Uganda expects its export earnings to grow by at least 15 percent this year, helped by the removal of tariffs on sales to a regional trading bloc it joined this month, a government official said on Monday.
Uganda’s exports were virtually flat last year, totalling $2.89 billion, a notch up from $2.80 billion in 2012.
Emmanuel Mutahunga, executive director of the state-run Uganda Export Promotion Board (UEPB), told Reuters that Ugandan companies will no longer be subject to any duties when exporting to the 14 other Comesa member countries, which should improve competitiveness.
The government forecasts economic growth of 6.8 percent for the fiscal year ending in June 2015, up from a projected 6 percent expansion in the fiscal year that ended last month.
However, Ugandan exports took a hit when a conflict broke out in neighbouring South Sudan in December and trade ground to a halt. Uganda sells mainly food, beverages and construction materials to its northern neighbour, raking in $174 million last year from exports to South Sudan, according to UEPB.
Source: Reuters Africa
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