Tanzania will lose its market in Rwanda and Uganda if small scale rice farmers will continue to export a mixture of Asian and Tanzanian rice. The warning was issued by Rwanda after learning that there are businessmen who are purchasing cheap rice from Asia countries and mixing it with small proportions of Tanzanian rice before exporting it to Rwanda. “Rwanda has warned Tanzanian businessmen that any businessman who exports rice that is mixed with other sample, will be required to pay 75 percent tariff,” said Ikunda Terry, Country Programme Manager of Eastern Africa Grain Council. He was speaking at a meeting on Tanzania’s Rice Industry that focused on the threats and challenges, which was held in Dare s Salaam at the start of the week. The meeting was organised According to him, Rwanda has said it would continue to charge 75 percent tariff on Tanzanian rice that will be found to be mixed with other rice from Asian countries. He said the rise in tariff would hurt Tanzania’s economy as it would discourage farmers to export their produce since they cannot afford to pay the price. Elaborating, he said Rwanda has decided to impose the 75 percent tariff on Tanzanian traders if they determine that the rice has been mixed. The aim is to protect their domestic market and rice producers in the East African regional market. The East Africa Community (EAC) currently considers rice a “sensitive product” and levies a 75 percent tariff because East African rice producers are...
Rwanda cautions Tanzanian exporters not to spoil locally produced standard rice
Posted on: June 26, 2015
Posted on: June 26, 2015