Trademark East Africa has encouraged more government institutions that are directly dealing with different traders involved in export of products to consider joining the National Electronic Single Window System arrangement so as to cut on the cost of doing business for such traders and increase on the country’s foreign income earning. According to Frank Matsaert, the Chief Executive Officer of Trademark East Africa, this single window system has demonstrably reduced on the turnaround time especially at the border, enabling traders to increase volumes of their exports. “There are already 16 (sixteen) government agencies onto the system but we want that to increase to 30 (thirty) so that there much wider range of goods automated to get onto different markets quicker. It is very important to reduce the paper work in trade”, noted Matsaert. Prior to the introduction of this system, export trade was very cumbersome and as Stephen Magera, the Assistant Commissioner filed services at the Uganda Revenue Authority (URA) explains, there was a lot of time being wasted. “Somebody had to go to different agencies such as UCDA for coffee exporters to get the quality certificate which they would take to URA and attach to other documents as required to begin the export process”, said Magera adding that “in case of any query, one had to again physically drop the documents back to URA. This was costing a lot of time and money”. The National Electronic Single Window System is an online arrangement that allows traders to electronically submit...

Kenya is targeting to take over the Sh3.2 billion Pakistani tea imports market from India following a dispute between the two Asian countries that has seen tea from Mumbai blocked from accessing the neighbouring state. The East African Tea Traders Association (Eatta) says Pakistanis will have to fill the gap with tea from elsewhere due to the standoff, with Kenya — whose unsold stocks are growing — standing to benefit. Pakistan is the leading buyer of Kenya’s tea importing 40 per cent of the total produce in the country. “This could be of benefit to Kenya because Pakistani is the leading buyer of our tea and the differences India will see them seek more of the commodity from the country in order to bridge the deficit created by the stalemate,” said Eatta managing director Edward Mudibo. His sentiments were echoed by Kenya Tea Development Agency (KTDA) sales and marketing manager John Bett who said Kenya can benefit from the 16 million kilo gap that would be created by lack of Indian tea. However, Mr Bett noted that Kenya might not benefit much though if Pakistan rupee lose value against the dollar. “Tea is sold in dollars and if the Pakistan rupee sheds its value against the greenback, then it means our tea will be expensive there,” said Mr Bett. There has been tension between the two nuclear powers following the killing of Indian soldiers by suspected Pakistan-based militants. In the last financial year, Pakistan imported 184 million kilogrammes of tea...

The British high commissioner to Uganda Peter West has advised Uganda and Rwanda to resolve the current standoff between the two countries through dialogue. The tension between Uganda and Rwanda has been growing in the recent past and climaxed with the closure of the Gatuna and Chanika borders by the Rwandan authorities last week on Wednesday. At the time of the closure, the Rwanda Revenue Authority said the move was to pave way for the upgrading of the one stop border post at Gatuna. But while debate raged over the sudden decision, Rwanda cautioned its nationals against travelling to Uganda. Rwandan ministers accused Uganda of illegally detaining their nationals, enforcing the deportation of hundreds and denying others entry. Olivier Nduhungirehe Rwanda's state minister in charge of East African Community said that there are more than 40 Rwandan citizens languishing in cells controlled by the Chieftaincy of Military Intelligence (CMI). Similarly, Richard Sezibera, the Rwandan minister of Foreign Affairs and Cooperation also said that Rwandans are strongly advised not to travel to Uganda due to ongoing arrests, harassment and torture and incarceration without consular access. Uganda has however refuted the allegations saying the Rwandans under arrest are criminals just like others, arguing that no Rwandan has been targeted. Today, buses travelling from Kigali reported that they had been stopped from carrying Rwandan nationals from Kigali to Uganda. Those found with Rwandan nationals aboard were fined up to $5,000 (about Shs 18m). Rwanda also doubled the amount of tax levied on Ugandan...

As the border closure between Rwanda and Uganda entered day six on Monday, the Uganda Revenue Authority revealed that it was taken by surprise by Rwanda's action, and that pleas to Kigali to find a quick solution to the crisis went unheeded. A March 2 letter by the Commissioner for Customs at URA Dicksons Kateshumbwa to his Rwandan counterpart revealed the scale of the crisis. "Whereas the rationale and spirit behind the decision is appreciated, it would have been more appropriate to undertake the measure as a joint decision, considering the fact that the affected borders are OSBPs (one-stop border posts) where either side is interdependent on the other," said Kateshumbwa. "Besides, a decision of this nature would ideally give ample time to the stakeholders to enable adjustments to be done so as to comply and in the case of customs to rationalize manpower so that we facilitate trade smoothly. In this particular case, the implementation of the decision was done on the very day of notification." Mr Kateshumbwa said most of the stranded cargo had already been cleared under the Single Customs Territory. "We have a clogged Gatuna border post with 10 Rwanda registered trucks, 49 Uganda registered trucks, 37 Kenya registered trucks and nine Burundi registered trucks all carrying mixed goods," he said, adding that some of the trucks are carrying perishables while 17 of the Kenyan registered trucks are carrying petroleum products. "Therefore, considering the potential risk of these highly flammable products as well as the potential...

It’s almost two years now since Rwanda-Uganda relations started escalating to worrying levels. This culminated to Rwanda’s decision to “strongly advise its citizens not to travel to Uganda due to ongoing arrests, harassment, torture, illegal incarceration without consular access, deportation, etc., of Rwandan citizens” as tweeted by the country’s Foreign Minister, Dr Richard Sezibera. He added that: “This is for their [Rwandan nationals] own security. Ugandans in Rwanda or travelling through Rwanda are safe.” Why this decision and why has Rwanda taken this long to act? There was a time when Rwanda-Uganda relations could be described as being characterised by “tensions.” This was even prior to Uganda starting to arrest and torture Rwandans. Once these acts began, the situation could no longer be described as one of mere tensions. These were acts of outright aggression. Indeed, as long as the other side did not react in a similar vein, then the right description could be said to be that these were Ugandan provocations towards Rwanda. But why wasn’t Rwanda retaliating in similar coin and equal measure against Ugandans in Rwanda, and why has it circumvented this temptation, instead advising its citizens to avoid travel to Uganda? The answer is that, like all provocations, it represents a trap. The appropriate counter to such a trap is, moreover, to side-step it, denying the provocateur what they seek to further the aims for which they set the trap in the first place. It is only by grasping what this trap by the Ugandan...

The Africa Continental Free Trade Area (AfCFTA) signed in March 2018 aims to establish a single market across the continent. This challenge is also an opportunity to extend the provision of regional public goods beyond hard infrastructure. Peace and security, mining, and energy are such examples covered in the Africa Economic Outlook 2019. Until now, evaluation of the progress of integration across Africa has centered on the eight African Union-recognized Regional Economic Communities—and seven other economic organizations—all primarily aimed at deepening intra-regional trade. But regional integration has always been about more than an exchange of market access and cooperation. At the very least, there is always a need for rail, road, and other means of communication. In its assessment of progress and prospects for the recently signed African Continental Free Trade Area (AfCFTA), the Africa Economic Outlook 2019 concentrates on the progress of cooperation to develop regional public goods. A tally of regional organizations dealing with regional public goods shows that five deal with energy, 15 with the management of rivers and lakes, three with peace and security, and one with the environment. The key distinctive feature of regional public goods is that, unlike national public goods, no single body with the authority of a state exists to ensure the supply of the good. Since all Regional Economic Communities have more than two members, some collective action is necessary to provide these regional public goods. Governance (implementing shared standards and policy regimes) is the intermediate public good necessary to generate the desired regional public goods:...

Rwanda has been cited as one of the emerging economies to look out for in 2019, at the ongoing One on One Conference by EFG Hermes, a leading financial services corporation in Frontier Emerging Markets (FEM). The summit, which is underway in Dubai, United Arab Emirates, convenes executives from over 180 African companies representing 26 countries who are meeting more than 500 investors representing 260 institutions and family offices, managing an aggregate USD 11 trillion in assets under management. Rwandan firms present at the summit include BK Group PLC, Mota Engil and DP World. At the summit, the firms stand an opportunity to attract affordable capital. Ali Khalpey, Chief Executive Officer of EFG Hermes Frontier, said that opportunities are arising in countries such as Rwanda, which are expected to be among the top 10 markets for growth in 2019 thanks to innovative power generation and infrastructure projects. “Year on year, we are witnessing increased participation of African companies in our flagship conferences…Investors are seeking opportunities that are expected to arise in key African markets…At the same time, opportunities are arising in countries such as Ethiopia and Rwanda, which are expected to be among the top 10 markets for growth in 2019 thanks to innovative power generation and infrastructure projects. Kenya is making the reforms necessary to boost growth while Ethiopia has appointed a commission to explore opening up a stock exchange and all the needed regulatory frameworks and structures,” Khalpey said. Since entering Sub-Saharan markets, the summit has played a...

President Uhuru Kenyatta and his host Ethiopian PM Abiy Ahmed during the celebration of the historic defeat of colonial forces byEmperor Menelik II in 1896 near the town of Adwa. /PSCU President Uhuru Kenyatta has asked African leaders to prioritise and fast-track integration processes for the continent to achieve faster development. He said the current crop of leaders need to follow the legacies of the founding fathers of African countries by uniting people. Uhuru spoke last evening at the Presidential Palace in Addis Ababa, Ethiopia, during a state dinner hosted in his honour by Prime Minister of Ethiopia Abiy Ahmed and President Sahle-Work Zewde. President Uhuru called for the removal of all systemic barriers that hinder the blossoming of people-to-people relations in Africa. "We need to build on the warm relations that exist between our governments to include our populations so as to foster people-to-people interactions," the Head of State said. Uhuru also said for Africa to defeat ignorance, disease and poverty, Africans must work together as good neighbours and loving brothers. "Our people should be let to travel throughout their continent freely without any hindrances. We are all brothers and sisters with a common heritage as Africans," he said. The President commended the Ethiopian leadership for the progress being experienced in the country. He said Kenya is keen on participating in the planned regeneration of Addis Ababa into a modern African city. Uhuru said it doesn't make economic sense for Africans to keep spending resources needed to develop the...

On the eve of its ratification in Ethiopia, the African Continental Free Trade Area (AfCTA) has moved closer to its implementation phase with expert’s discussion held in Gabon to review the guidelines for preparing implementations. The AfCFTA, which was adopted by the African Union in Kigali, saw more than 50 member states signing the Kigali Declaration and the Free Movement Protocol exactly a year ago. Now, the number of countries that ratified the CFTA has reached 19, leaving the AU only with 3 countries to launch it. The discussion in Gabon reviews current production and trade within a national and regional context, the identification and prioritization of opportunities for value chain development; a thorough analysis of constraints, including no tariff barriers and competitiveness issues faced by businesses and means to address them and the like. The development of the plans is supported by the African Trade Policy Centre (ATPC) of the United Nations Economic Commission for Africa, UNCTAD and the European Union. According to African Union’s report on the possibilities the CFTA carries, it says that, “The AfCFTA will bring together all 55 member states of the African Union covering a market of more than 1.2 billion people, including a growing middle class, and a combined gross domestic product (GDP) of more than USD 3.4 trillion. In terms of numbers of participating countries, the AfCFTA will be the world’s largest free trade area since the formation of the World Trade Organization.” According to the UNECA, the CFTA is said to...

Local producers are turning to the West African market in a new strategy that could enhance and increase the country’s exports, Sunday Times has learnt. In this new export promotion strategy spearheaded by the Private Sector Federation, the first consignment landed in Congo-Brazzaville last Monday with more cargo expected in the West African country this week. “The whole idea is about how we can facilitate our members to access foreign markets,” Stephen Ruzibiza, the Chief Executive Officer of Private Sector Federation said. “West Africa is a virgin market for Rwandan products and our strategy is to look for more markets in order to increase our exports.” Under the Joint Exporters Group Ltd (JEG), the company buys products from local producers for export and this is expected to address impediments encountered by exporters. The new company – owned by exporters – is supported by PSF specifically to facilitate exports. Under JEG, the initial visit last year to ascertain the market feasibility was conducted by PSF Chairman Robert Bafakulera, Ruzibiza and others to Brazzaville and Pointe Noire Port, the only sea port of the Republic of the Congo, with different Business meetings held between Rwandan and Congolese exporters. Ruzibiza said that although they started with Congo-Brazzaville, the target is to expand to other West African countries. With the organisation and support of the Private Sector Federation of Rwanda, a trade mission was organised and conducted in Brazzaville last year to ascertain export market possibilities for Rwandan products. The delegation led by Bafakulera...