Kenya has imposed new tariffs on Tanzania in the aftermath of their inability to resolve a trade war.
The trade war was sparked by use of
imported materials in goods made in the countries, setting the stage for
a fresh round of the trade war.
imported materials in goods made in the countries, setting the stage for
a fresh round of the trade war.
Nairobi is believed to have hit back at
Dar es Salaam by imposing new tariffs on Tanzania products like flour
after the neighbouring country ignored a deal that granted Kenyan-made
chocolate, ice cream, biscuits and sweets unrestricted
entry into its market.
Dar es Salaam by imposing new tariffs on Tanzania products like flour
after the neighbouring country ignored a deal that granted Kenyan-made
chocolate, ice cream, biscuits and sweets unrestricted
entry into its market.
Tanzania maintains that it has retained
25 per cent import duty on Kenyan-made confectioneries such as
chocolate, ice cream, biscuits and sweets, citing use of imported
industrial sugar.
25 per cent import duty on Kenyan-made confectioneries such as
chocolate, ice cream, biscuits and sweets, citing use of imported
industrial sugar.
Tanzania will also continue to levy 25
per cent duty on Kenya’s edible oils as well as the Tembo cement brand
produced by Bamburi Cement Factory which it says are made from imported
palm and clinker respectively.
per cent duty on Kenya’s edible oils as well as the Tembo cement brand
produced by Bamburi Cement Factory which it says are made from imported
palm and clinker respectively.
Kenya, on the other hand, is imposing 25
per cent duty on Tanzania’s products like flour which it says are
produced from imported wheat. The row comes barely a month after the two
countries announced an end to all trade disputes.
per cent duty on Tanzania’s products like flour which it says are
produced from imported wheat. The row comes barely a month after the two
countries announced an end to all trade disputes.
A team picked by the East African
Community to audit Kenyan firms concluded in its report that: “Products
manufactured using industrial sugar, when transferred to the EAC qualify
for preferential tariff treatment provided they
meet the criteria set under the EAC rules of origin 2015, and any other
conditions set under the regional customs law.”
Community to audit Kenyan firms concluded in its report that: “Products
manufactured using industrial sugar, when transferred to the EAC qualify
for preferential tariff treatment provided they
meet the criteria set under the EAC rules of origin 2015, and any other
conditions set under the regional customs law.”
Acceptance of the certificate — a
document showing where a good has originated and is used to determine
duty on imported goods — guarantees the entry of Kenyan goods tax-free
passage to Uganda and Tanzania.
document showing where a good has originated and is used to determine
duty on imported goods — guarantees the entry of Kenyan goods tax-free
passage to Uganda and Tanzania.
The EAC common market allows for free
movement of locally manufactured goods. Tanzania and Uganda revenue
bodies have however accused Kenyan manufacturers of tilting competition
in their favour by using imported industrial sugar
under a 10 per cent duty remission scheme.
movement of locally manufactured goods. Tanzania and Uganda revenue
bodies have however accused Kenyan manufacturers of tilting competition
in their favour by using imported industrial sugar
under a 10 per cent duty remission scheme.
Source: BusinessDailyAfrica
