efforts were underway to persuade more countries to ratify the agreement. The pact will come into force from July should two of the 22 countries, which have ratified it, hand in the instruments of ratification to the AU Commission. Tanzania is among more than 30 African countries that are yet to ratify the agreement alongside Burundi and South Sudan in the East African Community (EAC) bloc. Efforts to get a government response as to when Tanzania would append its another signature on the continental trade agreement proved futile yesterday. The minister for Industry and Trade Joseph Kakunda could not be reached for a clarification as are key stakeholders in the trade sector. However, a senior trade official in the ministry, Ombeni Mwanga, admitted in Arusha yesterday that governments were aware of “the unfinished work’. He made the remarks when he opened one of a series of workshops organised by the AU Commission to lay ground for the free trade agreement in the continent. Without commenting on the country’s foot dragging on the pact, the official stated: ”We are all aware...

Magufuli bemoans slow implementation of trade agreements between Malawi and Tanzania

Tanzania President John Pombe Magufuli has expressed concern over slow implementation of trade agreements between Malawi and Tanzania saying it has impacted trade and investment between the two countries. He expressed the concern Wednesday at Kamuzu Palace in Lilongwe when he held bilateral talks with Malawian counterpart President Arthur Peter Mutharika. Magufuli is on a two-day State visit to Malawi upon invitation by the Malawi leader. He cited the construction of a One-Stop Border Post at Songwe–Kasumulu border post whose Memorandum of Understanding (MOU) was signed in 2015 as one of the agreements whose implementation has been slow. He, therefore, called for speedy implementation to facilitate trade between the two countries. “There is need to redouble our efforts to boost trade. </span><span class="s1">There is need to improve border areas as well as improve efficiency of the border posts in order for us to experience improved trade and investment,” Magufuli said. He observed that transport and infrastructure are critical to trade and investment hence the need to improve border post efficiency. In a joint communiqué between the Republic of Malawi and the United Republic of Tanzania issued during the State visit, the two governments have reaffirmed the need to boost trade ties between the two countries. “To this end, the two leaders agreed to commence the construction of the One-Stop Border Post at Songwe – Kasumulu border post with immediate effect,” reads the communiqué in part. During the official talks, the two leaders discussed a wide range of bilateral, regional and...

We’ll improve business environment: minister

Dodoma. The government reassured investors yesterday that it would do everything within its means to improve Tanzania’s business environment, calling upon interested parties to join hands in the noble task of ensuring that the country attains its industrialisation dreams. Speaking during a seminar for Members of Parliament (MPs) here yesterday, the minister for Industry and Trade, Mr Joseph Kakunda, said Trade Mark East Africa (TMA) was one of the institutions that were doing a good job of helping Tanzania in improving its business climate. TMA, which organised the seminar, also made a presentation along with Tanzania Revenue Authority (TRA), Tanzania Food and Drugs Authority (TFDA) and Tanzania Ports Authority (TPA). TMA is sponsoring a number of projects that are meant to improve Tanzania’s business climate including the building of digital systems for the conduct of businesses. TMA has provided TPA with technical support in the rehabilitation of access roads to help reduce traffic congestion at the port of Dar es Salaam. Similarly, it has issued $5.3 million in support of empowerment of women entrepreneurs in Tanzania. The money is meant to empower women entrepreneurs in Tanzania by helping them to access the wider market across member states of the East African Community (EAC). Last year, TMA funded the design and roll out of the e-portal with a grant of $150,000 that seeks to ensure that the registration of foods, drugs, cosmetics and medical devises in Zanzibar is done online. Speaking here yesterday, Mr Kakunda said various initiatives by TMA will...

Trade bottlenecks could erode integration gains – EABC

EAST African Business Council (EABC) has gone a notch higher in resolving challenges facing the regional economies, with the launch of the regional programme on Public-Private Sector Dialogue (PPD) for Trade and Investment. Jointly launched by the EABC and TradeMark Africa (TMA), the project that spans from 2019 to 2023 aims at enhancing advocacy and dialogue on transport and logistics, trade facilitation, customs and tax, standards and Non-Tariff Barriers (NTBs) at regional and country levels. The five-year programme is said to extend beyond the EAC and incorporates the Common Market for Eastern and Southern Africa (COMESA), COMESA-EAC-SADC Tripartite Free Trade Area (TFTA) and Africa Continental Free Trade Area (Af- CFTA). “The Council is keen to enhance dialogue and partnership between the private and public sector, hence EABC will spearhead the programme in close collaboration with all national and regional sectoral private sector associations in EAC,” EABC Chief Executive Officer Peter Mathuki said. He noted that for businesses in the region to grow and expand within and beyond the EAC, there is need for technical and financial support to EABC to advocate and input substantive issues affecting the business community in regard to policy formulation and implementation. The Public-Private Dialogue can facilitate trade and investment climate reforms by promoting better diagnosis of investment climate problems, transparency and inclusive design of policy reforms, making policies easier to implement,” he disclosed. According to Mathuki, barriers to trading across borders like multiple product standard inspections and bureaucratic trade procedures, delay business transactions and increase...