In the past, the world was clearly split into developing and developed countries – with the latter boasting the most advanced logistics ecosystems. Today, the emerging markets of Africa are challenging this divide in the fields of transportation and logistics, and in some cases leapfrogging ahead of more mature markets. From a connectivity perspective these developments are giving rise to a new image of the future for Africa – one which is very different from today. Let’s explore three key highlights from a transportation and supply chain perspective and the implications for Africa in 2030. Open skies Owing to current aviation infrastructure in Africa (or the lack thereof), what should be a three-hour journey between Algeria and Cameroon, in fact takes 24 hours, with the flight touching down in Istanbul and Turkey en route. A single air transport market for Africa is key to unlocking the opportunities the continent presents. Today, transporting goods in and out of Africa, as well as within the continent, is prohibitive in terms of both time and cost. The restrictions it places on the movement of people also makes for a highly fragmented continent. A study by the International Air Transport Association (IATA) has forecast that if another 12 African economies opened their skies to each other, fares would become 35% cheaper, enabling 5 million more people to take to the skies, creating 155,000 new jobs and adding $1.3 billion to GDP. The benefits have been clearly witnessed in South Africa, where an agreement to...

South Sudan’s government said it will appoint six members of its parliament as representatives to the East African Legislative Assembly in an attempt to fulfil its obligations of becoming a full member of the regional bloc. South Sudan foreign affairs spokesman Mawien Makol Ariik, told Radio Tamazuj that once a membership fee of one million dollars is paid, the representatives will be sent to represent South Sudan at the regional parliament. “South Sudan government is almost becoming a full member in the East African Community and we just need to pay our membership fee. This month, we are expected to choose six members to represent South Sudan to East African parliament,” he said. East African heads of states agreed to admit South Sudan as its sixth member state last November during a summit in Tanzania. However, there have been concerns raised by South Sudanese after the government decided to join the East African Community which includes Kenya, Uganda, Tanzania, Rwanda and Burundi. Some claim that South Sudanese will benefit from the exemption of visa payment and educational services in the region, while others who are against the decision say South Sudan has little to offer the region. Source: Radio Tamazuj  

Arusha. The postponed summit of the East African Community (EAC) leaders will be held early next month as the region continues to be divided over the Economic Partnership Agreement with the European Union. The meeting of the heads of state, which was initially scheduled for Dar es Salaam yesterday, will be held in Arusha on April 6 following consultations between EAC secretary-general Liberat Mfumukeko with the leaders of the partner states. “The upcoming 18th summit is scheduled for Arusha on April 6,” affirmed the EAC boss in Nairobi on Friday last week after holding talks with Kenyan President Uhuru Kenyatta. During the 17th Extra-Ordinary Summit of the regional organisation held in Dar es Salaam last September, it was agreed that the EPA stalemate be tabled again during the meeting of the regional presidents early this year. Tanzania, which has spearheaded its rejection against the EAC-AU trade arrangement deal, was given until the following meeting of the EAC heads of state to decide whether to ratify the pact or reasons for the delay. EAC-EU-EPA negotiations started in 2002. It was not until 2007 that the framework agreement on tariff was finalised. The East African countries had committed to liberalise up to 82.6 per cent of imports from the EU by value. But the process was interrupted in July last year, when Tanzania, Burundi and Uganda declined to ratify the deal, preferring further consultations on economic implications. Officials of Customs and Trade Directorate at the EAC secretariat could not be reached to...

Dar es Salaam. President John Magufuli yesterday described the Economic Partnership Agreement (EPA) as a “form of colonialism”, dampening Tanzania’s possibility of signing the deal with the European Union (EU). “It is bad for our country,” Dr Magufuli affirmed. Addressing a joint press conference with visiting Ugandan President Yoweri Museveni at the State House here, Dr Magufuli disfavoured EPAs, which are aimed at creating a free trade area between EU and the African, Caribbean and Pacific Group of States. His Ugandan counterpart warned African countries that EPA might break up their unity. “It’s better if the signing of the deal is shelved until further consultations are made.” President Museveni arrived in Dar es Salaam yesterday morning for a two-day state visit. Dr Magufuli noted that after studying EPA he had realised that African countries would not benefit from it economically as its architects touted. He noted that terms included in the agreement were not intended to help African countries to grow economically. “I believe that our neighbour, Uganda, will second us for the betterment of our countries. We have discussed EPA for a long time but to me it seems like another form of colonialism… it is bad for our country,” he said. There has been criticism in other quarters that the non-reciprocal and discriminating preferential trade agreements offered by EU are incompatible with World Trade Organisation rules. President Museveni noted that the fact that many African countries had not signed EPA shows that the proposal was meant to create...

Non-compliance of regional trade agreements by Rwanda’s neighbours is taking a heavy toll on the nation’s earnings from cross-border trade. Legislators are concerned that informal trade with Burundi, Tanzania as well as the Democratic Republic of Congo, faces multiple barriers resulting in low export volumes to these strategic markets. A report tabled last week by parliament’s Standing Committee on Trade and Economic Affairs shows that while trade with DR Congo suffered as a result of the instability in the Kivu Province, Burundi and Tanzania have imposed restrictions intended to block Rwandan traders from accessing their markets. The highlighted practices are contrary to the provisions of the East African Community Customs Union as well as other trade agreements with regional trading blocs such as the Economic Community Great Lakes Region (CEPGL), which brings together Rwanda, Burundi and DR Congo. “We want the concerned authorities to address the issues we found,” said MP Adolph Bazatoha, who leads the committee that carried out an assessment at different borders. Mr Bazatoha said the issues had been forwarded to the Ministry of Trade, Industry and East African Community Affairs. Burundi is Rwanda’s second largest cross-border trade market after DR Congo, with agricultural and livestock products being the major commodities traded in informal transactions. However, trade with Burundi is carried out illegally after the government imposed trade restrictions with Rwanda. Worsening diplomatic relations with Burundi led to the closure of the border with Rwanda in July last year. Ties between the two countries deteriorated in 2015...

East African customs authorities have adopted an electronic system to track lorries travelling between Kenya, Uganda and Rwanda to speed up journeys. The trackers will allow officials and traders to monitor trucks travelling to and from the Kenyan port of Mombasa. A device will be attached to vehicles and is intended to help prevent hijacks and goods being tampered with. Uganda, which pioneered the project, says journey times could be cut from three-and-a-half days to just 36 hours. Detours detected The geo-mapping, known as the Regional Electronic Cargo Tracking (RECT), will apply to the main road stretching from Mombasa port to the Rwandan capital, Kigali, known as the "Northern Corridor". Officials will be able to monitor journeys on a map and be able to immediately detect any detours. About 90% of goods through the region are transported by road with the risk of cargo being targeted by criminals. Customs officials say drivers have also been known to take diversions and siphon off freight, for example offloading coffee and adding stones to make up the missing weight. "There has always been that unpredictable aspect of not knowing whether your goods will reach or they won't reach and that in itself is a very serious discomfort, now this will resolve that problem," Kassim Omar, chairman of the Association of Clearing and Forwarding Agents in Uganda, told the BBC at the launch in the Ugandan capital, Kampala. "The level of assurance guarantees the buyer abroad or the supplier from this end that what...

As the elections for the nine representatives to the East Africa regional body’s Parliament draw near, the candidates are spending most of the time at Parliament trying to solicit their support. There are six candidates from NRM, the ruling party, one from the Forum for the Democratic Change, one from UPC, one from DP and over 30 independents. As the elections EALA draw near, the candidates are spending most of the time at Parliament trying to solicit their support. As the elections for the nine representatives to the East Africa regional body’s Parliament draw near, the candidates are spending most of the time at Parliament trying to solicit their support. There are six candidates from NRM, the ruling party, one from the Forum for the Democratic Change, one from UPC, one from DP and over 30 independents. Janet Kenyangi Kikwaya (Independent) At 24, she is the youngest in the race Q: What motivated you to contest for the EALA seat? I have always been involved right from primary three at Margaret Preparatory School up to Senior Six at Kyeizooba Girls Secondary School. I look at politics as way of serving people.  Q: What do think has been lacking in EALA and which value would you intend to add there? EALA has signed a lot of protocols on peace and security, integration, non-tariff barriers; however, most of the protocols signed are not implemented. I will make sure that all the protocols and policies signed are implemented as well as deepening integration among...

The WTO’s Trade Facilitation Agreement (TFA) has entered into force, with supporters hailing it as the greatest single achievement in the organisation’s history. The ratification is a timely boost for free trade advocates, at a time when the populist protectionist rhetoric of US President Donald Trump has been dominating the debate. The TFA has been under discussion since 1996 and has been awaiting ratification since 2013. The process was slow, but at last, the WTO has a ratified agreement. The TFA standardises customs procedures among WTO member states, cutting costs and reducing the time it takes to export and import goods. The WTO forecasts that it will slash trade costs for members by 14.3% on average, boosting global trade by up to US$1tn per year. A 2015 study by the WTO estimates that the TFA would reduce time to market for imports by a day and a half, and two days for exports. This is a reduction of 47% and 91% for imports and exports, respectively. The study says that TFA will add 2.7% a year to world export growth up to 2030. This would equate to 0.5% of global GDP – a huge boost at a time when global trade growth is stagnating and the benefits of globalisation are under scrutiny. The TFA passed the required threshold of 110 members when Chad, Jordan, Oman and Rwanda submitted their instruments of acceptance, and the general consensus is that by streamlining trade facilitation, the developing world will be the biggest winner. “This would boost global trade by...

Mombasa — The East African Community (EAC) has reminded election monitoring bodies and media organisations in partner states to use its treaty in line with their respective countries' legal frameworks when managing and covering elections to maintain free and fair polls. The regional bloc has principles for election observation and evaluation based on among others, its treaty. The principles are based on international standards, Union Charter on Human Peoples' Rights and the African Charter on Democracy, Elections and Governance. The regional body made the statement during a three-day capacity building workshop for election monitoring bodies and other stakeholders to assess fairness of the political space and campaign playing field through media monitoring. Funded by the European Union (EU), the workshop is expected to equip stakeholders with full knowledge and skill in using media to get a firsthand and at glance assessment information in regard to political space and campaign playing field fairness. "Use the treaty as reference in the course of making the elections free and fair in the region," EAC's Deputy Secretary General (Political Federation), Mr Charles Njoroge, said yesterday. He pointed out that the media plays an indispensable role in the proper functioning of a democracy, and within an electoral context, the media is expected to play a transparency "watchdog" role. "If the media's role is vital in the normal course of events, exceptional periods such as elections can put its impartiality and objectivity to harsh test," he argued. Mr Gerard Guedegbe, media training expert based in Benin,...

The inefficiency of our public transport infrastructure, on which our neighbouring states of Uganda and Rwanda also depend, has long been a national embarrassment. For many years now, we have been told that it took a much shorter time to ship goods to the Port of Mombasa from manufacturing centres in the Far East, than to deliver these goods by road from Mombasa to Malaba on the Kenya-Uganda border. Now that “the trains have arrived”, which will run on the brand new standard gauge railway, all this embarrassment will supposedly soon end. This SGR project, however, is not universally celebrated. Eminent critics insist that there has never been a greater white elephant in all of East and Central Africa. And that it is something of an economic crime to burden the country with such massive debt, when there will be so little direct economic benefits to be received from this SGR. I have no strong opinion either way on this. But what I do know is that the ultimate value of giant infrastructure projects is to be found not so much in the project itself, but in the “multiplier effects” that should follow. The Kenya-Uganda railway, for example, was built back in 1900 primarily to “open up the interior” of East Africa: to facilitate the establishment of a modern agricultural economy through the arrival of “White Settlers” who would carve out of the African Savannah large plantations for growing the valuable cash crops of the day. This was very successful....