Uganda’s government accused neighboring Rwanda of imposing an embargo on bilateral trade, the latest salvo in an escalating dispute between the two countries. Rwandan authorities blocked Ugandan exports to the country and introduced an export-permit system for Rwandan traders seeking to ship goods to Uganda, the Foreign Ministry said in a statement posted on government spokesman Ofwono Opondo’s Twitter feed. The “export of Ugandan goods to Rwanda have been prohibited by Rwanda authorities,” the ministry said, describing the export-permit system as a “technical non-tariff barrier” to trade. “In effect, this is a trade embargo on bilateral trade with Uganda.” The two East African nations have been at odds since last month, when Uganda accused Rwanda of blocking their citizens from crossing a border crucial to trade. Source: Bloomberg

There is general consensus among economists and politicians on the African continental that the African Continental Free Trade Area (AfCFTA) will have enormous economic benefits if it’s ratified and operationalized. The consensus was expressed at the 5th EPRN Annual Economic Research Conference held at Kigali Convention Center yesterday organized under the theme: Africa continental free trade area: challenges and opportunities. When this African market is fully operationalized, Rwanda’s export will increase by 22% and that of Uganda and Tanzania will increase by 21% while that of Kenya will grow by 10%, according to Dr. Andrew Mold, the officer-in-charge of United Nations Economic Commission for Africa (UNECA) Office for East Africa. As a result, revenue generated from these exports in the EAC according to this UNECA study will increase by US$1 billion, job creation will increase by between 0.5m and 1.9m and consumer welfare gain will increase by US$1.4 billion. Citing a study, Dr Mold added that at the moment, the East African Community as a block export 51% of its capacity while individual countries like Rwanda export 63% of its capacity, Tanzania 38%; Uganda 70%; Kenya 53% and Burundi 63%. This means that currently, none of the EAC member states export at full potential  -which will dramatically change when the continental free market comes into force as countries on the continental are expected to freely trade with each other more. To illustrate the effect of continental free trade on exports of countries, Dr Mold said that when a single market...

Uganda has refuted claims by neighboring Rwanda that it closed her borders leaving Rwandans stranded.   In a statement released on Wednesday, Hon.Sam Kuteesa the foreign affairs minister says since February 28th when the government of Rwanda released an advisory against the travel of its nationals to Uganda, flow of traffic from Uganda to Rwanda has been continuing normally.   The minister adds that 41 transactions have been processed at Cyanika border post, 85 at Katuna border ( for light vehicles that were being allowed to cross over) and 311 at mirama hills.   He however notes that exports from Uganda have been prohibited by the Rwandan government but authorities are only allowing goods destined for the Democratic Republic of Congo or other places through Rwanda.   He also blames the Rwandan authorities of banning the crossing over of vehicles carrying goods from Rwanda to Uganda, and introducing an export permit for those that intend to export goods to Uganda. "This is a technical and non-tarrif barrier to trade, to which there has been no successful applicant. In effect, this is a trade embargo on bilateral trade with Uganda" the minister warns.   Hon. Kuteesa reiterated that the Ugandan borders remain open and operating normally. "Government of Uganda is not restricting any movement of people and goods from Uganda into Rwanda. However, there have been anf remain restrictions on the movement of goods and people from Rwanda destinef for Uganda" he further warns.   He says that Uganda remains committed...

Kenya now sees the standoff as a threat to trade and regional integration The stand-off between Uganda and Rwanda is now proving to rattle Kenya as the East Africa economic powerhouse fears for a drop in trade volumes, in the wake of dwindling exports to her neighbours. Nairobi has now expressed concerns that a prolonged diplomatic row between the two hinterland states will hurt trade, a move that could also affect business at the Port of Mombasa which is a key entry and exit point for cargo traded along the Northern Corridor. The Northern corridor mainly serves Kenya, Uganda, Rwanda and Burundi with Uganda being the biggest transit destination for cargo imported through Mombasa. Uganda controls about 73 per cent market share of transit cargo at the Mombasa facility with motor vehicle units being among the top transit cargo. South Sudan accounts for about 10.6 per cent share, DR Congo (5.7%), Rwanda (3.3%) Tanzania (2.6%) and Burundi (1.1%). Uganda-Rwanda standoff The tiff between the two East Africa Community (EAC) member states has been simmering for years, but worsened recently when Rwanda closed its borders mainly the Gatuna border post. The Rwandese government cautioned its citizens against travelling to Uganda. The tension has also seen Ugandan citizen remain hesitant from making cross border movements, a move that has affected trade and day-to-day activities by locals living on either side of the borders. Both countries have traded accusation of interference with each other’s internal affairs where Rwanda has accused her neighbor of...

Citizens of Rwanda and Uganda are hoping that regional leaders from the East African region and beyond can intervene with a view of resolving the ongoing border and diplomatic standoff between the two governments. On Wednesday, Uganda’s foreign ministry issued a statement clarifying that it has not closed its border with Rwanda. The same statement however listed several actions that have been taken by Rwanda to frustrate movement of goods and people across their common border, including ; Rwanda has prohibited export of Ugandan goods to its country. Goods from Rwanda have been prohibited from crossing into Uganda. Rwanda has implemented a trade embargo on bilateral trade with Uganda. This is the latest installment of the border standoff that is two weeks old now. Rwandan authorities have repeatedly insisted that their common border with Uganda is open, explaining that the temporary restrictions at the main Katuna border crossing are to facilitate ongoing refurbishment of the border post. Rwandan authorities, including president Paul Kagame have however explained that the ongoing diplomatic tussle with Uganda, has been going on for two years now, hence recent actions including a travel advisory issued against Uganda. In this article, we look at the different government officials from both countries, who have issued statements about the standoff, and explore possible ways of resolving the dispute. Rwanda minister vs Uganda spokesperson on Twitter Following the restriction of border crossings at the Katuna on February 28, Uganda’s government spokesperson Ofwono Opondo and Rwanda’s state minister in charge of East...

Byavugiwe mu nama ya gatanu y’abashakashatsi mu by’ubukungu n’imikoranire y’ibihugu (regional integration), kuri uyu wa 12 Werurwe 2019 yateguwe n’umuryango ukora ubushakashatsi mu by’ubukungu, EPRN, hagamijwe kureba imbogamizi zigihari ngo isoko rusange ry’Afurika rizatange umusaruro ryitezweho ndetse no gutanga inama ku mitegurire yaryo. Dr. Andrew Mold, umukozi muri komisiyo y’umuryango w’Abibumbye yita kuri Afurika (UNECA), avuga ko amasezerano y’isoko rusange akoze neza, ibyoherezwa mu mahanga by’u Rwanda byaziyongera ku kigero cya 22%, ibya Uganda na Tanzania bizamuke ku kigero cya 21%, naho ibya Kenya bizamuke ku kigero cy’10%. Ibi ngo byatuma imisoro yakwinjira mu karere binyuze muri ibyo byoherezwa hanze yakwiyongeraho miliyari y’amadolari, imirimo mishya nayo yiyongere hagati y’ibihumbi 500 na hafi miliyoni ebyiri. Dr Mold yavuze ko kuri ubu ibihugu byo mu Burasirazuba bwa Afurika byohereza hanze 51% gusa by’ibyo byakabaye byohereza hanze, ni ukuvuga ko u Rwanda rwohereza 63% gusa, mu gihe Tanzania ari 38%, Uganda 70%, Kenya ikohereza 53% naho u Burundi bukohereza 63%. Dr Mold yavuze kandi ko igihe iri soko rizaba riri gukora kandi neza, bizatuma iyi mibare ihinduka cyane atanga urugero ko mu burayi igihe bwishyiraga hamwe, ubucuruzi hagati y’ibihugu bwageze hejuru y’ijana ku ijana, cyakora avuga ko ibi byose bisaba ko buri gihugu gishyigikirana umutima wose iyi gahunda. Haracyari imbogamizi Mu gihe hasigaye umwaka umwe ngo isoko rusange ry’Afurika (AfCFTA) ritangire gushyirwa mu bikorwa, u Rwanda ngo ruracyafite imbogamizi y’ibikorwaremezo bizarufasha kwinjira neza muri urwo rujya n’uruza rw’ibicuruzwa hagati y’ibihugu by’Afurika. Umuyobozi mu Rwanda w’Ikigo gifasha mu kongera umusaruro w’ubucuruzi mu bihugu by’Umuryango...

The Common Market for Eastern and Southern Africa is pushing member states to align their laws with the bloc’s regulations to abolish trade barriers. The bloc says that the Comesa Seed Trade Harmonisation Regulations will lead to increased seed production, supply reliability, enhanced trade and competitiveness of the seed sub-sector. The regulations give seed companies the impetus to invest in testing and trials targeting a bigger market of about half a billion people. Besides, it will eliminate duplication of trials, which often takes years, and enhance collaboration in research. Only seven countries of the 21 Comesa member states have harmonised their national seed regulations with the regional ones. These are Burundi, Kenya, Malawi, Rwanda, Uganda, Zambia and Zimbabwe. This push comes at a time when a new report by Netherlands-based Access to Seeds Foundation, which evaluates 22 leading seed companies, shows that two home-grown African seed companies top the 2019 Access to Seeds Index in the region for playing a key role in raising smallholder farmers’ productivity. The two, Kenya’s East African Seed and South Africa-based Seed Co, topped the index due to their broad portfolio of seeds. “Two African seed companies at the top of the ranking is no surprise, given their deeper understanding of the region and the challenges smallholder farmers face. It shows also that these relatively small seed companies are ahead of larger multinational in integrating smallholder farmers into their business models,” said Sanne Helderman, Access to Seeds Index senior research lead. Other East African companies...

Kenya’s President Uhuru Kenyatta made brief visits to Uganda and Rwanda on Monday amid long-running disputes between the two countries that has now threatened cross-border trade. Mr Kenyatta held private talks, first, with Rwanda’s President Paul Kagame before addressing the country’s national leadership retreat in Gabiro, where he emphasised on the importance of integration. His next stop, before his return trip to Nairobi, was at State House in Entebbe where he met President Yoweri Museveni. President Kenyatta’s visit comes on the back of Mr Kagame’s two-day trip to Tanzania, seen as a quest to firm up relations with Dar es Salaam and secure a trade route from the sea. Rwanda, a small landlocked country, is served by two major transport corridors — the Central Corridor that runs from Dar es Salaam through Tanzania’s heartland, and the Northern Corridor that runs from Mombasa through Kenya and Uganda. About 80 percent of Rwanda’s import cargo is handled through the Dar port, but its major exports — minerals, tea and coffee — go through Uganda to the port of Mombasa. However, souring of relations between Kigali and Kampala have been simmering for years now, and worsened late last month when Rwanda closed the Gatuna border post, its busiest. Integration In Gabiro, President Kenyatta said Kenya’s relationship with Rwanda “is probably the best” adding that: “The more we meet, the more we interact, the better we integrate as a people.” He urged for more engagement among the citizens of the two countries. “As governments, we...

Uganda and Rwanda’s relationship hit a new and worrying low last week when Kigali closed its main border with its neighbour. This move was the culmination of rising animosity over a few years now. Rwanda accuses Uganda of sheltering its dissidents, some of whom it has allegedly forcibly repatriated in the past. Meanwhile, Uganda accuses Rwanda of planting spies in its security apparatus several of whom it claims to have arrested or deported. These tensions were reflected in the war of words that erupted recently between the two presidents. “You can attempt to destabilise our country, you can do us harm, you can shoot me with a gun and kill me. But there is one thing that is impossible,” said Rwanda’s President Paul Kagame at a government retreat this weekend. “No one can bring me to my knees.” President Yoweri Museveni similarly declared: “Those who want to destabilise our country do not know our capacity. It is very big. Once we mobilise, you can’t survive.” A few weeks ago, Ugandan trucks had reportedly been stopped to border points, leading Uganda to advise traders to transit to Rwanda via the Democratic Republic of Congo (DRC), but last week crossings came to almost complete halt. Rwanda shut the border and advised its citizens not to travel to Uganda for safety reasons. This dramatic move has created huge disruptions to cross-border trade and people’s lives on both sides. Many Rwandans depend on Uganda for food and medicines, for example, while cargo porters and currency traders’ livelihoods have been put on hold....

The East African Community (EAC) has adopted a wait-and-see policy to the ensuing border dispute between Uganda and Rwanda as the arms investigative unit hits the ground running on a fact finding mission. The ongoing trade dispute has cast a shadow on the EAC cross-border trade relations as the Uganda’s largest border crossing with Rwanda — the Gatuna post — remain closed to traffic. “We have our directorates’ of customs and trade in both Rwanda and Uganda. We expect to file a report on the dispute in the next few days before engaging with the partner states,” EAC Secretary General Dr. Liberat Mfumukeko said. Mfumukeko, who spoke on Tuesday during a private sector roundtable on elevating the role of the sector in the EAC,  further warned of the disputes impact on cross-border business activities as is the case with the majority of non-tariff barriers (NTBs). According to the East African Business Council (EABC), the ongoing conflict has an effect resonating to beyond just the scope of the duos border points. “Any time there is a challenge with one border, it affects all the other borders. Our respective members have asked us to make our voices heard but we can only do this carefully. We need to understand what is exactly happening and the political issues involved,” EABC Chairman Nick Nesbitt told Citizen Digital. Uncertainties into the dynamics involved in the near-month long wrangle have left experts perplexed on the probable outcomes from a prolonged trade spat between the pair. Chief Executive...