Archives: News

Arusha to receive Sh22bn for road

Arusha. Over Sh22 billion is expected to be spent on improving a road in Arusha through phase two of Tanzania Strategic Cities Project (TSCP). Phase two of the project will also involve the improvement of the drainage systems, construction of a solid waste dam in Muriet and containers for the same. Arusha City Council director Athuman Kihamia made the statement recently in a press meeting called by the office of the regional commissioner. Mr Kihamia clarified that the project would be implemented in one year and three months under government and World Bank funding . Kihamia clarified further that phase two of the project for the 2017/18 financial year will involve the improvement of roads from Oljoro-Muriet, Njiro, Krokon, Ngarenaro, Sombetini, including Ngarenaro Primary School grounds. He named the project’s consultant engineer and supervisor as UWP Consult(T) Ltd and the contractor as Sinohydro Corporation Ltd, whereby a total of over Sh254 million would be spent as compensation in the project. However, Kihamia revealed that the main challenge in the project had been to remove debris from roads that were being renovated, explaining that in phase one they spent over Sh47 billion to construct roads measuring 22.09km in length, construction of Muriet dump and the installation of traffic lights at the junction of Friends Corner and Col Middleton-Esso roads. For his part, Arusha regional commissioner Mrisho Gambo lauded the move, saying despite being under the opposition, the government had been disbursing funds for various development projects without any descrimination. Some government...

Horn of Africa summit to discuss cross-border trade, security

Trade ministers from the Intergovernmental Authority on Development (Igad) member states will on Thursday meet in Mombasa to discuss how to improve cross border trade. The ministers are expected to consider the adoption of a regional policy framework to solve cross-border security challenges. The meeting will be held at the Serena Beach Resort & Spa. It will be presided over by Kenya’s Industry, Trade and Cooperatives minister Adan Mohamed, Igad Executive Secretary Mahboub Maalim and senior representatives from the African Union Commission. The Igad members are Kenya, Ethiopia, South Sudan, Sudan, Djibouti, Uganda, Somalia and Eritrea. Formed in 1986 initially to tackle effects of drought, the bloc grew both in size and mandate to be a forum for discussing other development issues such as cross-border trade, energy, transportation and migration. Source: The East African

Educate people about EAC

Many East Africans are largely ignorant of the East African Community (EAC) programmes and opportunities. The EAC secretary general, Ambassador Liberat Mfumukeko, admitted on Saturday that the six-nation bloc has not done enough to make people aware of its affairs. This calls for an aggressive approach to raise awareness if East Africans are to effectively tap into the opportunities it offers. There is so much to benefit from regional integration, but little is being done to prepare citizens. Poor feedback from the EA Legislative Assembly (Eala) members is seemingly the cause of the unawareness. The EAC has registered increased intra-regional trade – and we believe we can do better. Eala members should not relax; they have an obligation to raise awareness and enable the public to harness the integration opportunities. With a population of 170 million, the EAC has a huge potential for growth considering its abundance of resources and trade opportunities. It is high time our legislators acted proactively to inform the public on EAC activities. By the time $450 million infrastructure projects are completed, it is our expectation that majority of the East Africans will be involved in various intra-regional economic activities. Source: The Citizen

Promote science, tech for development, EAC urged

Kigali. Technology promotion and development can accelerate economic growth in East Africa if appropriately applied. Major beneficiaries will include the industrial and entrepreneurship sectors and assure employment to thousands of jobless youth. “Application of science, technology and innovation (STI) will also support other key sectors like agriculture and energy,” affirmed Dr Saidi Kibeya, the deputy executive secretary of the East African Science and Technology Commission (Easteco). He told visiting journalists from across the region that the institution, operationalised only three years ago, was geared to carry on its mandate with support from the partner states. “In so doing we are set to identify potential regional centres of excellence and create a network of industrial research and development institutions,” he said. The Kigali-based institution of the East African Community (EAC) will soon start to develop a protocol on intellectual property rights (IPR) for the region. Dr Kibeya, however, appealed for increased budget to enable the institution acquired adequate office space to cater for its expanding needs as well as enable it recruit more staff members. For the coming 2018/2019 financial year budget unveiled recently, Easteco has been allocated $ 1.6 million for its expenditure, trailing seven of the nine other EAC institutions. Speaking during the visit, EAC secretary general Liberat Mfumukeko said STI can transform the largely agro-based economies of the region into a competitive industrial zone. He said it was worrying that the region was consuming goods that were manufactured elsewhere “and by so doing exporting jobs that would ordinarily...

Kenyan maize farmers out of market

Traders trucked in 3.28 million bags of cheaper maize from Uganda in five months through May, fresh official statistics indicate, helping price out maize farmers from Kenya’s food basket regions. Data released by the Kenya Revenue Authority (KRA) shows 295,200 metric tonnes of staple maize was imported from the west-neighbouring country in the period, which was 47,610 tonnes more than what was bought in the whole of 2017 and 2016. Uganda accounted for 70.36 per cent of the nearly 419,548 tonnes of maize, an equivalent of about 4.66 million 90-kilo bags, which was was shipped into Kenya in that period. The rest of the maize was bought from Zambia (64,800 tonnes), Tanzania (56,245 tonnes), Mozambique (3,300 tonnes) and United Arabs Emirates (1.45 tonnes), KRA Commissioner for Customs and Border Control Julius Musyoki said in a report to legislators. There was no maize that was shipped in from Mexico where 584,095 tonnes (6.49 million bags) was bought last year, representing nearly half (44.36 per cent) of the 1.32 million tonnes that was imported to bridge a drought-induced shortage. The maize imports in the January-May period of the year were valued at nearly Ksh8.78 billion, Mr Musyoki told the National Assembly’s departmental committee on Agriculture and Livestock, chaired by chaired by Mandera South MP Adan Haji. The committee is investigating irregular purchase of maize by the National Cereals and Produce Board (NCPB) from traders at the expense of farmers. Maize from six-nation East African Community such as Uganda and Tanzania is exempted...

One stop centre inspection for completion in September

AN automobile inspection-One Stop Centre Inspection, which is currently under construction in Manyoni, is set for completion in September this year, officials said. The one stop centre is expected to easy goods transportation to the countries in the East African Community (EAC). The project’s resident engineer, NIMEA Consult (T) ltd’s Engineer Patrick Lutinya told the Deputy Minister for Works, Transport and Communications, Mr Elias Kwandikwa that they were optimistic to complete the project as planned. He said the project has been completed by 45 per cent. “We will not request additional time. We will surely deliver within time,” he added. The East African member states agreed for the construction of one stop centre for inspection to reduce trade barriers within the region. The Ugandan consignment shipped through Dar es Salaam port, for instance, was subjected to at least 30 inspection points before reaching its final destination. In March last year, the government in collaboration with the central corridor transit transport facilitation agency, (TTFA) kicked off the much-awaited OSIS in Manyoni. Similar project was launched at Nyakanazi in Kagera Region. The project is being executed by an Italian construction firm Ms Mantovani Group. Tanzania National Roads Agency (TANROADS) Singida Regional Manager, Engineer Leonard Kapongo said the cost of the project is pegged at 9bn/-. The entire OSIS project will cost 23 million Euros, comprising 21 million Euros by the Delegation of European Union Commission and two million Euros from Trademark East Africa (TMA) for feasibility study and construction supervision. Mr Kwandikwa...

Parks planned for women food processors

Dar es Salaam. Women food processors will now have places to market their products after Trademark East Africa announced a plan to construct food parks. Trademark East Africa (TMA) through its project with Tanzania Women Chamber of Commerce (TWCC) has announced a tender, calling for bidders for conducting a feasibility study on development of food parks in the country. The tender also seeking a transaction advisor to advise Tanzania Food Processors Association of Women Entrepreneurs (Tafopa) on the development of appropriate framework to develop the food parks. Food parks are comprehensive food processing aimed at establishing a direct linkage from farm to processing and then to consumers markets, through a network centres and primary processing centers. Earlier, Vice President Samia Suluhu Hassan said at the women food processing stakeholders meeting that industrial parks were underway through President’ Office –Regional Administration and Local Government. She made the remarks when responding to a demand raised by women food processors who asked to establish industrial parks furnished with modern process of equipment for them to increase productivity and compete locally and globally. Ms Hassan further explained that the government was working with district and regional councils to ensure that industrial areas and business premises are allocated. “We understand the challenges facing small and medium sized enterprise and we will work on them. We are also discussing with government to trim down taxes on entrepreneurs’ particularity food processors,” she said. Source: The Citizen

The costs of trade war

GENEVA – According to an old African proverb, “When elephants fight, it is the grass that suffers.” The same is true for full-blown trade wars: when major economies clash, developing countries will be among the hardest hit. On June 1, the US administration imposed import tariffs of 25% on steel and 10% on aluminum. The levies will affect not just China, but also Canada, Mexico, and the countries of the European Union. As Cecilia Malmström, the EU Commissioner for Trade, observed at a recent event held by the United Nations Conference on Trade and Development (UNCTAD), “We are not in a trade war, but we could be.” It is a situation that should concern everyone. We know from history that nobody “wins” in a trade war. Tariff hikes by major trading countries represent a reversal of efforts since the end of World War II to eliminate trade barriers and facilitate global commerce. Since the General Agreement on Tariffs and Trade took effect in 1947, the average value of tariffs in force around the world has declined by 85%. That is no coincidence; rather, it is the result of multilateral cooperation, and eight rounds of global trade negotiations, first under the GATT, and then under its successor, the World Trade Organization. Tariff reductions, together with technological advances, drove the extraordinary expansion of global trade that we have witnessed just in our lifetimes. In 1960, trade as share of world GDP stood at 24%; today it is nearly 60%. The expansion of...

Key Mombasa bypass opens up Kenyan Coast

President Uhuru Kenyatta opened the first section of the Dongo Kundu bypass constructed at a cost of Sh11 billion, which will ease the perennial traffic congestion at Kenya’s second largest city of Mombasa. The 10 kilometre bypass runs from the Second Container Terminal of the Mombasa Port and joins the Mombasa – Nairobi Highway at Bonje near Mazeras. The only available connection to the southern part of the Kenya’s coast was using the Likoni Ferry along the Kilindini harbour that is plagued by traffic congestion. “This road we are commissioning today is a unique piece of infrastructure. It is designed with provisions to integrate seamlessly with the Port of Mombasa, the Moi International Airport, the Standard Gauge Railway, the Nairobi-Mombasa Highway, and the upcoming Mombasa Northern Bypass,” said the President at Bonje where the launch ceremony was held. The bypass is part of a grand plan by the Kenyan government to open up Kenya’s coast with several key infrastructural investments. These include the expansion of Port of Mombasa and its link roads, the development of Standard Gauge Railway both for cargo as well as passenger terminal as well as the development of the northern bypass which links the Mombasa- Nairobi road with the north coast at Kilifi. These are major connections to the Lamu Port under construction as well as to Tanzania border in Lungalunga, a major trade and commerce border port. The bypass is designed to ease the huge traffic snarl-ups that have always affected movement of people and evacuation of...

Time to smell the coffee as African Free Trade Area takes off

"The best is the enemy of the good" is an expression associated with Voltaire. It just might have critical relevance for the relation between the African Continental Free Trade Area (ACFTA), the Common Markert for Eastern and Southern Africa (Comesa)-the East African Community(EAC) and the Southern Africa Development Community (SADC) Tripartite Free Trade Area (TFTA) and the regional economic communities (RECs) in Africa. But on June 8, 2018, Kenya deposited with Comesa Secretariat in Lusaka, the instrument of ratification of the TFTA, having ratified ACFTA as well and deposited the instrument with the African Union Commission. Both South Africa and Uganda were also taking the same approach of ratifying both. Just a year ago, it all looked impossible to many around the world that Africa could have a Continental Free Trade Area. But for some, this was de javu, for it was the same trepidation in 2015 just before the TFTA was launched on 10 June in Egypt. The TFTA was an African revelation, for it demonstrated the palpable possibility of and spurred strategists towards a continental equivalent. Having missed the deadline of December 2017, ACFTA was duly launched a mere three months later on March 21, 2018 in Kigali, with 44 out of the 55 African countries signing the Agreement on the spot. World history was made, despite entrenched skepticism rooted in pessimistic narratives about Africa but delighting and vindicating optimists around the world. There was some pending work though. Precise time frames were duly set. Annexes (with detailed...