AS the government embarks on establishment and revival of industries in the country, at least 15 companies have shown interest to establish industries in Morogoro Region, the Regional Administrative Secretary (RAS), Dr John Ndunguru has said. The companies expressed their interests soon after the completion of the investment forum that took place in the region in September, this year. Speaking during the launching of training on the application of technology on tailoring, Dr Ndunguru said his office expects to receive more applications and commitment from other companies. The function was graced by the Deputy Minister in the Prime Minister’s Office responsible for Labour, Youth and Employment, Mr Anthony Mavunde. At least 200 youth out of 1,000 who have been registered for the training attended the launching at Mazava Fabrics and Production Ltd grounds in Morogoro. He said some of the companies are interested to invest in sugar factories, construction of modern abattoirs and meat processing, fruits processing and other areas. “Morogoro has been a home of industries since the first phase government, we are happy that the fifth phase government is reviving industries across the country and there all signs that Morogoro is going to record good performance,” he said. He said with the current spirit and government commitment, Tanzania is soon becoming an industrial country. He said the government is committed to cooperate with private companies under the Public-Private Partnership (PPP) framework in developing and strengthening industrial sector in the country. According to the RAS the establishment and revival...

Cargo vessels berthed at the Port of Mombasa, February 5 2016. FILE PHOTO | KEVIN ODIT | NATION MEDIA GROUP.  The government will allocate a further Sh10 billion for construction of the first three berths at Lamu port in the next financial year, Transport Principal Secretary Irungu Nyakera has said. When the project started in the 2016/1017 financial year, it was also allocated Sh10 billion. Mr Nyakera said the works were progressing well slightly ahead of schedule at 12.5 per cent against a projected 12 per cent since construction kicked off with offices for the headquarters already complete. “Construction of the three berths will be completed in late 2018 ready to receive the first vessel in 2019. Our objective in building the berths is to open the project to private investors. "Initially, some people raised concerns over the viability of this project but as you can see it is progressing well,” he said. Cargo evacuation Mr Nyakera said to ensure proper evacuation of cargo from the port, the government was fast-tracking construction of the 115-kilometre Lamu-Witu-Garsen and Lamu-Garisa-Isiolo roads whose contracts had been awarded. He spoke on Friday at the Lamu port headquarters after a joint meeting between the Lapsset Authority and Kenya Ports Authority (KPA) boards held their first joint parley and took a tour of the project to assess its progress. Currently, a contractor is dredging the harbour to a depth of 18 metres and reclaiming part of the ocean where the container stacking yard will be located....

By Mary Sanyiwa Mtwara — Regional authorities are upbeat over the prospects of increased business and revenue after 1,115 trucks imported by Nigerian business mogul Aliko Dangote docked at the Mtwara Port at the weekend. "This is a good beginning as we open up economic opportunities for the region," said Acting Regional Commissioner Khatibu Kazungu who witnessed the docking of the ships carrying the trucks. The trucks are destined for the Dangote Cement factory. They add to the Nigerian businessman's current fleet of trucks transporting cement from Mtwara to various parts of the country. Mtwara Port general manager Stella Katondo said later this month another vessel carrying 500 vehicles for the same cement plant is expected at the facility.  The acting RC, who doubles as the Mtwara District Commissioner, said the docking of the ship had proven to the world that the Port has the capacity to handle large volumes of cargo. According to him, the Port could now be used by the neighbouring countries of Malawi, Mozambique, DRC Congo and Zambia. He appealed to stakeholders to take advantage of the Port and not to rely solely on the Dar es Salaam Port. Diamond Shipping agency manager John Lemomo said one of the vessels that carried the trucks, Morning Composer, is 200-metre long ship with capacity to carry 60,000 metric tonnes of cargo and ferry 6,500 vehicles. "We would like to express our warm thanks to both the Dar es Salaam Port and Dangote company as we witness this huge...

East African Community experts have concluded consultative missions in Vietnam and Japan, a benchmarking exercise aimed at borrowing a leaf on how the Asian nations developed their automotive industries. According to Jean-Baptiste Havugimana, the East African Community (EAC) director for productive sectors, experts from partner states and the Secretariat travelled to Tanzania, Kenya and Uganda “to compile baseline information on the status of automotive industry,” and to Vietnam and Japan for a benchmarking exercise. “These missions took place from September 20 to October 7. Thereafter, the team will visit other countries in East Africa (Burundi, Rwanda) for in-depth analysis, and to others in Africa such as Ethiopia, Nigeria and South Africa for benchmarking,” Havugimana told The New Times at the weekend. In October, a three-day meeting of a broad spectrum of stakeholders and experts from the automotive industry, finance, customs and trade sectors as well as vehicle manufacturers from EAC was held in Nairobi, Kenya. It was aimed at reviewing and validating progress report on the comprehensive study on automotive industry. The stakeholders would then provide inputs toward its finalisation and inform the EAC and potential investors on policy options and modalities to promote and develop the motor vehicle industry. The initial benchmarking study missions revealed that usage of local content was one of the drivers for the growth of the automotive sector. “This is an area that EAC needs to explore further and adopt appropriate measures that will consequently spur the development of the sector,” reads part of an...

It may be time to stop reminding your American friends that Africa is not a country – tell them it’s a series of regions.  According to a new report by the World Bank, The Unexplored Potential of Trade in Services in Africa, the key to boosting tourism on the continent could be to actively brand travel to regions within sub-Saharan Africa – encouraging visitors to east, west, southern Africa – rather than just individual countries. The report uses the examples of the Caribbean and Southeast Asia, regions that are almost synonymous with some of the countries within them: Jamaica is the Caribbean as much as it is the birthplace of Bob Marley; backpackers the world over slip into flip-flops and head to Southeast Asia, not just Thailand. Southeast Asia has been doing this since the ’90s, through the Association of Southeast Asian Nations (ASEAN). In the Caribbean, “The notion is that by pooling resources, the [Caribbean Trade Organisation] could increase the competitiveness of the world’s premier sea, sand, and sun destination,” the report explains. The concept isn’t of course new to Africa, with prominent – if not tourism-focussed – regional blocs such as SADC (the Southern African Development Community) and EAC (East African Community). Both have policies in place that do allow the people in their respective member countries to travel more freely between them. The EAC is now consciously trying to brand the region, or “market and promote East Africa as a single tourist destination,” says the report, as well as focussing on standardising...

Industry, Trade and Cooperatives Cabinet Secretary Adan Mohamed has faulted county governments for charging multiple taxes in their jurisdictions. He said yesterday the trend had led to slowed business activities in the devolved units. Whereas counties charge cess taxes to complement allocations from the National Treasury, said the CS, care has to be taken to ensure that their actions do not make Kenyan goods non-competitive. “We have no business charging tax to a business person when their vehicle steps into another county. Otherwise, these counties may as well declare independence,” said Mr Mohamed. He spoke in Nairobi during the launch of a report dubbed “The burden of produce cess and other market charges in Kenya” by Kenya Markets Trust (KMT). The CS further noted that multiple cess collection points in counties had led to high cost of living. According to the report findings presented by Policy and Research Manager at KMT Chris Shimba, produce cess, is not being used by counties to improve production and distribution of the taxed commodities. “Cess charged across counties was not necessarily ploughed back to the sector. Instead, it ended up making cost of food prohibitive and out of reach for most households,” said Mr Shimba. The study also found that many counties do not accept permits issued by other counties for moving agricultural produce such as maize, milk, livestock, vegetables and fish. Instead, traders are taxed for entering each county. Speakers at the launch said as much as cess was a noble ideas for...

The Federal Republic of Germany and the East African Community (EAC) have signed an agreement of 7 million euros, which support will go towards disaster preparedness and ICT projects in the region. The agreement was signed on Tuesday (December 6) by EAC Secretary-General, Ambassador Liberat Mfumukeko on behalf of the Community and the Germany Ambassador to the United Republic of Tanzania who is also accredited to EAC, Egon Kochanke on behalf of his country. A statement issued by the EAC Secretariat today said 3 million euros in technical assistance will be invested in strengthening the pandemic preparedness of the region. The project will support the operationalization of the EAC Regional Contingency Plan and a regional risk and crisis communication strategy, it said. Four million euros in technical assistance will be invested in an Academic Center for Digital Innovation, the statement said. The project will support the set-up of a State of the Art Master programme focusing on embedded and mobile systems at an East African University, supporting the development of a skilled labor force in East Africa. The projects will be implemented by the German International Cooperation Agency, GIZ. Speaking during the signing ceremony, the EAC Secretary General, Mfumukeko thanked the Government of the Federal Republic of Germany for its support to the EAC. ‘’We have truly benefited from the German support which has catalysed other development Partners to support our projects and programmes,” he said. Kochanke said: “Our support underlines that Germany wishes to further strengthen the long-standing and...

Traders in the East African Community (EAC) should understand the rule of game in the regional cross-border trade, a trade technocrat has advised as millers in Kenya complain about zero rated wheat flour imports from Tanzania. The East African Business Council (EABC) Trade Economist, Mr Adrian Njau, said in a telephone interview from Arusha yesterday that most traders were uninformed of their rights stated on the EAC treaties. "Business people operating in the region should not overlook the procedures needed to penetrate the regional markets, but make effective use of the duty-free access to sell their products," he said. Kenyan millers have questioned the application of the EAC tax regime by the authorities which allow wheat from Tanzania to enter Kenya market tax free. Kenyan Cereal Millers said Tanzania imports its wheat, hence should not enjoy tax incentives under the East African Community Customs Union (rule of origin), which gives preferential treatment to locally produced goods. However, under the revised Rules of Origin adopted by EAC ministers, finished products are required to have at least 30 per cent of the ex-works value added in the exporting member state, down from 35 per cent of the ex-factory price. The millers have accused Kenya officials at the borders of letting zero- rated wheat from Tanzania enter the country, yet Kenyans pay up to 50 per cent duties when exporting their products to East Africa. Under the EAC customs union rule of origin 2015, goods shall be accepted as originating in a partner state...

IN SUMMARY Due to the high costs, the countries currently import second hand machines from Germany, the United States, Japan, France among other countries, some of over eight years of use, making them not only prone to accidents but also have short life span. The East African countries have been asked to speed up the study that will enable the bloc develop its own automotive industry in order tolower importation of used cars. The bloc’s deputy secretary general Christophe Bazivamo said setting up competitive automotive sector was crucial to providing the population and the business community with affordable means of transport. Due to the high costs, the countries currently import second hand machines from Germany, the United States, Japan, France among other countries, some of over eight years of use, making them not only prone to accidents but also have short life span. The 16th summit of heads of States on February 20, 2015 had directed the EAC Council of Ministers to conduct a study on the modality for the promotion of motor vehicle assembly in the region to stop importation of used vehicles. With the study receiving technical and financial support from Japanese government, the team is supposed to present the report to the 17th Summit in February. “This exercise  and the overall study is therefore crucial as it is intended to inform the EAC and potential private sector investors on policy options and modality that should be adopted to drive automotive industry to the next level,” said Mr...

Presenting Bills proposed by the Council of Ministers to the East African Legislative Assembly (EALA) for debate to facilitate the East African Community integration has become harder for lack of green light by the Sectoral Council. The bills must be scrutinised and accepted by the EAC Sectoral Council on legal and judicial affairs before submission to the regional Assembly. But sectoral council has not met for nearly two years, The New Times understands. The sectoral council on legal and judicial affairs is made up of East African Community Attorneys General, Solicitors General and ministers responsible for judicial and constitutional affairs. MP Patricia Hajabakiga, the chairperson of the Rwandan delegation to the East African Legislative Assembly (EALA), in a recent interview with The New Times, said laws such as the EAC Standardisation, Quality Assurance, Metrology and Testing (SQMT) Act that are outdated and need urgent review remain unaddressed. “Bills proposed by Council have to go through the sectoral council on legal and judicial affairs in order to be submitted to parliament. But the problem is that the sectoral council rarely meets,” she said. “They have not sat for the past two years to look at any legislation. This means that, for the past two years, apart from the Appropriation Bills which are budget related and don’t require the sectoral council on judicial and legal, no other laws came to parliament.” The SQMT Act, enacted in 2006, provides a framework for development and implementation of SQMT activities in the bloc and other...