Kisumu
6/11/07
 
EAST AFRICAN BUSINESS PEOPLE SEEKS CUSTOM UNION TO HARMONISE TRADE

By Leo Odera Omolo
 
Representatives of the Business Community in East Africa are currently visiting the various partner states to seek industry views, assess and arrive at a consensus on various proposed changes to the East African Customs Union Common External Tariff.
 
The tour, which started with the visit to Uganda last week, under the auspices of the East African Business Council (EABC)
 
The move follows the recently held Council of Ministers meeting in the Northern Tanzanian Town of Arusha during which the partner States either requested for the staying of application of the CET, or the re-classification of products and splits in the CET.
 
The issue has since been a subject of discussion at the EAC’s secretariat in Arusha for a couple of months.
 
Among the areas are requests for increase import duty on reinforcement bars and angles from 10 per CET of 25 per cent, and the stay of application of CET of 25 per cent on heavy buses as well the increase in duty rate of finished bicycles to 25 per cent up from 10 per cent.
 
Other areas include increase of CET on hides and skins from 10 per cent to 25 per cent to encourage usage of local hides.
 
EABC, the EAC’s   business umbrella wants to hold consultations to develop a harmonized position of the EAC private sector on these issues to enable its members present a common and well-articulated position.
 
EABC’s trade specialist Mr. Moses Ogwal recently said in a statement that the exercise would cover Kenya, Uganda and Tanzania.
 
‘’I presume that the exercise will interest those involved in the affected sectors to be able to fill and generate consensus for such item,’’ he said.
 
Ogwal appealed to the entire private sector players to fully participate in the exercise.
 
The East African Customs Union protocol, which was signed in March 2004, is expected to turn the region into a more viable trading bloc
 
Ends
leooderaomolo@yahoo.com