News Categories: Project News

East Africa’s exports recovered to pre-Covid levels: UN

Exports from most of the East African Community (EAC) member states recovered to the pre-Covid-19 levels by the third quarter of 2020, a United Nations report released said. The report by the United Nations Economic Commission for Africa (UNECA) noted that aggregate exports from the region declined to their lowest value in April 2020 but they started recovering in the ensuing months, the Xinhua news agency reported on Thursday. "In fact, in the third quarter of 2020, most of the EAC partner states' exports surpassed their 2019 levels," said the report that was developed jointly with TradeMark Africa (TMA) and the African Economic Research Consortium (AERC). The EAC partner states include Burundi, Kenya, Rwanda, South Sudan, Tanzania, and Uganda. The report which was virtually launched in Nairobi focuses on providing an analysis of the region's merchandise trade performance during this unprecedented period of disruption to global commerce. Anthony Mveyange, director of research and learning at TMA noted that a number of factors fueled the resurgence of exports. Mveyange said that Kenya experienced an increase in exports of manufactured products, especially in the industrial supplies and capital equipment sectors. He observed that Tanzania and the other landlocked countries in East Africa also witnessed a jump in processed and gold exports. "Thus the recovery in the regional exports does not hinge purely on mineral exports," he added. The findings indicate that imports into the trading bloc have also rebounded rapidly from the initial precipitous declines. The study also shows that intra-EAC trade...

Time to Redouble Efforts for Economic Diversification in East Africa

NAIROBI (IDN) — When the COVID-19 pandemic crisis started, most people were extremely pessimistic. They thought that the region would drown in terms of trade declining catastrophically. But a new report reveals that the East Africa Community economies — Burundi, Kenya, Rwanda, South Sudan, Tanzania, and Uganda — have, by global standards, proven to be relatively resilient. The report was launched on February 17 by UN Economic Commission for Africa (UNECA), TradeMark Africa (TMA) and African Economic Research Consortium (AERC). The Office for Eastern Africa of the UN Economic Commission for Africa (UNECA) serves 14 countries: Burundi, Comoros, Democratic Republic of Congo, Djibouti, Ethiopia, Eritrea, Kenya, Madagascar, Rwanda, Seychelles, Somalia, South Sudan, Tanzania and Uganda. TMA has its headquarters in Nairobi, Kenya, with operations and offices in EAC-Arusha, Burundi (Bujumbura), Tanzania (Dar es Salaam), Democratic Republic of Congo (Bukavu), Ethiopia (Addis-Ababa), Malawi, Zambia, South Sudan, Uganda (Kampala) and Rwanda (Kigali). TMA is an aid-for-trade organisation established in 2010, with the aim of promoting prosperity in East Africa through increased trade. It operates on a not-for-profit basis and is funded by the development agencies of the following countries: Belgium, Canada, Denmark, Finland, Ireland, Netherlands, Norway, United Kingdom, United States of America as well as the European Union. African Economic Research Consortium established in 1988, is a premier capacity building institution in the advancement of research and training to inform economic policies in sub-Saharan Africa. Entitled "Waving or Drowning? The Impact of the COVID-19 Pandemic on East African Trade", the report notes...

The UK Prime Minister’s Trade Envoy Theo Clarke Virtually Visits Projects Funded by the UK in Kenya

26th February, Nairobi - United Kingdom (UK) Trade Envoy to Kenya Theo Clarke has today virtually visited projects funded by UK government in Kenya among them the Integrated Customs Management System (iCMS), Regional Electronic Cargo Tracking System (RECTS) and Regional Electronic Cargo and Driver Tracking System (RECTDS) implemented in partnership with the Kenya Revenue Authority (KRA). Speaking during the virtual visit, attended by senior government officials and officials from TradeMark Africa (TMA), through which these projects were funded, the envoy underscored the special trade relationship between Kenya and the UK. Trade between the two nations was worth Ksh 79 billion in 2019 with the trade balance in favour of Kenya. Main Kenyan exports to the UK in the year were coffee, tea and spices at Ksh 18.6 billion (£121 million), vegetables at Ksh 12.1 billion (£79 million) and live plants mainly flowers at Ksh 8.3 billion (£54 million). The UK market accounted for 43% of total exports from Kenya as well as 9% of her cut flowers. British firms sold East Africa’s leading economy goods worth Ksh 125 billion (£815 million) mainly in machinery, pharmaceuticals, and automobiles. The UK is the largest European foreign investor in Kenya, with more than 100 British firms based in Kenya among them Vodafone, BAT, Diageo, Standard Chartered Bank, GlaxoSmithKline, ACTIS, Unilever and De La Rue. The UK Prime Minister’s Trade Envoy to Kenya, Theo Clarke MP, said: “I am pleased that during the day of my first virtual visit as the Prime Minister’s Trade...

IGAD and EU hand over of PPEs, lab test kits to Kenyan Gov’t

The Intergovernmental Authority on Development (IGAD), the delegation of the European Union to Kenya and the United Nations Office for Project Services (UNOPS) on Monday handed over of medical supplies to the Kenyan Government. The supplies are part of the EU-IGAD COVID-19 Response project in the IGAD region and consists of assortment of Personal Protective Equipment (PPE), Laboratory test kits for COVID-19 (25,056 tests), two standard ambulance, one advanced ambulance and a mobile laboratory worth 1.9 million Euros. “The EU has responded to us immediately after the IGAD Summit on COVID-19. We are aspiring to be very close to the communities. We thank the government of Kenya, our partners, the European Union, UNOPS, Germany Embassy, World Food Program (WFP), GIZ, International organization for Migration (IOM), Trade Mark East Africa (TMA) and all other partners working with IGAD. IGAD is working very closely with each and every one of you in different areas’, Dr. Fatuma said, on behalf of the Executive Secretary for IGAD Dr. Workneh Gebeyehu. She expressed her satisfaction in witnessing that the supplies meant to fight COVID-19 have reached the people they were intended to reach. They will be put in use at cross-border areas. Two ambulances and the mobile laboratory are expected in the country at a later date and will be handed over to the respective priority cross border site in the country. Similar events are planned at all the IGAD member countries. Others present during the official ceremony at the Kenya Medical Training College (KMTC),...

Boost for EAC green trade

DENMARK has committed to support green trade and the fight against the Covid-19 pandemic in the East Africa Community (EAC) region. The funding will be channeled through TradeMark Africa (TMA), a leading Aid for Trade Organisation renowned for partnering with Eastern African governments to reduce barriers to trade, through automation and adoption of sustainable physical infrastructures such as One Stop Border Posts (OSBPs) and ports, among others. In the two agreements, 14.5 million US dollars will support Kenya's efforts to transition to green trade and create sustainable jobs under the Denmark and Kenya Strategic Framework for 2021 to 2025. The second agreement of 3 million US dollars will support continued response to Covid-19 under TradeMark Africa's Safe Trade Emergency Facility Programme. Denmark Ambassador to Kenya, Mr Ole Thonke was quoted as saying that with the green trade funding (14.5 million US dollars), TMA will partner with government institutions and private sector in adopting sustainable and efficient transport, infrastructure for reduced barriers to trade, improving trading standards, sanitary and phytosanitary issues and improving business competitiveness. The new funding will build up on results that have been achieved in previous programs funded by Denmark, including support to non-motorised transport in the ongoing construction of Mbaraki Road in Mombasa, to include construction of storm water drainage facilities for climate change adaptation, installation of street lighting, construction of footpaths, walkways, and access ramps to enhance movement and safety of people living with disabilities. In automation, Denmark's funding will ensure that government agencies in partnership...

CNN’s Connecting Africa explores transport infrastructure across the continent

February 2020 – In the latest episode of Connecting Africa, CNN International’s Eleni Giokos explores how data and technology are transforming transport infrastructure across the continent. First up, Giokos visits the Kenya Standard Gauge Railway (S-G-R) to see how it is benefitting the import and export industry. Since it was launched in 2017, the S-G-R has moved more than four million tons of cargo along a vital transportation corridor connecting Naivasha and Nairobi with the Port of Mombasa. “Our whole transport system has been realigned. For the longest time, very little cargo was moving by rail, up to 95% of the cargo was moving by road. Suddenly, there has been a massive shift where for containerised cargo from Mombasa to Nairobi 60% of the imports are moving by rail. So, it’s a whole different way in which things are being done.” In a region with many landlocked countries, logistics costs can add up to 60% on the consumer price of imported basic commodities. Sharma speaks about the positive impact the S-G-R has had on reducing these costs, “Any intervention which reduces the cost of logistics in our region, makes a big difference to what the people in our region can achieve in terms of their health outcomes and educational outcomes, as well as, you know, to be able to save a bit more.” CNN’s Connecting Africa explores transport infrastructure across the continent Brandspurng In the future, the S-G-R project is planned to connect Mombasa to Malaba on the border with...

Data, tech drive Africa’s transport renaissance

Africa has been betting on data and technology to transform transport infrastructure which continues to boost trade and enhance integration. Since Kenya’s Standard Gauge Railway, SGR, was launched in 2017, it has moved more than four million tons of cargo along a vital transportation corridor connecting Naivasha and Nairobi with the Port of Mombasa. Abhishek Sharma, Senior Director of Transport at TradeMark Africa, in an interview with CNN International’s Connecting Africa programme explained how the railway has impacted trade at the port, “Our whole transport system has been realigned. For the longest time, very little cargo was moving by rail, up to 95% of the cargo was moving by road. Suddenly, there has been a massive shift where for containerised cargo from Mombasa to Nairobi 60% of the imports are moving by rail. So, it's a whole different way in which things are being done.” In a region with many landlocked countries, logistics costs can add up to 60% on the consumer price of imported basic commodities. Sharma speaks about the positive impact the SGR has had on reducing these costs, “Any intervention which reduces the cost of logistics in our region, makes a big difference to what the people in our region can achieve in terms of their health outcomes and educational outcomes, as well as, you know, to be able to save a bit more.” In the future, the SGR project is planned to connect Mombasa to Malaba on the border with Uganda and continue onward to Kampala....

The Giant Project Coming Up In Mombasa(PHOTOS)

The Kenyan government have continued to show commitment towards the betterment of it's country's citizens through employment of massive developments in the country. Infrastructural development has been a key agenda for the government of the day. Robust development of manufacturing sector in the country is one of the golden agenda of the Jubilee government. This was particularly meant to provide employment opportunities for the large number of youths in the country and at the same time acting as a means to increase the country's GDP. The government to realize this noble purpose is setting up a special economic zone in Mombasa. This is the Mombasa special economic zone. A special economic zone is an area in a country where different favourable and condusive economic regulations are applied to attract foreign direct investment. The project will sit on 600 acre of land in Miritimi and will form part of the Miritimi Industrial Complex. The county government is in partnership with the TradeMark Africa to undertake this noble purpose. The county in September last year received a loan of 36.39 billon Kenyan shillings from JICA towards the development of this project. Below are the artistic impression of this special area to be constructed in Mombasa county. Read original article

Denmark commits $17.5m to support trade in Kenya, EAC

Kenya has received a $17.5 million (Sh1.9 billion) support from Denmark to help promote East Africa regional trade and combat Covid-19 The funding will be channeled through TradeMark Africa (TMA), which works with governments in the region to reduce trade barriers through automation and setting up of the required infrastructure such as One Stop Border Posts (OSBPs). The Danish funding comes in two financial agreements with $14.5 million (Sh1.5 billion) funding Kenya’s efforts to transition to Green Trade and creating sustainable jobs under the Denmark and Kenya Strategic Framework for 2021 to 2025. The second agreement of $3 million (Sh33million) will support continued response to Covid-19 under TradeMark Africa’s Safe Trade Emergency Facility (Safe Trade) Programme. Under the green trade funding, TMA will partner with government institutions and private sector in adopting sustainable and efficient transport and infrastructure for reduced barriers to trade. It will also focus on improving trading standards, address sanitary and phytosanitary issues, and improving business competitiveness in Kenya. Government agencies are also expected to  partner with TMA on automation of systems to ease key trade processes and reduce use of paper and time taken to trade. The resolve for promoting inclusive economic growth is greater now as it has always been as Covid-19 pandemic has thrust most economies in the region and the world into a recession TMA chairman Erastus Mwencha Denmark’s support to TMA’s Safe Trade, that is being implemented in 10 countries, will enable continuous efforts to provide essential services at the region's key...

Uganda Investment Authority on steps to acquire free land in public Industrial Parks

Any investor intending to acquire land in Uganda’s industrial parks must have a registered company, an investment license, a comprehensive business plan, solid proof of financing and a sketch map of land utilization, officials of the Uganda Investment Authority have emphasized. Uganda Investment Authority (UIA) Director for Industrial Parks development Hamza Galiwango added that fulfilling the above conditions leads to an investor getting an initial lease of five years extendable to 49 years after completion of physical development. “A performance bond of 12 months is issued to enable the investor’s to take possession of site,” he said during a tour of the Kampala Industrial and Business Park (KIBP) by officials of the Uganda Investment Authority (UIA) recently. The Authority does not allow mortgaging without consent, neither does it allow change of shareholders at initial lease term and transfer without UIA consent,” he explained. He pointed out that eighty two industries are fully operational in all the government owned industrial parks around the country. These have created 45,000 jobs for Ugandans. To date, all the land in KIBP has been allocated to 311 prospective investors with 63 investors fully operational while 111 investors are in the construction stage. Currently infrastructure is being developed by the Lagan Dott Namanve Co LTD funded by UKEF to the tune of USD246m. “New technologies have been introduced in the industrial parks such as the Roofings Group rebar plant, QCIL HIV pill, GIS Transformer Company,” Galiwango said adding that the Authority has constructed 17 boreholes and...