News Categories: Uganda News

East African Community launches €1.6 million climate change programme

The intra-Global Climate Alliance Plus (GCCA+) Programme on supporting Climate Change Adaptation and Mitigation Actions in the East African Community has been launched at the EAC Headquarters in Arusha, Tanzania. The European Union (EU) is providing funding to the tune of 1.6 million Euros for the four-year project which commenced in July 2019 and runs up to June 2023. The project which was launched by the EAC Secretariat in collaboration with the EU will, among other things: support EAC Partner States in addressing different climate change challenges; reviewing and updating their Nationally Determined Contributions (NDCs) for the effective implementation, and; developing community based climate change initiatives that will have tangible impacts on local communities. In his opening remarks, the Chairperson of the Meeting, Eng. John B. Kizito, on behalf of the Ministry of Foreign Affairs and International Cooperation, Rwanda thanked the EU for its support in enhancing the capacity of the EAC region on climate change, strengthening the implementation of climate change actions, the Paris Agreement and regional capacity to access climate change funding. Eng. Kizito cited some of the challenges posed by climate change in the region and echoed the need to take concerted measures in strengthening resilience while adopting low carbon and sustainable development pathways. The EAC Deputy Secretary General in charge of Productive and Social Sectors, Hon. Christophe Bazivamo, who represented the Secretary General, reiterated the EAC’s commitment to mitigate the impacts of climate change, adding that the Community had developed EAC Climate Change Master Plan (2011-2031),...

East Africa bloc pledges to cooperate to curb tax revenue loss

The East African Community (EAC) member states on Thursday pledged to enhance cooperation in order to curb tax revenue losses. Patrick Mukiibi, commissioner of tax investigations department, Uganda Revenue Authority told Xinhua in Nairobi that the exchange of information in the economic bloc is critical to boosting domestic resource mobilization. “The overall aim of joint investigations is to boost the tax compliance rate which has a positive effect on tax authority revenues,” Mukiibi said during the East Africa regional meeting for commissioners of investigation and enforcement. The meeting brought together tax investigation commissioners from Kenya, Uganda, Rwanda, Burundi and Tanzania to discuss ways of detecting and combating tax evasion and tax crimes in the region. Mukiibi said that enhanced collaboration is necessitated because companies in the region have set up subsidiaries in other partner states. “It is also important to work together in order to learn lessons from each other given that different countries have developed different capacities and competencies,” he added. According to the Ugandan tax official, optimum regional cooperation will require that some national laws be amended in order to ensure a harmonized domestic tax regime. David Yego, commissioner of tax investigations and enforcement at Kenya Revenue Authority said that sharing of intelligence across the trading bloc will ensure that tax fraud and evasion that is committed across borders are detected and those found culpable are prosecuted. Source: CGTN Africa

Crossing closed: How women on the Uganda-Rwanda border are coping

Uganda and Rwanda are embroiled in an ongoing diplomatic row that has seen major border crossings between the countries closed since late February. Caught in the crossfire are women whose livelihoods depend on the free movement of goods, services and people across the Uganda-Rwanda border. In June, three civil society organisations filed a lawsuit on behalf of women traders against the Rwandan and Ugandan governments, alleging that the border closures infringe on multiple provisions of the 1999 Treaty for the Establishment of the East African Community - including violating the economic rights of women to engage in trade. Hopes for improved relations were raised on August 21, when the presidents of both countries signed a memorandum of understanding (MOU) aimed at ending months of tensions. But the two countries aren't planning to discuss the thorny issue of the border until at least mid-October. In the meantime, women who rely on cross-border trade to make a living are struggling to get by. Al Jazeera visited the border town of Katuna to find out how they are adapting to these trying new circumstances. Source: Aljazeera

Comesa to formalise small scale cross-border trade

The Common Market for East and Southern Africa (Comesa) has launched two projects aimed at formalising cross-border trade among small scale businesses. The move is expected to enhance Malawi’s exports under the block. This follows the inaugural meeting of the projects steering committee which began on Monday in Lusaka, Zambia. The first project is a €15 million Regional Small-Scale Cross Border Trade Initiative (SSCBTI) while the second is a €53 million Trade Facilitation Project, both funded by the European Union (EU) under the 11th EU Development Fund. The Trade Facilitation Programme aims at increasing intra-regional trade flows of goods, persons and services by reducing the costs and delays of imports and exports at specific border posts. It is expected that this will be addressed through reduction of non-tariff barriers, implementation of digital Free Trade Area, World Trade Organisation Trade Facilitation Agreement, improvements of the Coordinated Border Management and liberalisation of Trade in Services and free movement of persons. A statement from Comesa says implementation of the two projects is expected to contribute to higher revenue collection for governments at the borders, increased security and improved incomes for traders. “The SSCBT initiative is designed to address challenges facing small scale traders which include high transactions costs arising from delays at the border, high taxes and high transport costs; corruption and harassment among others,” reads the statement in part. Spokesperson in the Ministry of Industry, Trade and Tourism, Mayeso Msokera, said the development is expected to boost government’s revenue and trade for...

Amendment to EAC Customs Management Act in offing

A proposal to amend the East African Community (EAC) Customs Management Act, 2014, to extend the time for removal of bulk containerized goods from the ports of discharge, is in the offing, in a move likely to reduce the cost of doing business in the region. In the regard, the Assembly has granted EALA legislator Abdikadir Omar Aden, leave to introduce a Bill to amend section 34 (5) of the existing Customs Management Act, 2014, to realise the above objective. With it, the Assembly further adopted a motion to amend the Act, when it received support yesterday. The Motion moved by Mr Aden, Chair of the General Purpose Committee and seconded by Dr Abdullah Makame, was moved under Article 49(1), 59(1) and Rule 26 of the Rules of Procedure of the House. At the moment, under the existing Act, the entry of cargo is required to be made within twenty-one days from the date of discharge of the vessel failing which the goods contained in the cargo begin to attract a charge or demurrage. However, Hon Aden avers that extending the time for removal of large consignments from the port of entry would eliminate demurrage charges and hence goods more affordable and allow for longer storage period to facilitate clearance. In the EAC, all cargo coming in to the region enters through the designated ports but mainly through the ports of Dar es Salaam in the United Republic of Tanzania and Mombasa in the Republic of Kenya. “I am concerned...

EA private sector eyes AFCFTA

THE East African Business Council (EABC), in partnership with East African Community (EAC) and USAID support has convened over 38 industry champions and business leaders from the region to discuss opportunities of the African Continental Free Trade Area (AfCFTA), tariffs, rules of origin and trade in services. The EABC Chief Executive Officer (CEO), Peter Mathuki said in his opening remarks in Arusha yesterday that, “We need more public-private dialogue and involvement of the private sector in the negotiations of the AfCFTA at national, regional and continental levels,” He urged the EAC Partner States to eliminate barriers to trade, improve infrastructure and enhance regional value chains through manufacturing to harness opportunities availed by AfCFTA. He appreciated Rwandan President and the Chair Emeritus of the African Union and current Chair of the Summit of EAC Heads of State Paul Kagame President for championing the 1.2 billion continental markets. “Given that commencement of trading within the AfCFTA is slated for 1st July 2020, the East African private sector is steadfast in setting pace of the AfCFTA negotiations. EABC is in close discussion with the African Union and has offered to host the first-ever African Business Council in East Africa,” he said. In his remarks, Mr Christophe Bazivamo, the EAC Deputy Secretary General for productive and social sectors reiterated EAC’s commitment to work in close partnership with the private sector. “The world is targeting the Africa market, what are we targeting as East Africans?” said Bazivamo. He further said the EAC has agreed to...

International Coffee Day: Did you know Uganda is Africa’s leading coffee exporter?

Did you know that Uganda is the Birthplace of Robusta Coffee? Robusta is 80 percent of the country's total exports of 4.6 million (60kg) bags. Uganda is Africa's leading Coffee exporting country and second largest producer on the continent. Currently Uganda produces about 4.6 million (60kg bags) valued at about $500m. Coffee employs 5m Ugandans majority of who are women. Today, Uganda joins the rest of the World to commemorate October 1st -International Coffee Day. The 2019 International Coffee Day will be held at the Ankole Coffee Producers’ Cooperative Union (ACPCU) premises in Kabwohe, Sheema District on October 4. There will be a few presentations made but much emphasis will be put on Domestic Coffee consumption campaigns to promote local consumption and awareness among communities about coffee and its health/medicinal benefits. Organizations will present their products and services in an exhibition running currently with a panel discussion on the day. Organizations and networks specifically targeted at community building and those established by community members are highly encouraged to attend. The exhibition provides a unique opportunity to exhibitors to display the best coffees and affiliated services providing many opportunities to network with stakeholders from the entire coffee fraternity. This will be the perfect platform for gathering valuable coffee information, building trade relations and buyer and seller interaction. Africa is the cradle of coffee and is a producer of some of the best coffees in the world. However, social, economic and political problems can hinder its development. For Uganda, the country's political...

WTO lowers global trade growth forecast

The world’s trade is expected to grow at a much slower pace this year and next year than previously anticipated. This is blamed on the “escalating trade tensions” and uncertainties around Brexit, according to the World Trade Organisation (WTO). World trade in merchandise is expected to expand by only 1.2 per cent this year, less than half the rate of 2.6 per cent growth anticipated in April, the WTO said in a statement released on Tuesday morning. World trade is forecast to reach 2.7 per cent next year, below the 3 per cent previously foreseen. WTO Director-General Roberto Azevêdo said the darkening outlook for trade is discouraging but not unexpected. “Beyond their direct effects, trade conflicts heighten uncertainty, which is leading some businesses to delay the productivity-enhancing investments that are essential to raising living standards,” he said. WTO economists had warned during its annual forecast in April that systemic threats to global trade – notably retaliatory tariffs between China and the United States – would continue to hamper the flow of goods. In September, US President Donald Trump increased tariffs on $112 billion worth of Chinese imports, threatening American consumers with higher costs for shoes, apparel and electronics. As China slapped retaliatory tariffs on $75 billion of American imports, President Trump threatened to extend tariffs to $550 billion worth of Chinese imports. The president last month delayed by two weeks a planned increase in tariffs on $250 billion worth of Chinese goods, momentarily restoring hopes for a trade deal. But...

3 African trade blocks launch 2 projects to boost small-scale cross-border trade

Three African trade blocks have come up with two new projects aimed at increasing formal small-scale cross- border trade flows in the region, a spokesperson said on Tuesday. The Common Market for Eastern and Southern Africa (COMESA), the East Africa Community (EAC) and the Southern African Development Community (SADC) have come up with a 15-million-euro Regional Small-Scale Cross Border Trade Initiative and a 53-million-euro Trade Facilitation Project. The projects are funded by the European Union (EU) under the 11th European Union Development Fund, Mwangi Gakunga, Head Corporate Communications at COMESA said in a statement. He said the implementation of the two projects was expected to contribute to higher revenue collection for governments at the borders, increased security and improved incomes for traders. The first project was designed to address challenges facing small-scale traders which include high transactions costs arising from delays at the border, high taxes and high transport costs, corruption and harassment. According to the statement, the second project aims at increasing intra-regional trade flows of goods, persons and services by reducing the cost and delays of imports and exports at specific border posts. This will be addressed through reduction of non-tariff barriers, implementation of digital free trade area, improvement of coordinated border management and liberalization of trade in services and free movement of persons. Source: Xinhau

MSME fastest growing sector in EAC

THE Micro Small and Medium-sized Entreprises (MSME), is contributing about 85 per cent of employment and 25 per cent to the Gross Domestic Product (GDP), making it the fastest growing sector in the East Africa Community (EAC), partner states. This was said by the Chief Executive Officer (CEO), of the Confederation of Micro and Small Enterprises Organisation East Africa (CMSEOEA), Mr Richard Muteti, during today’s inaugural of regional consultative forum on MSMEs held at East African Business Council Secretariat in Arusha on Monday. “Despite the importance of the MSMEs to the economy, there isn’t a tailor-made policy at EAC level focusing on the promotion of MSMEs,” said the East Africa Business Council Chief Executive Officer, Peter Mathuki. Lack of standards specifications, poor production methods, poor finish, reduced lifespan, sub- standard issues hindering the export growth of the products manufactured by MSMEs in the region. The chairman of CMSEOEA Mr Josephat Rweyemamu said, “Partnership with EABC will enhance us to speak in one voice on common issues facing business such as non-tariff barriers (NTBs) and harmonisation of standards,” The partnership is expected to increase economic vibrancy by enhancing forward and backward linkages to boost job creation, quality of the jobs and products manufactured by MSMEs. The EABC Director said in her remarks, “EABC will represent MSMEs issues in the high-level meeting with the EAC Heads of State and Council of Ministers” Innovations, exposure visits, capacity building, business to business linkages between micro and large industries and access to market are among...