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Kenya access to Europe intact despite EAC hitch

IN SUMMARY Kenya will, however, not enjoy other benefits that come with the EPA until all East African Community (EAC) partners ratify the deal. Kenya will continue enjoying duty-free and quota-free access for its goods to the European Union (EU) even if neighbouring countries fail to approve the Economic Partnership Agreements (EPAs). Josiah Rotich, the chief trade development officer at the Trade ministry, said that Kenya will, however, not enjoy other benefits that come with the EPA until all East African Community (EAC) partners ratify the deal. Among the benefits that will remain pending is the rules of origin, a provision that allows Kenyan exporters to enjoy duty- free access to the European market despite their goods being made using raw materials sourced from other countries. “On the basis of Kenya ratifying the agreement, the country will continue benefiting from the duty-free, quota-free access for as long as we are still trying to sort ourselves out at the EAC level,” Mr Rotich said during a roundtable meeting organised by the Institute of Economic Affairs (IEA). “What Kenya is benefiting from the EU is market access only. All the other things in the agreement like rules of origin, the financial support, development component— we don’t benefit from that because so far the agreement has not been ratified by everybody else.” Kenya and Rwanda signed the European trade deal in September, but it needs approval from all members of the East African Community bloc — which also includes Burundi, Tanzania and Uganda...

Rwanda considers banning imports packaged in non-biodegradable

The Rwandan government is seriously considering imposing a ban on imported products packaged in non-biodegradable polythene material. “Goods that directly compete with what is on the domestic market will be restricted by the Rwanda Environmental Management Authority (Rema),” said Rwanda’s Minister of Trade, Industry and East African Community Affairs Francois Kanimba. He added that the decision would only apply to selected products since a total ban on imports packaged in plastics would be in violation of WTO trade systems, which forbid discriminatory restrictions on imports and exports. As it is, Rwanda Private Sector Federation has been pleading for the government to lift the 2006 ban on domestic manufacturing of non-biodegradable plastic saying that the ban raises production costs for local firms. Rwanda imports most of its goods and products from Uganda and Kenya as it’s manufacturing sector is small. Data from the central bank shows that Kigali’s trade balance with its East African partners averaged $260 million between 2014 and June 2016. John Bosco Kanyangoga, a consultant at Trade and Development Links in Kigali said the ban would need the approval of the EAC Council of Ministers. The East African Common Market Protocol and Treaty provides for import bans on grounds of health concerns, environment protection and security. Source: The Exchange

SADC, EAC and COMESA seek to implement Tripartite Free Trade Area

The 10th EAC-COMESA-SADC Tripartite Committee of Senior Officials for Trade, Customs, Finance, Economic matters and Internal Affairs meeting opened in Nairobi, Kenya on Tuesday to resolve issues that remain outstanding before the implementation of the Tripartite Free Trade Area. Delegates from 26 member countries of the three African regional economic communities (RECs) including East African Community (EAC), Common Market for Eastern and Southern Africa (COMESA) and Southern Africa Development Community (SADC) aim to resolve the issues that remain outstanding after the launch of the Tripartite Free Trade Area during a summit in Sham el Sheikh in Egypt June, 2015. Permanent Secretary Ministry of Trade Ambassador Julius Onen is leading the EAC Delegation. Onen noted that as a region, partner states have made progress on most of the outstanding issues and are ready to move forward with the finalization of the negotiations with other regional blocs. He informed the meeting that EAC had finalized all the tariff offers, however, some countries had not yet responded to the offers. It is now over a year since the Tripartite FTA was launched in Sharm El Sheikh, Egypt, however, member states have failed to agree on some issues including tariff offers, rules of origin, trade remedies and the ratification of the Agreement. Onen noted that Uganda is ready to ratify the TFTA Agreement as soon as all the outstanding issues are finalized so as to pave way for actual implementation, as the country stands to benefit a lot in terms of market access once implementation of...

East Africa: World Bank Report Faults Tanzania Tax System

By Alawi Masare Dar es Salaam — Tanzania has climbed up ease of doing business rankings, but the country is still lagging behind regional peers because of a complicated tax payment system, a new report shows. According to the Doing Business 2017 Report released yesterday, East Africa's second biggest economy adopted just one reform to improve aimed at improving the business environment. Tanzania is ranked 132nd, seven places up from its 139th position in last year's report. While the country has been credited for extending coverage of the credit reference bureau, the report notes that the government undermined this positive attribute by complicating the tax payment system. Tanzania is also performing poorly in trading across borders, protecting minority investors, resolving insolvency and registering property. Kenya and Rwanda undertook five and four reforms, respectively, to continue cementing their positions as East Africa's most reformed economies during the period under review. Uganda adopted three reforms, while Burundi made one improvement. No reform was reported in South Sudan, the newest member of the East African Community. Regionally, Tanzania is ahead of Burundi and South Sudan, according to the latest rankings. Doing business rankings are based on the average of how close each economy is to global best practices in business regulation. A high score indicates a more efficient business environment and stronger legal institutions. The report says that sub-Saharan Africa economies stepped up the pace of reform activity, with 37 economies undertaking a total of 80 business reforms in the past year, an...

East Africa: Every EAC State Now to Have EALA Office

By Zephania Ubwani Arusha — The East African Legislative Assembly (Eala) will open Chapter offices in the partner states for better coordination and efficiency. The offices at the capital cities of the East African Community (EAC) member countries will also ensure increased access by EAC nationals to functions of the Eala. The decision follows the adoption of a resolution moved by an Eala member from Kenya, Mr Abubakar Zein, during a recent session of the regional Parliament in Zanzibar. The resolution also avers commitment to enhancing interactions between the Eala and relevant institutions in the EAC partner states, particularly Parliaments. "The Eala needs to be pro-active and as it experiences challenges, it needs to come up with workable proposals to enable it to scale its services," said a lawmaker from Uganda, Ms Nusura Tiperu. However, an Eala member from Tanzania, Mr Abdullah Mwinyi, said there was a need to look for funds to establish the proposed Chapter offices in the EAC capital cities. He said due to the structure of the Parliament of Tanzania, there were no offices set aside in Dodoma or Dar es Salaam for Eala. Ms Dorah Byamukama from Uganda supported the move, suggesting that Eala members should utilise offices within the precincts of Parliaments of their respective countries. (TM) Source: All Africa

500-km road opens up trade in northern Kenya

In Summary "The trans-Africa highway from Nairobi to Addis Ababa has been a blessing to us," Mr Yatani told Lamu governor Issa Timamy, Nathif Jama (Garissa), Ahmed Abdullahi (Wajir) and Isiolo deputy governor Mohamed Guleid. On Monday, Mr Yatani who was praised by his colleagues for development including in livestock sector said the highway had eased movement of people and goods. The Isiolo-Merille-Marsabit-Moyale road is part of the Lamu-Port-South Sudan Ethiopia Transport (Lapsset) corridor funded by the government and the European Union at a cost of Sh13.7 billion. The building of the 500-kilometre Isiolo-Merille-Marsabit-Moyale road has opened up northern Kenya and boosted businesses, Marsabit Governor Ukur Yatani has said. Speaking when he received four governors from the frontier counties in his office on Monday evening, Mr Yatani said although no buses used to ply the route four years ago, there were now about 40. "The trans-Africa highway from Nairobi to Addis Ababa has been a blessing to us," Mr Yatani told Lamu governor Issa Timamy, Nathif Jama (Garissa), Ahmed Abdullahi (Wajir) and Isiolo deputy governor Mohamed Guleid. The governors are to be joined by Mandera's Ali Roba and Hussein Dado (Tana River) Tuesday for the launch of Frontier Counties Development Council. The economic bloc involving seven former marginalised counties has been hailed as a major milestone in developing the region. On Monday, Mr Yatani who was praised by his colleagues for development including in livestock sector said the highway had eased movement of people and goods. "Some of the buses...

New UK support for jobs, trade and investment to boost economic development in Africa

International Development Secretary Priti Patel pledges more help to create jobs, build livelihoods and support the poorest people in Africa to work their way out of poverty, during visit to Kenya. As the first Cabinet Minister to visit Africa since the UK voted to leave the European Union, the International Development Secretary set out her vision for UK aid in the continent and announced new support to boost economic development. With Africa now home to the world’s fastest growing population, Ms Patel set out the importance of generating productive jobs and sustainable livelihoods, opening up markets, stimulating economic growth and increasing business opportunities to make the most of a young, vibrant working population. This provides a better alternative to risking the dangerous journey to Europe or turning to extremism, therefore tackling migration and instability, which is firmly in the UK’s interests. New support includes: Launching a new Invest Africa programme to encourage at least £400 million of foreign direct investment into the most productive sectors – such as manufacturing – to create 90,000 direct and indirect jobs in Kenya and other African countries over the next decade. This builds on the UK’s role as the largest European investor into Africa. Providing £95 million over the next four years to increase Kenya’s trade by £1.3bn, building on the success of TradeMark Africa – founded by UK aid – in breaking down the barriers to trade. This will create hundreds of thousands of new jobs, stimulate further growth and generate additional revenue...

Priti Patel walks UK aid budget tightrope

Priti Patel is standing in the control tower of Mombasa port on the east coast of Kenya. Outside the windows she has a bird's eye view of the sprawling seaway, gateway for much of east Africa's trade. And the international development secretary is doing something that belies her reputation: she is nodding approvingly as she hears how British taxpayers' money is being spent helping a foreign country boost its economy. For this is the kind of aid that Ms Patel likes: bilateral, targeted and above all, easily measurable. You can count the freshly tarmaced roads, the newly built quays, the brand new scanners that her department are paying for to make it easier for goods to flow in and out of this port. And the aim is clear: to help support Kenya's economic development so that one day it can alleviate its own poverty without outside help. Yet there is another agenda here too. And it is very explicit. Ms Patel wants to use Britain's development muscle more explicitly in the UK's national interest. So she wants to use aid to try to slow the flow of African migrants to Europe. She wants to use aid to leverage post-Brexit trade deals and butter up potential allies in the World Trade Organization. And she wants British aid to be used specifically to foster stability and security where it can to stop bad people ending up on Britain's streets. Longstanding critic On one level this is a continuation of David Cameron's aid...

Aid must provide value for money, says minister Priti Patel

Priti Patel wants more "openness and accountability" with international aid Major multinational aid funding may be cut unless it provides better value for money, International Development Secretary Priti Patel has said. More than £4bn of UK aid goes to global organisations such as the World Bank. In an interview in Kenya with BBC diplomatic correspondent James Landale, Ms Patel also said that she wanted to use the aid budget to help pave the way for trade deals. She was speaking on her first visit to Africa since she was appointed. Ms Patel witnessed what some of her department's £12bn budget is supporting on the ground. She saw humanitarian aid being delivered, via a payment card that gives Kenyan women £20 a month from the British taxpayer to buy the food they need to survive. Spending better and wasting less She said: "We have to make sure that our aid works in our national interest and also that it works for our taxpayers. Much more openness, much more transparency and much more accountability." She is about to publish a review of the work of big multinational aid organisations that spend money on behalf of the UK, and said she would cut off funding if they did not meet new performance targets by spending better and wasting less. Ms Patel was on her first visit to Africa as international development secretary"The government's approach is focused on ensuring that we drive taxpayer value - so when it comes to multilateral organisations, focus on...

Uganda opens consulate at Mombasa Port

In addition to the High Commission in the Kenyan capital Nairobi, Uganda has opened a consulate in the coastal town of Mombasa at a colorful ceremony presided over by State Minister for Regional Cooperation, Okello Oryem. Because of the growing demand for consular services in Kenya, Margret Kafeero, the head of public diplomacy at the ministry of foreign affairs, said the new fully-fledged consulate would reduce the burden on the high commission. She said the single market protocol of the EAC and other trade policies following the integration had led to an influx into the port of Mombasa. There is anticipation that Uganda’s imports and exports will increase, which implies that the stakes are much higher for the country. “Nobody else will take care of our interests if not us,” she added. The consulate will be headed by Philip Tayebwa Katureebe who has previously served in India and other missions The post Uganda opens consulate at Mombasa Port appeared first on The Independent Uganda:. This post was syndicated from The Independent Uganda:. Click here to read the full text on the original website. Source: Nigeria Today