The European Union (EU) has invested GH¢75 million (€6.2 million) to help boost the competitiveness of the country's exports on the international market. The investment, made in the last four years, focused on three main value chains which included cassava, fruits (mango and pineapple), cosmetics and personal care products. It was a contribution to the West Africa Competitiveness Programme (WACOMP), a partnership initiative between the Economic Community of West African States (ECOWAS) and the EU. The programme seeks to strengthen the competitiveness of West African products and to enhance the integration of ECOWAS countries into the regional and international trading system, including the African Continental Free Trade Area (AfCFTA) The EU Ambassador to Ghana, Irchad Razaaly, who made this known at WACOMP Ghana SMEs Product Exhibition in Accra yesterday, observed that the investment would help Ghanaian businesses to build  better access  and become more competitive in regional and international markets. “The EU has contributed around GH¢75 million to the programme, with the aim to boost the competitiveness of Ghanaian exports and support sustainable production and processing. “We are focusing on three main value chains: cassava, fruits (mango and pineapple), cosmetics and personal care products,” he said. The exhibition was held by WACOMP in partnership with the United Nations Industrial Development Organisation (UNIDO) for more than 50 EU-supported SMEs of fruits, cassava and shea butter products. Some of the firms that showcased their products included Unique Solution Farms, Ghana Home Foods, NyCa Pro Beauty, Leam Shea Products, Agape Cosmetics, Exotic and...

In Summary Expenditure on merchandise imports rose by 17.5 per cent to Sh2.5 trillion as the country’s trade deficit hit a new high last year, despite growing exports volume. Earnings from exports of goods grew by 17.4 per cent to Sh873.1billion in 2022, the Economic Survey 2023, released yesterday indicates. Kenya’s expenditure on merchandise imports rose by 17.5 per cent to Sh2.5 trillion as the country’s trade deficit hit a new high last year, despite growing exports volume. Earnings from exports of goods grew by 17.4 per cent to Sh873.1 billion in 2022, the Economic Survey 2023, released yesterday indicates. The growth in total exports was however not sufficient to offset the growth in imports, resulting to the widening of the balance of trade deficit to Sh1.62 trillion. This was up from Sh1.41 trillion in 2021, when the value of imports was at Sh2.15 trillion, which was a 30.9 per cent increase from Sh1.64 trillion in 2020. The high imports equally offset gains made in exports earnings which had grown 15.5 per cent to Sh743.7 billion, up from Sh643.7 billion the previous year. Last year, increase in import expenditure was largely on account of continued increase in imports of petroleum products, the government survey indicates, which amounted to Sh597.7 billion, accounting for nearly a quarter of the total import bill in 2022. According to the Kenya National Bureau of Statistics, there was an increase in expenditure on imports especially due to increased international prices of petroleum products, amid the continued weakening of the Kenyan...

What you need to know: Our wide-ranging activities have helped galvanize support from local and international organizations to assist women entrepreneurs overcome enormous challenges. Additionally, we have carried out strong advocacy for enactment of enabling legislation and policies. We have also established networks and marketing linkages in support of women traders. Uganda occupies a unique position within the expanded East African Community (EAC)– and so do its women. No other country has the singular honour of being completely surrounded by EAC members. This geographical truth gives Uganda the distinction of being at the centre of the region’s cultural and business agenda, presenting numerous opportunities for the country’s women entrepreneurs. Indeed, Kampala is already a bustling trade hub of sorts for the region. It serves not only as a transit point for trucks transiting to the farthest points of the EAC, but is itself an attractive source of textiles, agricultural products, and other goods for traders from Kenya, South Sudan, and elsewhere. Yet, even with these natural advantages, it is never smooth sailing with the vast majority of our women traders. Patriarchal, misogynistic attitudes and traditions consign our women to the bottom ranks when it comes to property ownership, perceived creditworthiness, bookkeeping skills, and as serious contenders for tenders and business opportunities. It is such circumstances that led to the founding of the Uganda Women Entrepreneurs Association Ltd (UWEAL). In the years since its formation in 1987, it has helped in breaking down the walls and barriers that prevented women from...

Addis Ababa, April 26, 2023 (FBC) – African Continental Free Trade Area (AfCFTA) agreement will serve as a significant source of income to Ethiopia and other African countries, Minister of State at the Ministry of Trade and Regional Integrations (MoTRI), Kassahun Gofe, said. Awareness creation training to stakeholders regarding the African Continental Free Trade Area agreement, the negotiation process and its further implementation has kicked off today in Addis Ababa. The training is organized by the Ministry of Trade and Regional Integrations in collaboration with Trade Mark Africa, it is indicated. During his opening remarks, the Minister of State for Trade Integrations and Export Trade Promotion, Kassahun Gofe, emphasized that AfCFTA offers massive significance to Ethiopia and other African countries as a source of income. He pointed out that awareness raising on AfCFTA will be delivered in all regions as it is of great benefit to the implementation of the continental agreement. Read original article

Tanzania and the Netherlands are among the countries with a long shared history of cooperation over more than 50 years. For several decades, we have witnessed the cooperation between Tanzania and the Netherlands taking a new shape where in recent years it has more shifted to trade and investment. Ambassador of the Netherlands to Tanzania, Wiebe de Boer in his interview with the Citizen newspaper at his office in Posta, Dar es Salaam said that the new strategy of cooperation concentrates on improving the enabling environment for business, stimulating the technification and export drive of the Tanzanian agriculture sector,      investing in logistics and in sustainable tourism. Emphasizing the issue, Ambassador de Boer highlights the visit of Queen Maxima in October, 2022 who came to Tanzania in her role as Special Advocate of the Secretary General of the United Nations for  financial inclusion. "During her visit, Queen Maxima held talks with President Samia, the Minister of Finance, the Governor of the Central Bank of Tanzania and other officials. Thanks to succesfull Tanzanian policies a lot of small entrepreneurs have succeeded in getting access to the financial sector and they discussed strategies to further improve this., " he explained. The embassy also works closely with the Tanzanian Startup Association (TSA) with the aim of stimulating the existence of a good  startup ecosystem which enables innovation, job creation, entrepreneurship, attracting investment and other benefits to Tanzania’s economy. Under such a focus, the embassy also supports the recently established Fintech Association, TAFINA To  support...

Stakeholders trading on cereals in the East African Community region have converged in Kenya for a two day meeting to brainstorm on issues affecting the sector in the wake of acute deficit of the commodity. The meeting that has brought governments officials, farmers and the business community from Kenya, Uganda, Tanzania, Rwanda, Burundi , Botswana, Zambia and DRC are set to propose ways of unlocking the bottlenecks and come up with interventions that will promote seamless grain food trade across the re to spur development. Speaking during the forum ,East African Grain Council (EAGC) Gerald Masila said that trading in the region is mostly informal with approximately two-thirds of food trade done through informal channels. Trade, he further said was not structured with multiple layers of value chain players, which leads to relatively high transaction costs, pricing is also not underpinned by market fundamentals and thus being highly speculative at all levels. “Solutions to local trade will have to look at issues such as regulations, logistics and also scale as this is the only way to bring down cost of trading locally and also get much more from local trade”, Masila said. He noted for example the reason maize importers in Kenya are not able to access white non –GMO maize that would help reduce the cost of “unga’ is  that globally there is more GMO maize produced than the non –GMO. “ The government allowed for duty free importation of maize to bridge the gap and to bring down...

Summary A number of African countries have enacted visa application process rules that could take up to more than 72 hours for one to get a visa. African states currently import $36.8 worth of logistics goods, from passenger freight and transport to parcel and courier services every year. The World Economic Forum expects an increase in intra-African freight demand of 28 percent, translating to additional demand for almost 2 million trucks. The umbrella bodies of the African Continental Free Trade Area (AfCFTA) private sector have called for the removal of visas and reduction of custom processes to ease movement of goods within the African continent. The African Business Council (AfBC) that brings together regional economic communities (RECs) decried inconsistent and inadequate freight and logistics at the borders saying they have long hindered intra-African trade. Speaking during the official opening of the AfCFTA Business Forum held last week at the Cape Town International Convention Center in South Africa, the AU Commission Deputy Chairperson Monique Nsanzabaganwa disclosed that so far, 47 member states had ratified the agreement but decried the existence of many non-tariff barriers to trade, especially transport logistics. “A number of instruments have been put before you to start trading under the AfCFTA, and these include the AfCFTA e-Tariff Book, the Rules of Origin Manual, the African Business Council, the Pan-African Payments and Settlement System (Papss), and the AfCFTA Dispute Settlement Mechanism, among others. All these instruments and tools are designed to ensure that legitimate business transactions thrive,” said Dr...

A United Nations report on the 30 biggest African economies has ranked Tanzania as the third fastest growing economy on the continent, with a projected growth rate of 5.6% in 2023. The report predicts that Cote d’Ivoire, the world’s largest cocoa producer, will register a growth rate of 6.5% for the same period, while Rwanda is expected to achieve a 7.8% growth rate due to successful technology-driven transformation and foreign direct investment. Although Uganda and DR Congo, East African Community partner states, are expected to register a modest growth rate, Africa’s economic growth is expected to fall from 4.1% registered last year to 3.8% in 2023. The report cites several factors, including falling exports and investor reluctance, for this decline. Moreover, North and Southern Africa, which have the largest economies on the continent, will see a fall in growth rate attributed to a major rise in global inflation, higher borrowing costs, and the impact of climate change. In contrast, the report indicates that DR Congo will register one of the fastest growth rates on the continent in 2023, due to increased mining activities. Tanzania’s ranking as the third fastest-growing economy in Africa is expected to attract more attention from investors, especially after the World Bank recently ranked it the 10th richest country in Africa based on overall gross domestic product. However, Tanzania is not among the 10 top economies on the continent based on purchasing power parity. Read original article

The real gains from any socioeconomic initiative are as good as the benefits they convey to the targeted beneficiaries. The same applies to the East African Community (EAC). Thus the leadership of the regional bloc owes its collective citizenry the duty of making known why it is potentially beneficial to them. The idea behind regional blocs—or regionalism, as those more inclined to scholarly exploits like calling it—is premised on a number of imperatives. Foremost among them are relative geographic proximity and shared cultural, economic and political objectives. The confluence of shared interests is a key rationale of the geopolitical ‘camaraderie’ that anchors the justification of regional blocs. Beyond shared interests and resources, the member states owe their citizens a range of dividends extractable from trade opportunities possible in the exchange of goods and services in the region. So what should be prioritised to maximise the benefits of the EAC? Four quickly come to mind. The first two are improving the environment for cross-border trade to thrive and boosting key infrastructure, particularly transport and ICT. The others involve taking a common view on matters macroeconomic for the region and sharing resources to enhance security and the whole slew of cross-cutting social services. An enabling environment has already been created for the free exchange of goods and services in the EAC to flourish. However, a lot more needs to be done to increase the movement of people, goods and services within the region. The 300 million-strong combined population is an asset we...

What you need to know: The AU Peace and Security Council held its 1144th open session, which was dedicated to discussions on integration of  women, peace and security agenda in the implementation of African Continental Free Trade Area. The council reaffirmed the critical role women traders play in the eradication of household poverty. The African Union (AU) Peace and Security Council has applauded African governments and its partners for launching initiatives empowering women cross-border traders. During its 1144th open session, dedicated to discussions on integration of women, peace and security agenda in the implementation of African Continental Free Trade Area (AfCFTA), the council reaffirmed the critical role women traders play in the eradication of household poverty. It, however, expressed concern that the gains made in unlocking the economic potential of informal cross-border women traders is under constant threat of being rolled back by conflicts in AU member states. “[The Council] notes with deep concern that women continue to be disproportionately affected in conflict and post-conflict situations, including the adverse impact faced by women traders,“ it noted in its communique released after the session. According to United Nations Conference on Trade and Development, informal cross-border trade represents up to 40 per cent of regional trade in Africa, with women being the largest shareholders. They constitute 70-80 per cent of the informal traders in the region. The informal economy is a major employer in Africa absorbing 30 and 90 per cent of total non-agricultural employees. In countries such as Benin, Tanzania and...