Local clearing agents have welcomed the decision by shipping lines at Dar es Salaam port to waive container deposit fees. Maersk and Safmarine shipping lines recently agreed to give a waiver on container cash deposit to members of the Rwanda Freight Forwarders Association to reduce the cost of doing business. The scheme will first be rolled out as a pilot phase before it can be fully adopted. The development follows bilateral talks held last month between Rwanda and Tanzania to address the current constraints affecting traders at the port, including the question of cash deposits. Fred Seka, the chairperson, Rwanda Freight Forwarders Association (ADR), said both parties agreed to use an insurance guarantee covered by UAP Insurance to facilitate ease of doing business at the port. According to Seka, Tanzania Shipping line Ltd accepted the proposed use of Insurance guarantee by UAP and will conduct due diligence to determine clearing agents to be granted the waiver and those that should use insurance guarantee. “Tanzania Revenue Authority (TRA) has so far granted full access to TANCIS customs system to 30 clearing firms out of the 54 companies that requested to have access to the system; The TPA is working to issue the okayed firms badges and forward the list to Tanzania Ports Authority so that they can have full access to the port and be able to follow up clearance of goods within the port premises,” Seka said in a statement released yesterday. He also denied media reports indicating that local...

Clearing your closet of last season’s gently worn clothes and donating them to an aid group probably makes you feel pretty good. After all, you may be helping someone in need and breathing life into items that might otherwise decompose in a landfill. But a number of countries in East Africa are fed up with the onslaught of secondhand items they receive from Western nonprofits and wholesalers, and want to ban such imports altogether. In 2014, a handful of East African countries imported more than $300 million worth of secondhand clothing from the United States and other wealthy countries. The used items have created a robust market in East Africa and thereby a decent amount of jobs. But experts say the vast amount of these imports have devastated local clothing industries and led the region to rely far too heavily on the West. In March, the East African Community, which is made up of Kenya, Uganda, Tanzania, Burundi and Rwanda, proposed banning all imported used clothing and shoes by 2019. The goal is to stop relying on imports from rich nations, boost local manufacturing and create new jobs. However, the law is unlikely to pass. There is resistance from the U.S., which unloads hordes of secondhand clothes all over the world, and from sellers in East Africa whose livelihood depends on these shipments, as well as from experts who think an outright ban won’t be enough for these countries to restore production at home. Proponents of the ban say it...

President John Magufuli. MPs yesterday put aside their political differences to ratify a trade agreement that will allow Kenyan traders free access to the European market. In a special parliamentary sitting, the lawmakers unanimously voted for the ratification of the Economic Partnership Agreement (EPA) between the European Union and the East African Community (EAC). This decision offers a ray of hope to Kenyan traders, especially those exporting flowers, fruits, fish and livestock products to the 28-member market. The decision to hold a special sitting to ratify the agreement is said to have been pushed by the Executive, which has been burning the mid-night oil to have the agreement ratified ahead of the October 1, deadline. Now Kenya has until September 30, to rally its four EAC peers Uganda, Tanzania, Rwanda and Burundi to sign the deal, or risk having its exports to the EU slapped with punitive taxes of up to 22 per cent. Kenya being the only middle-income economy in the region has found itself isolated, fighting alone for the ratification of the trade deal that has a huge bearing on the country’s employment and economy. Other countries do not stand to lose anything considering they automatically qualify given their position as least developed countries. However, the Kenyan Government was challenged to put in place necessary environment for traders to take advantage of the agreement including in the areas of leather, cement, horticulture, livestock and meat. Emurua Dikirr MP, Yohana Ng’eno said there was need for the East African...

The first significant summit of the European Union without Britain, that was held in Bratislava last week, raised concerns about the preparedness of the bloc to handle its post-Brexit future ‘European leaders did not mince words on the state of the European Union [EU] as they headed into a meeting in Bratislava to chart the union’s future after the British vote in June to leave the EU,” said theNew York Times in an editorial. The paper went on to examine the reasons behind the disappointing turn of events. “Chancellor Angela Merkel of Germany warned that Europe was in a critical situation, or what the president of the European Commission, Jean-Claude Juncker, called an existential crisis. Reeling from terrorist attacks, an influx of refugees from Africa and the Middle East, and persistent high unemployment and low economic growth, millions of Europeans are coming to the conclusion that the EU has let them down. And they are turning in increasing numbers to populist movements and nationalist politicians who promise to protect their jobs, their way of life and their security by closing national borders and rejecting Pan-European solutions,” it said. It added: “If the European Union is to survive, European leaders must restore people’s faith in its ability to address Europe’s problems. As the European Council President, Donald Tusk, put it, “History has taught us that this can lead to a massive turn away from freedom and the other fundamental values that the European Union is founded upon.” The Guardian took a...

NYERERE BRIDGE: According to the organizers, an efficient transport infrastructure is critical in ensuring Africa truly benefits from its rich natural resources and the World Bank estimates that the cost of moving goods in Africa is, on average, two or three times higher than in developed countries. DAR ES SALAAM, TANZANIA - The 7th East & Central Africa Roads and Rail Infrastructure Summit 2016 is expected to start on September 27  in Dar es Salaam.  Top on the agenda are discussions about the bottlenecks, challenges and the way forward since infrastructure is a key aspect for economic growth in the region. A statement availed to the East African Business Week from Magenta Global the organizers of the summit indicates that the summit will once again provide the authoritative platform that will synergize, strategize and reshape discussions to inspire new blueprints and dissect the critical issues hampering the successful execution of planned projects in the region. The statement added that following successful editions in Rwanda, Tanzania and Kenya, the 7th East & Central Africa Roadsand  Rail Infrastructure Summit 2016 will now return to Dar es Salaam as its geographical area is more conveniently. Statement said the summit will featuring dedicated country sessions plus insightful presentations by industry experts, that event will once again provide the a useful platform to government policy makers, politicians, contractors and engineers in the region. According to the organizers an efficient transport infrastructure is critical in ensuring Africa truly benefits from its rich natural resources and the...

By Dorothy Nakaweesi Kampala — The East African Community (EAC) member countries' decision to extend the signing of the Economic Partnership Agreement (EPA) with the European Union may have consequences in the due course, the EU has said. The EU head of delegation to Uganda, Ambassador Kristian Schmidt, in a statement issued to this newspaper last week, said: "There are no immediate effects but there may be consequences in due course that only the EPA can prevent." EAC heads of State during their 17th Summit that sat in Dar-es-Salaam, Tanzania recently agreed to push the signing of the EPAs with the EU for another three-months (January 2017) until a harmonised regional position has been arrived at. Tanzania's President John Magufuli, the chairman of the EAC summit, said they need more time to discuss the EPA agreement. So far, Kenya and Rwanda have already signed the agreement. Uganda has also expressed strong interest to sign while Tanzania and Burundi are still skeptical. But the EAC heads of State during the negotiations expressed a willingness to move ahead as a region. Mr Schmidt said the EU understands that the EAC partners need some time to continue their internal process. "This is why we pursue a situation in which the EAC EPA is implemented by all EAC countries as a bloc, in order to provide a predictable and uniform trade scheme for all EAC members that respects their customs union and preserves duty-free quota-free access to the EU market for all of them,...

EXPERTS in diplomacy have described a move by three heads of state of the East African Community (EAC) to give relief aid to victims of Kagera earthquake as signal towards more cooperation and brilliant future in the bloc. Presidents Yoweri Museveni of Uganda, Uhuru Kenyatta of Kenya and Paul Kagame of Rwanda handed over their contributions to President John Magufuli on Saturday. Mr Museveni contributed a total of 200,000 US dollars (437m/-) and Mr Kenyatta provided a relief items including roofing sheets, blankets and mattresses worth 115m/-. The tremor, which occurred on September 10 and measuring at a magnitude of 5.7 on the Richter scale, killed 17 and left 440 others injured. The quake also destroyed 2,063 houses while 14,081 others were damaged. In separate interviews with the ‘Daily News’ yesterday, the experts on diplomatic issues and a member of the East African Legislative Assembly (EALA) called for continued such spirit among the members of the EAC of helping each other during hard times. They argued that the situation showed the real meaning of the Community. A Lecturer at the Centre for Foreign Relations (CFR), Dr Kitojo Wetengere, noted that being in the community means that the members need to support each other economically and socially. “When one member country faces trouble, others should provide help. For these presidents to support Tanzania, it means that we are together during good and hard times. They have proved that our pain is theirs,” Dr Wetengere remarked. He said it was healthy for...

The eight regional trade blocs under the African Union (AU) will start negotiations in December this year that will see creation of a Continental Free Trade Area. Economic Community Of West African States (ECOWAS) Head of Infrastructure Department Christian Appiah said all is set for the talks which will focus on dealing with opening of boundaries by dealing with tariff and non-tariff barriers. He says on their part, ECOWAS is ready to trade with the East African Community since both blocs are strongly established. “We have had several consultations with other regional blocs and at the African Union level, they recognize the regional economic communities that we have. At the moment each of these regional bloc is developing a strategy on how this continental collaboration is going to work,” Appiah told journalist at the Trade Mark East Africa offices in Nairobi on Friday. Apart from EAC and ECOWAS, other African regional blocs under the AU include, Arab Maghreb Union (UMA), Common Market for Eastern and Southern Africa (COMESA) and the Economic Community of Central African States (ECCAS) and Intergovernmental Authority on Development (IGAD). Others are the Southern African Development Community (SADC) as well as Community of Sahel-Saharan States (CEN-SAD). The creation of a pan-African trade pact have been the centre of discussion for several AU summits with questions raising on how to actually implement free trade area considering the various tough policies among different member countries. However according to Appiah, there is no need to postpone as everything must start...

KAMPALA, (CAJ News) – THE fourth Agribusiness Congress East Africa conference set for the capital Kampala in November builds on the great excitement in the agricultural sector in Uganda. It is the first time that the event is taking place in Uganda. The summit comes at a time the farming sector is showing great potential. The Grain Council of Uganda (TGCU)’s Board Vice Chairman, Robert Mwanje, says the body is delighted to partner, support and host the fourth annual Agribusiness Congress East Africa. The success of the event in the East African region has given the TGCU the confidence to host the upcoming edition, setting it as a key entrant into the national annual calendar. “The Congress strives to set progressive action for the commercialisation of the industry by exchanging knowledge, best practices and dynamic conversations whilst showcasing leading agri technology to highlight the right tools for East Africa’s agri sector,” says Mwanje. Agribusiness Congress East Africa is a regional platform for discussions and knowledge sharing, to address those pertinent issues which are preventing the East African agricultural industry from flourishing as a global agribusiness hub. Industry organisations that are official partners include the East African Chamber of Commerce, Industry and Agriculture, National Agricultural Research Organisation, Uganda Investment Authority, Uganda National Farmers Federation, Uganda Seed Trade Association and Agricona. Well-known suppliers Engsol, Mascor, John Deere and Chief Industries have already signed up as event sponsors. Event director, Yolanda dos Santos, expresses excitement ahead of the event. “We look forward to...

IN SUMMARY Officials from the Ecowas Commission visited East Africa to learn how to run successful trade and transport programmes to reduce trade costs and barriers through a single window system and the use of border posts. Trade and Customs officials in West Africa are seeking ways to improve the management of their borders. Officials from the Ecowas Commission from Burkina Faso, Cote d’Ivoire, Ghana and Togo and staff from trade, Customs and infrastructure departments participated in a five-day study tour from East Africa, from September 12 to 16. The visit was organised by the Accelerating Trade in West Africa project in collaboration with TradeMark Africa. The delegates visited East Africa to learn how to run successful trade and transport programmes to reduce trade costs and barriers through a single window system and the use of border posts. A statement from TradeMark Africa said that the officials wanted to better understand Customs clearance processes, electronic cargo tracking and monitoring, and monitoring of non-trade barriers both nationally and regionally. Delegates called on EAC Secretary General Liberat Mfumukeko to discuss areas of collaboration at the regional level. They also paid a courtesy call on Amelia Kyambadde, Uganda’s Minister of Trade, Industry and Co-operatives, who explained about the establishment of a non-tariff barrier monitoring system. The Uganda Revenue Authority shared information on trade facilitation measures such as electronic cargo tracking and the national single window systems. One Stop Border Post At the Busia Border, the delegates saw the design and operations of the One-Stop Border...