The Dubai Chamber of Commerce and Industry has announced a trade mission to Kenya and Ethiopia Oct. 3-7. The mission comes as part of the chamber’s strategy of growing trade with the promising markets of the world, especially the African markets. “As part of our strategy to provide Dubai businesses the best opportunities for growth, this trade mission will put the delegates in contact with some of the most influential figures across the private and public sectors in the two countries thus enabling them to gather a deeper understanding of the investment climate and business opportunities at hand in the East Africa region,” Hamad Buamim said. Majid Al Ghurair, chairman, Dubai Chamber, will lead the delegation, which includes Buamim, president and CEO of Dubai Chamber; Ali Al Fardan, managing director of Al Fardan Group of Companies; Kariuke Mugwe, consul general, Consulate General of the Republic of Kenya; Adel Al Zarouni, managing director of Rivoli Group LLC; Eisa Al Serkal, chairman of Nasser Bin Abdullatif Alserkal Establishment; Mohammed Al Raqbani, general manager for Dubai Investments Industries; Yahya Lootah, vice chairman of SS Lootah Group; Lamin Sanneh, head of Structured Finance, SS Lootah Group; and Wifag Mabrouk, deputy manager of Lootah Technologies and General Trading. Source: Gulf News

Abel Kidambi knows too well the impact of the slump of the South Sudanese currency on his young family living in Kitale. Three years ago, he would afford to send home Sh100,000 a month earned from his eateries. But today, he struggles to send Sh30,000 even though business is still vibrant despite the recent shocks in Juba occasioned by political wrangles. “Times have changed very significantly for me and I think it has everything to do with the deprecation of the money here,” Mr Kidambi told The Standard at the Konyokonyo, the biggest market in Juba city. Shortage of dollar inflows relating to disruption on the production of crude oil and withdrawal of the support of the international community has caused the sharp depreciation of the South Sudan Pound. The fall has been compounded by the fact that hardly any commodities including vegetables are produced in the country of about 11 million – traditionally pastoralist community. The South Sudan pound is said to have depreciated by 85 per cent. The exchange rate for pound per US dollar declined to 18.5 pounds a dollar on exposure to market forces of supply and demand, down from a rate of 2.96 pound to the dollar. The few dollars that come into the country are still spent on paying for imports, key among them being fuel for motoring and electricity generation. A free fall on the value of the pound means that traders like Kidambi struggle to find dollars to pay for supplies, and...

President Uhuru Kenyatta and his Ugandan counterpart Yoweri Museveni during bilateral talks at State House, Kampala on August 8, 2015. PHOTO | PSCU  IN SUMMARY Uganda and Kenya are both being accused of trade protectionism, with Kampala denying market access to Kenya’s beef and Nairobi restricting the amount of sugar imports from Uganda. Uganda and Kenya are both being accused of trade protectionism, with Kampala denying market access to Kenya’s beef and Nairobi restricting the amount of sugar imports from Uganda. Ugandan authorities are reluctant to lift the ban on Kenyan beef because the matter is still a “very sensitive one.” The EastAfrican has established that politics rather than technical concerns is at the centre of the Uganda-Kenya beef and sugar talks. Kenyan beef traders have been out of the Ugandan market for over 15 years. Meanwhile, Kenya has sent a verification team to ascertain that Ugandan traders are not repackaging sugar imported from elsewhere. Officials present at a recent meeting between Presidents Uhuru Kenyatta of Kenya and Yoweri Museveni of Uganda reported that they had agreed to lift the ban on Kenyan beef in exchange for market access for Uganda’s sugar. Senior officials in Uganda’s Ministry of Trade, Industry and Co-operatives said that Kampala is still reluctant to open up its market. Official ban However, although an official ban still stands, Kenyan beef and beef products are being sold in Uganda, and Ugandan sugar is reportedly finding its way into the Kenyan market, mainly through Kisumu. “We are aware...

IN SUMMARY The EPA Kenya ratified on Wednesday protects sensitive products such as dairy products, fruits and vegetables, fish, textiles and clothing, footwear, and vehicles from competition from European exporters for 15 years. The EPA will see Kenya allow EU imports to compete across 80 per cent of its tariffs, going by value. Tanzania, Uganda, Rwanda and Burundi are classified as Least Developed Countries (LDCs) and therefore already have duty-free and quota-free access to the EU under the Everything But Arms agreement even without signing the EPAs. Kenya has secured safeguards to protect its primary industries from the European Union after it ratified a trade deal with Brussels allowing continued unrestricted access of its exports to the bloc. The deal signed by Kenya offers insights to other East Africa Community members, notably Tanzania and Burundi, which have hesitated to sign the EPA for fear that it will derail their industrialisation plans. Tanzania has asked for more time to assess the potential impact while Burundi insists it will not sign the agreement until the EU lifts economic sanctions against it. The sanctions arose from President Pierre Nkurunziza’s successful push for a third term amid protests over its legitimacy. The EPA Kenya ratified on Wednesday protects sensitive products such as dairy products, fruits and vegetables, fish, textiles and clothing, footwear, and vehicles from competition from European exporters for 15 years. Other products excluded from liberalisation include chemicals, plastics, wood-based paper, ceramic products, glassware, articles of base metal, and wines and spirits. The EPA...

Dr Muhammad Swazuri, National Land Commission chairman. PHOTO | FILE  IN SUMMARY NLC has listed the land that will be taken over by the State with other companies like the Nation Media Group and Mabati Rolling Mills also set to part with small parcels. The government will acquire sections of land belonging to several companies, including Kapa Oil Refineries, as the Nairobi-Mombasa Standard Gauge Railway (SGR) project nears completion. The National Land Commission (NLC) has listed the land that will be taken over by the State with other companies like theNation Media Group and Mabati Rolling Mills also set to part with small parcels. “Plans for the affected land may be inspected during office hours at the office of the National Land Commission, Ardhi House... and Kajiado County land offices,” NLC chairman Muhammad Swazuri said in a Gazette notice. The properties to be taken over by the State are about one acre or less each as compared to the earlier take-overs of hundreds of acres. The government has said that laying of the track is expected to be completed by December. The Kenya National Bureau of Statistics (KNBS) on Friday reported that the construction industry had slowed down due to the deceleration of the SGR project. NLC has not disclosed how much has so far been spent on land compensation for the project. The commission initially estimated that only 4,600 hectares worth Sh30 billion would be acquired for the 609km Mombasa-Nairobi railway but in March revealed that the amount would...

The International Road Transport Organisation (IRU) (https://www.IRU.org) report, “Transit costs in East and Southern Africa” clearly demonstrates how African countries implementing the TIR Convention can reduce the costs of trade in southern and eastern Africa thus saving billions of dollars and increasing GDP in African countries. Since 1949, TIR has made international freight transits faster, more efficient and more secure, helping increase trade, boosting economic growth and making communities stronger. With TIR, goods are contained in sealed load compartments, and the contents are detailed in a TIR Carnet. This essential document accompanies the driver and the cargo along its journey. Customs simply have to verify the Carnet and that the seals are intact, rather than spend time to open the container and physically check the load. Umberto de Pretto, IRU Secretary General said “Some of the world’s highest trade costs can be found in Africa and the world’s road transport organisation, IRU, is working to support governments and the private sector to reduce these costs.” He continued “The report results show that TIR is up to 16 times less expensive than the national bond system on the Northern Corridor between Walvis Bay and Lubumbashi, and is also substantially more cost efficient on the three other African trade corridors in the study.” The report unequivocally concludes that the TIR system is the most cost effective transit bond method and could be deployed on all trade corridors in Africa. TIR, the world’s only universal customs transit system and one of the most successful...

Kenya will retain duty-free access to the European Union for its products, its trade minister said on Thursday, reassuring exporters who feared problems in clinching a deal between the EU and the East African Community could lead to tariffs. Kenyan businesses have been alarmed by delays in signing the trade pact, known as the Economic Partnership Agreement (EPA), between the EU and five-nation East African Community (EAC), after reservations raised by Tanzania. Kenya stood to lose most as it would have lost duty- and quota-free access, whereas other EAC member states are categorised as poorer nations who keep that access whether or not the more comprehensive trade deal is signed. The deadline for the EAC to finalise the agreement was Oct. 1 and there were fears that Kenyan goods could be locked out or become subject to tariffs. "Come next week Kenyan exports will still have access to the EU market without paying any duties, as it was before," Aden Mohamed, the Kenyan minister for trade and industrialisation, told Reuters. Kenya, which exports coffee, tea and horticultural products to Europe, secured the continued free access to EU markets after it signed the deal with the EU, despite Tanzania holding back. Kenya has also already ratified the pact in parliament and it presented a copy to the EU in Brussels on Wednesday. EAC heads of state are scheduled to discuss the EPA with the EU in January but Mohamed said Kenyan goods would maintain their access regardless of the outcome. "We...

The European Union flag. PHOTO | AFP  The European Union says it may have alternative ways of dealing with the East African Community member states should they fail to meet the deadline of signing a joint trade agreement in January next year. EU Head of Delegation Stefano Dejak told reporters on Wednesday that the three-month extension from October this year should give all the East African Community member states who have not signed to endorse the pact. But should they fail, he said the European bloc will negotiate appropriate arrangements with the region. “This was the case to October the 1st and thanks to our relations, we have found a way to address this and extend the period,” he said at his residence when asked if individual countries will have to negotiate separately if the agreement is not endorsed by the entire region. “If that would turn out to be the case (in January), we would certainly look out how best to partner with the government of Kenya and other member states of the East African Community to do the best for both, I think, especially for Kenya but it is the same in other countries.” The Economic Partnership Agreements (EPAs) is a set of agreements that allow African countries specific privileges to export to the European Union markets without being subjected to customs. The agreement covers trade in goods and development cooperation and covers on agriculture, fisheries and economic and development cooperation. RATFIED PACT On Wednesday, Kenya through its...

Shippers are digging in for a fresh showdown with the Mombasa county government in its bid to push through an array of taxes on shipping lines rejected by industry players last year. Through its Finance Bill 2016/17 currently undergoing public participation phase, the county has been lobbying industry players to accept its plan to collect Sh5,000 ($50) per 20-foot container and Sh9,000 ($90) for a 40-foot container as part of transport infrastructure development levies. The county also intends to impose a penalty of Sh50,000 ($500) on shipping lines that fail to pay the levy. Yesterday, Shippers Council of Eastern Africa (SCEA) chief executive Gilbert Langat said the proposed levy amounts to double taxation as shipping lines already pay taxes to the national government through the Kenya Revenue Authority. He said the levy would also increase the cost of doing business at the Mombasa port. “Last year, we rejected the levy as it was unjustifiable. We wonder why the county government has yet again factored the charges in the Finance Bill for 2016/2017,” he said. Mr Langat said the county could not impose the container charges simply because the port is in Mombasa, adding that the facility was a national asset. The proposed levy, he said, would make the international shipping lines pass the extra cost to importers and make the port expensive. Mr Langat warned that importers from the neighbouring countries such as Uganda, Rwanda and Burundi as well as locals might relocate to Dar es Salaam port to avoid...

Corporate Council on Africa delegation president and CEO Stephen Hayes (Left) with CFC Stanbic East Africa regional boss Mike Blade. Photo/DIANA NGILA  IN SUMMARY The dinner event hosted in Mohamed’s honour resolved to immediately put modalities for holding of joint conferences, workshops and exhibitions to further the aim of greater US-Kenya trade and investment. A lobby representing United States businesses eying investment in Africa has today partnered with the Kenya government to in effort boost direct investments in Kenya. The partnership between Corporate Council for Africa and Kenya’s industrialisation ministry will help create cross-linkages between Kenyan and US traders enabling them to enjoy direct access to markets in both countries for mutual benefit. The two-year partnership deal signed by Trade, Industry and Cooperatives Cabinet Secretary Adan Mohamed and CCA President Stephen Hayes here in Washington, DC also stated that both parties will share information on existing opportunities for investment. “This MOU is a great opportunity for us to work more closely to promote trade and investment in Kenya. The Corporate Council has always been a champion for U.S. -Kenya business and we look forward to doing even more with them,” said the CS. A representative office The dinner event hosted in Mohamed’s honour resolved to immediately put modalities for holding of joint conferences, workshops and exhibitions to further the aim of greater US-Kenya trade and investment. CCA has conducted trade excursions to Kenya on several occasions that culminated to opening of a representative office in Nairobi. Mr Hayes said that...