The EAC has deferred the clearing of sensitive goods through the Single Customs Territory until some concerns have been addressed.

The four products — sugar, alcoholic and non-alcoholic drinks, second-hand clothes and edible oil — were withdrawn by Kenya, Uganda and Rwanda after stakeholders termed them as “controversial goods.”

“The lack of harmonised quality and inspection standards and uniform taxes by partner states on clearing goods, and the challenge of verifying the origin of the products, are the main issues on clearing these goods,” said Kenya Shippers Council chief executive officer Gilbert Langat.

The goods will remain suspended until the issues are resolved, he added.

EAC states’ national standards bodies are in the process of harmonising quality inspection procedures. The harmonised system is expected to facilitate the inspection of products at the first point of entry into the region.

Harmonised standards mean that a conformity assessment will be done only once, instead of goods being assessed in each country. This is expected to increase efficiency in the movement of goods, the pace of trade and reduce costs associated with assessments.

Mr Langat said sugar, in particular, is a sensitive product for the partner states and the challenge has been how to verify its source.

Since 2008, imported sugar has been finding its way into the Kenyan market either illegally through its porous borders, or legitimately through Comesa.

“It has not been easy to tell whether it is coming from the Comesa countries or outside, and since partner states have accused each other of dumping, which is a threat to local industries, they agreed to suspend the product from SCT until all the concerns have been addressed,” Mr Langat said.

“Once the goods are verified by the originating country, a movement document is generated to allow the trader to transport the goods,” he added.

For edible oil and alcoholic and non-alcoholic drinks, Mr Langat said the lack of uniform quality control and testing standards has made it difficult to know what is allowed in each country.

For second-hand clothes, traders have protested against paying full taxes to clear their goods. Previously they were allowed to store their goods and pay duty over time.

Kenya and Tanzania have created space for their partners to set up Customs clearing units at the Mombasa and Dar es Salaam ports respectively, which will allow Customs agents to work together.

Source: The East African

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