Trade relations
between Nairobi and Dar es Salaam have appeared to sour in recent years
because of tariff and non-tariff barriers.
between Nairobi and Dar es Salaam have appeared to sour in recent years
because of tariff and non-tariff barriers.
The two squabbling
neighbours are yet to fully resolve long-running trade disputes that
have seen blockage of goods at the Namanga border despite being
signatories to the EAC Common Market Protocol, which allows free
movement of goods, services, capital and labour within the bloc.
neighbours are yet to fully resolve long-running trade disputes that
have seen blockage of goods at the Namanga border despite being
signatories to the EAC Common Market Protocol, which allows free
movement of goods, services, capital and labour within the bloc.
The persistent
squabbling has thrown trade flow across the neighbouring countries into a
tailspin and eventually forcing a truce at ministerial level on July 5.
squabbling has thrown trade flow across the neighbouring countries into a
tailspin and eventually forcing a truce at ministerial level on July 5.
The truce followed a directive by President Uhuru Kenyatta and his Tanzanian counterpart John Magufuli last February.
Bilateral meetings
A joint statement
on July 5 following months of bilateral meetings between Kenya’s Trade
PS Chris Kiptoo and his counterpart Elisante ole Gabriel said a truce
over trade tensions had been reached.
on July 5 following months of bilateral meetings between Kenya’s Trade
PS Chris Kiptoo and his counterpart Elisante ole Gabriel said a truce
over trade tensions had been reached.
“The two partner
states have called for effective and timely implementation of agreements
made during bilateral meetings with a view to ease the flow of goods
and services,” read a joint communique from Dar.
states have called for effective and timely implementation of agreements
made during bilateral meetings with a view to ease the flow of goods
and services,” read a joint communique from Dar.
The deal with Dar
was reached after Nairobi agreed not to ask for an extension of a stay
on duty on textiles from EAC secretariat, meaning EPZ textiles firms
will pay tax if they sell within EAC.
was reached after Nairobi agreed not to ask for an extension of a stay
on duty on textiles from EAC secretariat, meaning EPZ textiles firms
will pay tax if they sell within EAC.
“We are making
progress. There’s now improved relations between us and Tanzania.
There’s an open channel; I can call the (Tanzanian) PS, he can also call
me any time and resolve issues,” Dr Kiptoo said on June 28.
progress. There’s now improved relations between us and Tanzania.
There’s an open channel; I can call the (Tanzanian) PS, he can also call
me any time and resolve issues,” Dr Kiptoo said on June 28.
“I have really
focused on this from last year… although there are other issues beyond
us because they relate to other institutions such KRA, TFDA and TRA.”
focused on this from last year… although there are other issues beyond
us because they relate to other institutions such KRA, TFDA and TRA.”
Latest protests
The latest protests
on Saturday that saw transport and business paralysed at the Namanga
border, however, indicate that the problems has yet to be resolved.
on Saturday that saw transport and business paralysed at the Namanga
border, however, indicate that the problems has yet to be resolved.
The Kenyans were
protesting mistreatment by the Tanzanian authorities after several milk
traders were arrested and taken into custody.
protesting mistreatment by the Tanzanian authorities after several milk
traders were arrested and taken into custody.
The latest incident
piles on to the recent spats between the two countries, which
highlights an increasingly strenuous relationship.
piles on to the recent spats between the two countries, which
highlights an increasingly strenuous relationship.
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