It will be a big leap into the unknown once the United Kingdom triggers formal talks to leave the European Union. The EU’s existing trade agreements will then no longer apply to Britain and have to be renegotiated. “We don’t know where we are going to end,” Ghana’s Foreign Affairs Minister Shirley Ayorko Botwey told DW. “Are we going to have to sign new agreements? And if so which agreements are we going to sign? All these things are very fluid at the moment, so you can’t say much.” Traditionally, trade with the UK has been very important for African Commonwealth countries like Ghana. At its peak in 2012, UK-Commonwealth Trade accounted for $120-billion (€110-billion), according to the Commonwealth. Some are hopeful the UK might be eyeing to boost trade with its former colonies. Better deals for Africa? “With UK going solo, it may strengthen our course to face them one-on-one,” said financial analyst Courage Martey. Rather than dealing with the EU as a whole, “there is an opportunity for us to balance the scale, to ensure that we strike trade deals that favor especially our local business.” “Initially there were fears that Brexit would be harmful to the South African economy because of the threat of a decline in European economic growth as a result of Brexit. But those fears have been allayed more recently as we have seen increased interest by the British in South Africa,” said Azar Jammine, Chief Economist at the Johannesburg-based consultancy Econometrix. “The latter...

EAC Secretary General Liberat Mfumukeko and ICGLR Executive Secretary Zachary Muburi Muita signed a memorandum of understanding that focuses on cooperating mainly in the matter of peace and security as well as political affairs. “Among the areas identified for joint intervention are development of capacities to address conflicts, refugees and humanitarian issues, promotion of democracy and good governance,” Mfumukeko said. He added that other sectors requiring joint intervention include the fight against illegal exploitation of natural resources, the promotion of the private sector and the civil society as well as combating gender based violence (GBV). Mfumukeko indicated that priority areas for joint intervention are peace and security, conflict prevention, border security management, trans-boundary crime management and circulation of small arms and light weapons. He said, “With regards to democracy and good governance, priorities include deployment of election monitors in regional elections.” According to Mfumukeko, the most immediate concern from the EAC perspective is “solving the Burundian crisis in a sustainable way” and addressing the “deteriorating humanitarian situation” prevailing in South Sudan. Members of the East African Community (EAC) are at the same time members of the International Conference on the Great Lakes Region (ICGLR). The EAC is made up by six countries including Burundi, Kenya, Rwanda, Tanzania, Uganda and South Sudan and its secretariat is based in Arusha, Tanzania. For its part, the ICGLR is made up by 12 African Great Lakes countries including Angola, Burundi, the Central African Republic, the Republic of Congo, the Democratic Republic of Congo (DR...

The East African Community (EAC) partner states are being urged to expedite harmonisation of standards for the prioritised 20 most traded goods such as edible fats and oils so as to boost regional trade. Compliance with standards and market requirements are prerequisites for successful market access and for improving the competitiveness of exporters in the region. Lilian Awinja, the chief executive of the East African Business Council (EABC), says that although partner states have done a great job on harmonising several standards, many more standards are yet to be harmonised. According to the apex body of business associations of the private sector and corporates from the EAC, partner states also should increase adoption rate for harmonised regional standards for the 20 most traded goods. “There is still a low adoption rate of harmonised regional standards. This has led to costly and time-consuming re-testing processes or denial of market access,” said Awinja. According to Awinja, lack of a regional technical regulations framework contributes greatly to the application of national technical regulations, which do not have a common administrative approach neither in process nor in the list of standards declared as mandatory. “This situation is exacerbated by a frequent misunderstanding amongst stakeholders on the different roles of regulatory authorities and national bureaus of standards and the lacking coordination among those institutions.” Raymond Murenzi, the director general of Rwanda Standards Board (RSB), said in the case of Rwanda and other partner states – besides Tanzania – there is no misunderstanding among stakeholders on...

Prime minister urged not to heed call by hardliners to refuse to settle debts with Brussels after triggering article 50 Theresa May will be urged by pro-EU Conservatives to reach a quick deal over the divorce bill from Brussels in order to maximise the chances of reaching a free trade deal within the tight deadline for Brexit talks. As the prime minister prepares to trigger article 50, the formal process for leaving the EU, on Wednesday, rebel Tories who seek the closest possible relationship with the EU are preparing to offer May political cover for settling what they see as Britain’s debts to Brussels. They fear that Britain could waste valuable time and erode goodwill by locking horns with the remaining members – the EU27 – over the price of exit, which must be agreed upfront, according to the EU’s lead negotiator, Michel Barnier. They are concerned that dragging out the issue would hand Brexit hardliners an excuse for walking away from the negotiating table without a deal. Barnier has suggested the outlines of a deal must be agreed within 18 months in order to allow EU member states to ratify it before the two-year deadline set out in article 50 of the Lisbon treaty. Neil Carmichael, the Stroud MP who campaigned for remain, said: “If we’re going to row about money all the time, then we’re not going to find ourselves in the right kind of relationship. Some of this money is about the support that we have been...

he East African Community (EAC) and the International Conference for the Great Lakes Region (ICGLR) jointly has organized from 27 March, a two-day meeting in the capital Bujumbura to discuss the regional challenges “We shall seek to develop common positions in tackling the political problems affecting some of the countries belonging to both organizations such as South Sudan and the Burundi-Rwanda political impasse”, says Zachary Muita-Muburi, the ICGLR Executive Secretary during the joint ICGLR/EAC meeting, this 27 March in the capital Bujumbura. The same view is shared by Libérat Mfumukeko, Secretary General of the EAC: “Our main concern is how we can draw on our synergies towards finding a sustainable solution to the Burundi political impasse and respond to the deteriorating humanitarian situation in the Republic of South Sudan.” The EAC Secretary says among the areas identified for a joint intervention are the development of capacities to address conflicts, refugees and humanitarian issues, promotion of democracy and good governance, fight against illegal exploitation of natural resources, promotion of the private sector and civil society as well as combating sex and gender based violence. The ICGLR Executive Secretary says the EAC is a regional economic community committed to the promotion of the regional integration in order to transfer and foster economic development. As for the ICGLR, he says it is a regional mechanism established for the purpose of facilitating member states working with partners for political interventions to tackle peace and security challenges. “There is necessity for the two organizations to work...

One possible explanation of the slowing down could be the impact of Brexit and the turmoil – if I can call it so – it has created in the European Union. Until up to recently, the European Union was considered by many as a good example of unifying economies for the common progress of the members. Now that the future of the bloc is seen to be in doubt, even our East African Community members may be beginning to think that the whole East African project might not be viable in the long-run after all. I personally believe that Brexit and the other challenges facing the European Union today should instead provide the EAC partner states an important lesson that would help them formulate a better East African Community than the one they had envisaged, even if it meant revisiting the whole concept. But abandoning key joint projects, such as the envisaged railway, would be a missed opportunity. It’s clear there are some dishonest members who are bent on stabbing their peers at the back. I know there are national interests every country is pursuing, but that should not be to the detriment of a good working relationship in the community. There have been abrasive and bare knuckles in the way things are done. If this is not managed well then the Njonjo prophecy will come to pass. I hope I am wrong but I fear I may be right.     Source: The New Times

East African Community (EAC) countries have been told to go slow on the push to have a single currency for the region if they cannot fix the basics of trading in the region. In an interview with Daily Monitor, Mr Miguel Azevedo, the head of investment Banking for Africa at Citigroup, said the countries should focus on issues that boost East Africa as a trading bloc because a single currency may be hard to attain. He said: “Common currency goes with a few other needs, which means some common policies like similar budget policies, inflation levels and taxation among others. These things are harder to get. Just look at Europe. We have been working on the single currency for decades.” “What is doable and can create meaningful impact in the short term is creating a single market and I think it is getting there but governments need to be convinced that it is the way forward,” he added. In 2013, the EAC countries agreed on a timeline of about 10 years to have achieved a common currency. However, because the structures of the economies around the region differ, a common currency model has been noted to be risky. Mr Azevedo’s comments come with an understanding that for the EAC to be transformative, trade barriers and free movement of labour can help boost the region, especially the private sector to thrive. He notes that the focus on developing infrastructure within the region by Kenya, Uganda, Rwanda and South Sudan will somewhat...

In the Framework of the WCO- East African Community (EAC) CREATe project, funded by Sweden, the WCO provides technical assistance to the EAC Member States with the implementation of a regional Authorized Economic Operator (AEO) Programme. The goal of the project is to increase regionalization in the EAC region through facilitated trade for compliant traders. As part of the project, the WCO conducted a regional workshop from 6th - 10th March 2017 in Kampala, Uganda in order to support the region to review and update its Post Clearance Audit (PCA) Manual. PCA is a significant aspect for the successful implementation and administration of the regional AEO programme. During the workshop, 15 AEO and PCA experts from the five EAC member states, Burundi, Kenya, Uganda, Rwanda, and Tanzania participated in the workshop. The participants, with the support of a WCO PCA expert, have reviewed and updated the EAC PCA Regional Manual with audit programmes that are relevant for conducting audits in other operators within the supply chain and customs clearance processes. The manual was updated in order assure the alignment with WCO Guidelines and best practices. Here, eight operators were identified for the inclusion in the PCA Manual including Clearing Agents, Freight Forwarders, Transporters, Manufacturers, and Warehouse and storage operators. The experts alluded that the updates on the Manual not only assist in the delivery and management of AEO, but also increase customs compliance in the region as the operators play a crucial role in overall compliance improvement. The updates on...

A new trade facilitation tool was launched Tuesday in Kigali aimed at enhancing intra-Africa trade. The One-Stop Border Post (OSBP) Sourcebook is expected to help governments improve cross-border and intra-regional trade across Africa. The second edition of the sourcebook was supported by the Japan International Cooperation Agency (JICA), NEPAD, the Common Market for Eastern and Southern Africa (COMESA), East African Community (EAC), and the Intergovernmental Authority on Development (IGAD). The tool was launched at a regional workshop on the OSBP. The workshop runs up to March 16. Participants are exchanging views on further development of OSBPs in the continent. Participants were drawn from Djibouti, Eritrea, Ethiopia, Kenya, Sudan, Uganda, Rwanda, Tanzania and South Sudan. Dr Ibrahim Assane Mayaki, the NEPAD chief executive officer, said the trade facilitation tool seeks to promote a coordinated and integrated approach towards easing trade, movement of people, and consolidating security. He pointed out one-stop border posts are crucial in facilitating trade on the continent because clearance time reduces for both travellers and goods under one roof. Mayaki said: “It is envisaged that the OSBP project will help reduce the cost and time transporters take to ferry goods across borders.” Mayaki affirmed NEPAD’s commitment to support initiatives that promote trade on the continent. He also urged governments and key stakeholders to fully utilize the sourcebook to help them determine the best way to develop OSBPs in each region. Snowden Mmadi, an infrastructure expert at COMESA, said studies show that time wasted clearing at ports, borders, and...

African governments have been challenged to identify unique opportunities which they can pursue for growth of their ports instead of engaging in duplicate expansion projects that do not add value to their competitiveness and growth. Speaking during the African Ports Expansion Conference in Mombasa, leading world port and maritime sector managers said that many of the ports were duplicating what others were doing instead of trying to curve a niche for themselves so as to remain relevant. Tessa Major, a representative of the Port of Antwerp, Belgium, said by working together African countries can supplement each other instead acting as competitors so as to ensure growth in their maritime industry. She noted that many African countries had embarked on huge expansion projects of their ports so as to keep up with the increase in cargo volumes without focusing on future trends of the shipping industry. The conference brought together major stakeholders in the maritime industry including government officials, port authorities, contractors, technology providers, suppliers of port equipment and consultants. “When you look at majority of the expansion projects in African ports, most of them are similar. When we were expanding our Port in Antwerp, our biggest competitor was the port of Rotterdam in Netherlands but we realised the Port of Rotterdam deals more in liquid cargo,” said Tessa. The port of Antwerp is the second largest port in Europe after the Rotterdam port in the Netherlands which handles approximately 200 million tonnes of cargo in an year. Her remarks come...