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MINISTRY OF TRADE, INDUSTRY AND COOPERATIVES RECEIVES $1.4 MILLION GRANT TO ELIMINATE NON-TARIFF BARRIERS TO TRADE IN UGANDA

Kampala – March 27th, 2012.
The Ministry of Trade, Industry and cooperative represented by the Minister of Trade Industry and Cooperatives (MTIC), Hon. Amelia Kyambadde (MP) has signed a Grant Agreement with David Stanton, the Deputy CEO TradeMark Africa (TMA) for support towards eliminate NTBs. The signing ceremony was witnessed by senior officials from MTIC and representatives from the private sector.

Based on evidence from various surveys along the northern corridor, NTBs are a major contributor to the cost of doing business in Uganda and the EAC generally. The landlocked countries such as Uganda, Rwanda and Burundi, suffer the greatest loss from NTBs due to distance from the main ports of Mombasa and Dar es Salaam. A poor road infrastructure, delays at border crossings and lack of harmonized import and export standards and procedures are among the most mentioned NTBs in this context. As a result, the cost of imports of one container in Uganda, for example, is more than 3.5 times higher than in Tanzania and 2.5 times higher than in Kenya.

To address the problem of NTBs the EAC established a mechanism of identification and elimination of NTBs. As a result, National Monitoring Committees on NTBs (NMCs) were established in each country. These mechanisms need to be strengthened to become effective.

In Uganda, the Ministry of Trade Industry and Cooperatives has already developed a national response mechanism strategy for the elimination of NTBs. The strategy proposes various interventions that will allow Uganda to identify and eliminate NTBs, and strengthen the coordination mechanism with key agencies.

“The government of Uganda is taking a leading role in ensuring that all NTBs are eliminated to foster economic growth in the country. The Ministry greatly applauds this support from TradeMark Africa which will strengthen the advocacy and monitoring efforts on NTBs”, said Hon. Amelia Kyambadde, Minister of Trade Industry and Cooperatives.

“TradeMark Africa is pleased to a key partner with the Ministry of Trade in eliminating NTBs in Uganda, Said, David Stanton, TradeMark Africa (TMA) Deputy CEO, Country Programmes.
Going forward, TradeMark Africa (TMA) has agreed to fund implementation of this strategy. Specifically, the key expected outcome is that relevant Ugandan organisations will remove NTBs and new ones will not be reinstated. The key objectives to be delivered by the project include:

  • Uganda National Monitoring Committee (NMC) is effectively established and its capacity for monitoring of NTBs enhanced
  • Increased capacity of NMC in advocacy for eliminating of NTBs at national and regional level
  • Improved mechanisms for elimination of cross-border NTBs
  • Improved NTB reporting by the private sector and expeditious coordination by MTIC for remedial action
  • National and regional dispute resolution mechanisms established

Major project components will include setting up of an information exchange system that will lead to improved NTB reporting by the private sector and expeditious coordination by MTIC for remedial action, improving institutional coordination to eliminate NTBs, putting in place a communication and advocacy strategy to eliminate NTBs and realigning national laws, regulations and agency structures to eliminate NTBs.

A secretariat to manage the programme will be established at MTIC. The programme shall be managed by the project management unit (PMU) supervised by a project manager who is a staff of MTIC. The project management team will be supported by one full time staff and a short term consultant.
In delivering this support TradeMark Africa (TMA) aims to assist Uganda through:

  • A reduction in transport and related costs along the key corridors in East Africa.
  • Supporting EAC institutions to develop a comprehensive framework for regional integration.
  • Supporting partner states to substantially increase the implementation of a comprehensive framework for regional integration.
  • Engaging private sector and civil society to positively influence regional integration policies and practices for growth in trade.

TradeMark Africa (TMA) Uganda country programme supports key ministries and agencies to participate more effectively in EAC negotiation processes and implement decisions accordingly. Further, the programme supports improvements of hard and soft infrastructure at selected borders through establishment of one-stop border posts. Uganda Revenue Authority will be supported to upgrade Customs IT systems to ensure faster processing of trade documents.

Find out more about Trademark East Africa.

NOTES FOR EDITORS

To arrange for interviews please contact :

Annette Mutaawe Ssemuwemba
Country Director, Uganda
Phone: +256 (0)787 020 148
Email: annette.mutaawe@trademarkea.com

Source: TradeMark Africa (TMA)

 

TradeMark Africa (TMA) is an aid-for-trade organisation that was established with the aim of growing prosperity in East Africa through increased trade. TradeMark Africa (TMA) operates on a not-for-profit basis and is funded by the development agencies of the following countries: Belgium, Canada, Denmark, Finland, the Netherlands, UK, and USA. TradeMark Africa (TMA) works closely with East African Community (EAC) institutions, national governments, the private sector and civil society organisations.