Posted on February, 11, 2022 at 08:10 am
Kenya-Tanzania bilateral trade hit $905.5million (Sh102.8billion) in 2021 for the period January to November 2021, according to the Central Bank of Kenya.
The details were presented at an East Africa Business Council (EABC) trade facilitation forum at Namanga border.
“Kenya imports from Tanzania stood at $501 million (Sh56.8billion) and exports $403.9,” said EABC Chief Executive Officer, John Kalisa.
He hailed Presidents Samia Suluhu and Uhuru Kenyatta for resolving some of the Non-Tariff Barriers leading to better trade ties.
The Namanga border station manager said they clear 250 trucks daily, a three-fold increase from May last year.
Freight forwarders called for the separation of the Import Declaration Forms from the Integrated Customs Management System and the setting up of a permanent cargo scanner at the border to facilitate trade.
Daniel Wainaina, chairman Kenya International Freight and Warehousing Association said that the clearing cost of cargo on the Kenya side has gone up by 70 per cent due to multiple processes and departments.
He said that for a 20 metric tonne truck, the cost is approximately $200 (Sh22,710) resulting in un-competitiveness.
Gerald Masila, CEO of East African Grain Council said the council spearheaded the development of EAC harmonised standards on grains and cereals and standards on sampling and testing to boost cross-border trade.
The traders called for more extra staff to be deployed at the Agriculture Food Authority of Kenya to facilitate approval of pre-applications of maize imports from Tanzania and joint testing of aflatoxin to be undertaken preferably in Arusha to reduce the number of rejections at the border.
Paloma Fernanda, CEO of Cereal Millers Association said there is need of a joint campaign to tackle aflatoxin from farm level to reduce and post-harvest losses.
Sarah Keiya and Alice Lemowo said Tanzania should allow for the use of national identity cards as travel documents, set up of daycare centre for children, sensitisation & capacity building on the customs procedures plus exports of beaded jewellery to oversee markets.
Peter Musiba from the Tanzania Bureau of Standards said the country is tackling aflatoxin by setting up testing points in areas in Dodoma, Shinyanga and Singida to facilitate trade of cereals.
Irene Musebe from Kenya's Ministry of East African Community said plans are underway to set up a market near the border of Namanga to support cross-border trade.
She promised that women engaging in cross-border trade will be allocated stalls at the Jumuiya Market.
“The EAC Common Market is alive through trade facilitation,” said Tanzania's Ministry of Foreign Affairs and East African Cooperation official Eugenia Mwesiumo.
She said cross border agencies play an important role in easing trade.
Lack of mutual recognition of product standards, system failures leading to delay in issuance of documents, multiple roadblocks on both sides and cargo scanner failures leading to cargo trucks traffic jams were some of the challenges cited by traders.
The forum recommended regular joint border management committee meetings, simplification & publication of customs procedures, trade information desk for women cross-border traders, capacity building programs to tackle aflatoxin and transform aflatoxin-infected cereals into ethanol and industrial glue.
Source: The Star