"Non tariff barriers are serious impediments to implementation of the Customs Union and the Common Market protocol but the partner states have started eliminating them," said the EAC Secretary General, Amb. Dr. Richard Sezibera.
He said Mombasa and Dar es Salaam ports are implementing the National Single Window System to redress delays which affect imports and exports through the through use of the Northern and Central corridors. "Between three and four days were being lost at Dar es Salaam port, seven to 10 days at Mombasa port while the surcharge by shipping lines of $12.5 per day after four days of ship arrival while Kenya Ports Authority charge of $20 for 20ft and $40 for 40ft containers after 15 days and a stripping levy of $75 per container," he said at a press conference held in Bujumbura, Burundi.
The press conference was held after the opening of an advanced training on reporting regional integration organised by the East African Community (EAC) and the GIZ office in Tanzania.
He said the partner states are implementing a Community Based Systems (CBS) model to ensure information flow between ports and customs along corridors.
"They are also implementing one-stop documentation centers to speed up clearance of containerized cargo while they continue the modernization process including computerization of procedures to ensure faster clearance.
Restriction of Konyagi products exports into Kenya has also been lifted because it led to loss of business.
There was also lack of preferential treatment on galvanized sheets from Kenya by Rwanda Revenue Authority that had led to loss of business. He said the requirement for certificates of analysis for goods destined to Rwanda and Burundi from Tanzania, Uganda and Kenya have been eliminated.
"This was an extra cost of doing business but now there is mutual recognition of quality marks issued by partner states’ national standards bureax," he said.
The partner states have also abolished a levy of extra charges on Kenya pharmaceutical firms exporting to Tanzania.
Tanzania Revenue Authority was charging $20 for each entry and charges on salespersons totaling $200 per entry but has now been abolished.
A requirement by the Tanzania Revenue Authority of a road consignment note from transporters even before the goods have been packed from Kenya has been abolished, while delays in issuance of tea import licences by Kenya for the Tanzania Tea board has been resolved as the partner states have resolved that import licences are now being issued to tea imports once they avail statistics.
He said a requirement by Tanzania Revenue Authority for executing a bond for import taxes before being issued with stamps for excise duty purposes has been abolished and Tanzania no longer demands execution of bonds.
A requirement by Tanzania Revenue Authority that BAT cigarettes from Kenya should have 75% local tobacco content has been removed because it was leading to loss of business and the two countries agreed to stop application of non-discriminatory excise duty regimes.
Holding and re-testing of milk and milk products bearing Uganda National Bureau of Standards quality mark and imposition of import quotas by Kenya's Ministry of Fisheries and Livestock development, Kenya Diary Board and Kenya Bureau of Standards has been resolved.
There is now political goodwill to mutually recognize inspection procedures, inspection reports and certificates and goodwill to recognize EAC as a single market area.
He said the issue of the Kenyan ban on Ugandan day old chicks has been resolved following pressure from businesses not to recognize products from within EAC due to fear of loss of markets.
The cumbersome testing procedures for food exports and imports into Tanzania from Kenya has been resolved as a lot of time was being lost in testing and certification procedures.
The verification and classification of goods into green, yellow, red by all the partner states revenue authorities is being solved with an introduction of implementation of risk management system.
'There was a lot of corruption during verification while credible importers of goods classified under red channel had to undergo physical verification on each consignment," he said. They have also resolved to the harmonization of internal withholding tax in the region. This followed the charging of 6% withholding tax by Uganda Revenue Authority.
They also abolished the 1.5% levy by the Uganda Diary Board to Kenyan products because it was increasing the cost of doing business.
Partner states have now resolved to recognize certificates of origin and taking on verification missions where origin criteria is doubted.
"Non-recognition of certificates of origin was done by Kenya, Uganda and Tanzania revenue authorities and was worsened by the delays in processing mission reports that would take between 1-2 months resulting into business losses but this has also been resolved,".
They have also agreed to harmonise road toll charges which are being collected by the ministries of roads at entry and exit points.
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