Kenya and Tanzania have been working to end the prolonged trade dispute between them. The two nations have been at odds over economic and logistical matters.
In 2018, Tanzania introduced a 25 per cent import duty on confectionary imports from Kenya. Tanzania has a ban on Tour operators from accessing the Serengeti National Park. Similarly, Kenya has barred Tanzanian tour vans from visiting Maasai Mara National Park.
Officials from the two East African nations met in Arusha in April to resolve the disagreements between them. It was the fourth bilateral meeting between the government representatives.
“Our trade teams have been meeting because we need to resolve these issues amicably,” said Adan Mohamed Kenya’s Minister in charge of EAC affairs.
The next forum is expected to be held in Kenya’s Coastal City of Mombasa in July. Chris Kiptoo, the Principal Secretary in the Department of Trade revealed that Kenya and Tanzania have resolved 19 Non-Tariff Barriers and expect to reach an amicable agreement for the remaining 18 Non-Tariff Barriers.
The persistent disagreements between Kenya and Tanzania have resulted in massive losses for traders in the two economies. Tanzania is one of the top destinations for Kenyan exports. Kenyan goods and services worth KSh28.5 billion were traded in Tanzania in 2017.
The longstanding trade disputes among East African nations have resulted in low Intra-regional trade. Business transactions among EAC countries stand at 20 per cent compared to the South African Development Community at 58 per cent and the European Union at 68 per cent. The East African Business Council aims to end the trade disagreements and to allow the free movement of goods, labor, and capital within the East African Community.
