EAC boss decries non-tariff barriers within Community

By Raymond Baguma                                            

There is still slow progress in the removal of Non-Tariff Barriers in the East African Community (EAC) despite efforts in implementing commitments made in the customs union and common market protocol.

The EAC Secretary General, Dr. Richard Sezibera said that despite the coming into force of the common markets protocol, challenges still persist in trade facilitation and movement of people, goods, capital and labour across the EAC partner states.

According to Sezibera, this is not made better by the poor state of infrastructure, the slow pace of harmonization of work permits, who called for more efforts from regional governments, private sector, and civil society.

Sezibera was on Friday speaking at the third annual Secretary General’s consultative forum at Imperial Resort Hotel in Entebbe. The forum aims to provide a platform for dialogue between the private sector, civil society and other interest groups with the EAC Secretary General on how to improve the regional integration process.

The Secretary General’s remarks resonate with a study released in August by the East Africa Policy Centre which noted that formal and informal trade barriers remain major obstacles to economic growth and social development in the EAC.

Mike Rotich, the EAPC executive director said high transportation costs due to corruption, bureaucratic delays and poor infrastructure are an impediment despite the measures put in place to drive business.

The study found that overheads and bribes account for almost 19 per cent of the companies’ total operation costs.

Drivers who were interviewed claimed that many unexpected overcharges and bribes have to be paid at check points and weighbridges on the borders.

Sezibera however noted that the private sector has contributed to the elimination of NTBs through monitoring and advocacy. For instance, to date 55 non-tariff barriers have been resolved, although 22 remain unresolved with 6 have been recently identified.

Speaking on behalf of the business community during the forum, John Bosco Rusagara the board member of the East African Business Council (EABC) pointed out that work permits are highly priced within the region, and with the heavy paper work issuance of work permits takes long.

The two-day forum held under the theme, “EAC: My home, My Business,” was attended by over 100 participants drawn from regional professional bodies of Burundi, Kenya, Rwanda, Tanzania and Uganda. There were also academia, media and EAC organs and institutions, development partners and other interest groups.

Prof. Tarsis Kabwegyere, the minister for general duties in the office of the Prime Minister said that Uganda had made progress in implementation of the common market protocol, citing the issuance of national IDs to facilitate movement of people in the region.

Kabwegyere also cited the removal of road blocks along the northern corridor within Uganda, the adoption of 352 of the 1,250 regional standards, and the setting up of a One-Stop Border Post at Malaba scheduled to be completed in November this year.

“With respect to the movement of workers, the key milestones are abolition of fees on work permits but on a reciprocal basis and the finalization of arrangements to pilot the national manpower survey,” said Kabwegyere.