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    Kenya-COMESA Deal To Increase Cross Border Trade

    Fred
    By Fred Obura
    - July 19, 2023
    - July 19, 2023
    African Wall StreetPublic PolicyTrade
    Kenya-COMESA Deal To Increase Cross Border Trade

    Fish traders are among those set to benefit from an agreement recently signed between COMESA and the government aimed at improving participation in cross-border trade within the Eastern Africa Region.

    The agreement provides technical assistance to enhance market access, expansion of value chains through the RECAMP (Regional Enterprise Competitiveness and Access to Markets Programme).

    The project is aimed at increasing the effective participation of Fish Traders in cross-border trade within the Eastern Africa Region by working with Non-State Actors through the Eastern Africa Platform of Non-State Actors in Fisheries and Aquaculture (EARFISH).,

    With an allocation of EUR 142,177.2, the project is part of the EUR 8.8million RECAMP which aims to increase private sector participation in sustainable regional and global value chains through improved investment/business climate and enhanced competitiveness in the COMESA region. The RECAMP is focused on building capacity of SMEs in Agro-processing, horticulture and leather products, value chains pre-selected based on the potential to generate value addition, to create jobs, and to attract investments in the region.

    The government and COMESA Secretariat also signed an agreement sub-delegating the implementation of coordinated border management activities at Moyale, the Kenya- Ethiopia border post.

    A total of €2,349,790 million has been allocated to the sub-delegation agreement under the European Union funded Trade Facilitation Programme (TFP), a project aimed at enhancing Kenya’s progressive participation in the regional and international integration agenda through the progressive removal of trade barriers at the border.

    Kenya will receive support in the development of improved and harmonized regulatory frameworks and procedures at its border crossing with Ethiopia. This is in line with international and regional standards and best practices.

    Activities will focus on upgrading priority cross-border infrastructure and procurement of equipment aimed at improving cross-border trade and transport facilitation at the Moyale border post between Kenya and Ethiopia.

    The project will also support the capacity building of border agencies and national stakeholders on Coordinated Border Management, procurement of equipment to facilitate non-intrusive inspection of goods and upgrading of the electronic cargo tracking system to enhance transit controls.

    The project is part of the EUR 48 million COMESA Trade Facilitation Programme (TFP), financed under the 11th European Development Fund, through a grant agreement of the EU with COMESA, signed in November 2018.

    The TFP has five key result areas, covering among others, deepening regional integration, improving inclusive regional economic growth and enhancing the competitiveness of the COMESA region.

    “These agreements will contribute significantly to increased market access, expansion of value chains, improved border management and reduction of challenges experienced in trade flows of goods, persons and services,” said Jacek Jankowski, Ambassador of the European Union to Zambia and Special Representative to COMESA.

    “Overall, a valuable contribution to sustainable regional impact in trade development, private sector development and value chain support.”

    Cabinet Secretary, National Treasury and Planning, Kenya, Prof. Njuguna Ndung’u welcomed the agreement as a well-timed economic partnership intervention by EU under the COMESA stewardship, as it would help boost regional trade at a time the economy was gearing to recover from the impact of Covid-19 pandemic.

    The Cabinet Secretary for Investments, Trade and Industry, Moses Kuria, on his part argued that the funds would go a long way into modernizing the One Stop Border Post at Moyale with a view to reducing logistical and documentation costs. Further, this will augment the efforts of a Simplified Trade Regime Between Kenya and Ethiopia.

    The Principal Secretary, State Department for Trade, Alfred K’Ombudo pledged his full support by fast-tracking all the processes and procedures the projects may require ensuring timely implementation. The PS noted with concern the late entry into force of the agreements but reassured all the concerned parties that his technical team and the key stakeholders will ensure that the projects run as per planned schedules.

    Kapwepwe said COMESA will facilitate financial, logistical and administrative processes in line with the contractual obligations. She said the funds will also support the review of the legal and regulatory framework for operation of the OSBP at Moyale, capacity building for stakeholders on innovative and state of the art border operations, improvement of disease control infrastructure and facilities especially in the advent of the Covid-19 pandemic, and the sensitization of stakeholders on trade facilitation and border operations to improve compliance.

    “We applaud the commitment to ensure the signature of these two agreements. This indicates the continuous efforts being made to achieve the goals set out in the two programmes, even in the face of challenges experienced in the recent past in Kenya and Ethiopia,” noted Jacek Jankowski.

    Comesa Launches Online Platform for Traders in the Regional Bloc

    The Kenyan Wall Street

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