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Traders want EAC states to cut cross-border fees

Women and youth traders from Uganda raised concerns about Kenya’s excise duty on eggs.

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by VICTOR AMADALA

Business06 December 2024 - 08:20
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In Summary


  • Pressure groups representing women and youths called on East Africa states to eliminate fees and charges imposed by multiple regulatory bodies.
  • Challenges raised by traders and clearing agents at Busia OSBP include system failures, inactive call centers, the lack of a mobile cargo scanner in Kenya.

Trucks along the Kenya Tanzania border of Namanga /FILE

Multiple fees charged by various cross-border regulatory bodies are hurting traders in the region.

Speaking during AGRA Public-Private Dialogue on Non-Tariff Barriers (NTBs) at the Busia One-Stop Border Post, pressure groups representing women and youths called on East Africa states to eliminate fees and charges imposed by multiple regulatory bodies.

The lobby groups pointed fingers at state bodies plant health, standards bodies, phytosanitary, counterfeit, biosafety, port health, and agriculture food authorities to ease trading in cereals and horticultural products under the EAC Simplified Trade Regime (STR).

Frank Dafa, EABC manager for trade in goods, representing East Africa Business Council acting executive director, Adrian Njau, said that the EAC Simplified Trade Regime (STR) has enabled cross-border traders to access the Simplified Certificate of Origin, exempting consignments valued under $2,000 from import duties.

According to the report, for the export of 2–5 tonnes of cereals between Uganda and Kenya, traders must navigate seven different trade facilitation agencies at the border, with inspection fees and testing charges totalling approximately Sh20,000 $200 ), which is around 10 per cent of the consignment value.

Dafa wants governments to direct these agencies to eliminate fees and charges, noting that the costs, combined with unclear processes, transport, and logistics, are significant barriers for women and youth traders to benefit from using the STR.

Women and youth traders from Uganda raised concerns about Kenya’s excise duty on eggs, which has rendered them un-competitive halting the exports of eggs.

During the forum, farmers and traders were urged to use seeds certified by the International Seed Testing Certificate Association and to adopt good agricultural practices and post-harvest techniques to avoid mycotoxin contamination and harmful pesticides.

Challenges raised by traders and clearing agents at Busia OSBP include system failures, inactive call centers, the lack of a mobile cargo scanner in Kenya, and un-gazetted roadblocks at Korinda Prisons, Suo, Mundika, and Total.

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