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For almost a decade now, Tanzania has been aggressively pushing to increase its volume of trade with Uganda.

Tanzanian officials have severally been in direct contact with leaders of the Uganda business community, with the government (Tanzania) pushing for 10% of Uganda’s share of trade with Kenya.

These efforts are beginning to yield results with the volume of trade estimated to reach $1 billion (sh3.8 trillion) in 2022.

According to the vice chairperson at Private Sector Foundation Uganda (PSFU) Sarah Kagingo, the trade through the central corridor has realised improvement in agriculture, mining, energy, and commerce, among others.

John Mulimba, the Minister of State for Foreign Affairs in charge of Regional Affairs at the Business Forum on Thursday. (Courtesy Photos)

She made the revelation today, May 23, 2024, during the Uganda-Tanzania Business Forum 2024 at the Johari Rotana Hotel in Dar es Salaam, Tanzania.

“The strong cultural and commercial ties between Uganda and Tanzania reached $1 billion in 2022,” she emphasized, noting that key sectors such as agriculture, minerals, and manufactured goods are driving economic opportunities for many Ugandans and Tanzanians.

Kagingo expressed gratitude to both governments for their support in integrating and growing markets, which benefits businesses of all sizes.

She highlighted Uganda's efforts to leverage the African Continental Free Trade Area (AfCFTA), aiming to work closely with Tanzanian counterparts to scale trade.

AfCFTA is part of the African Union Agenda 2063 flagship initiative established to create an integrated continental market for goods and services and to support the movement of capital and natural persons.

Raphael Maganga, CEO of the Tanzania Private Sector Foundation.

Full implementation of the agreement is expected to reshape markets and economies across the region and boost output in the services, manufacturing, and natural resources sectors.

Mr. Raphael Maganga, CEO of the Tanzania Private Sector Foundation, highlighted that Uganda🇺🇬 and Tanzania🇹🇿 traded approximately $400 million last year, with Tanzania exporting $192 million in goods.

He emphasized Tanzania's significant government-led reforms, which have created one of the most conducive business environments in the region. "The Tanzania Investment Center's incentives and public-private partnership reforms signal Tanzania's readiness for investment," he said.

Maganga also addressed issues hindering trade, such as non-tariff barriers costing an estimated $16 billion in the EAC, high trade costs, and the need for improvements like the multipolar one-stop border post and the Port of Dar es Salaam.

The forum focuses on key sectors including mining, energy, commerce, and logistics.
economies into industrial powerhouses with improved living standards.

Col. Fred Mwesigye Uganda's High Commissioner to Tanzania and PSFU's Sarah Kagingo at the Forum.

The exhibition's biggest attractions at the Forum include the Kayoola Solars Bus. 'Kayoola' loosely translated as 'mass carrier' bus, is powered by solar energy to make it environment friendly.

Day one events included a keynote address by Tanzania’s Prime Minister Kassim Majaliwa.

John Mulimba, the  Minister of State for Foreign Affairs in charge of Regional Affairs,
called on participants to engage purposefully in discussions, network with partners, and explore potential areas of collaboration for mutual benefit.

Tanzania's Prime Minister Kassim Majaliwa pictured in the exhibition hall moments before delivering a keynote address on Day One.

“I encourage all participants to actively engage in the discussions, network with fellow partners, and explore potential areas of collaboration that will benefit both Uganda and Tanzania. Let us seize this opportunity to foster deeper economic integration, promote trade and investment, and create a conducive business climate that will drive our countries towards shared prosperity and success, “ he said while addressing delegates at the opening.

Mugimba also urged the Government of Tanzania through Premier Majaliwa, to consider procuring the fleet for the Dar es Salaam Bus Rapid Transit System Project from Kiira Motors Corporation.

Why Forum

The Uganda High Commission in Dar es Salaam is hosting the 2nd Uganda-Tanzania Business Forum to boost economic ties between the two countries, following the success of the 2019 edition focused on 'Promoting Bilateral Trade and Investment for Growth and Sustainable Development'.