A consortium led by the Rotterdam School of Management and Docklab has recently been awarded a grant of nearly half a million euros. This grant will be used for a project focusing on the digitalization of AGF (Potatoes, Vegetables, and Fruit) chains between Kenya, the Netherlands, and the United Kingdom. The project stands out for its end-to-end approach, meaning it integrates the entire chain, from production to consumption. It involves key players such as the Trademark Africa platform, developed by IOTA, and the British Institute for Export and International Trade. Dutch companies like CargoLedger and Annona, an impact fund active in West Africa, also play a crucial role in this consortium. Digitalization as the key to success The emphasis is on improving product quality and adhering to ESG standards (Environmental, Social, and Governance) within these chains. With the recent shift towards digitalization, this project offers a unique opportunity to accelerate this process. Key parts of the project include the digital transfer of ownership and the use of advanced digital solutions like the supply chain twin technology. These initiatives build on previous projects such as GEDAC and Spark! LivingLab. Wageningen University and Windesheim University of Applied Sciences will contribute their expertise in digitalization in AGF chains and modeling complex chains. The Port of Rotterdam and GroentenFruit Huis also support this project, focusing respectively on global Green & Digital corridors and promoting digital innovation within the AGF sector. The project promises not only a transformation in AGF chains but also sets an...

What you need to know: The East African Community (EAC) bloc has been urged to aggressively invest in import substitution industries (ISIs) to promote exports Increased exports through local manufacturing would additionally reduce existing trade gaps from soaring imports. These are among the recommendations made by a just concluded study which examined trade implications for the bloc under the African Continental Free Trade Area (AfCFTA) agreement. The study by the East African Business Council (EABC) urged the EAC member countries to complement ISIs by embracing various AfCFTA instruments. Those already operational include Pan African Payment and Settlement System (PAPSS) but which is yet to be accessible to some partner states. Intensive investment in the EAC manufacturing sector would also enable the region to promote value addition and product diversification. The study revealed untapped trade potential between the EAC countries which, it says, needs to be leveraged following AfCFTA tariff liberalisation. It was found out that the EAC partner states import more from the rest of Africa than they export, creating a trade gap that presents an opportunity that needs to be addressed. “The business community in EA should focus their production on goods that EAC and the rest of Africa countries source from the rest of the world,” the report said. On average, 80 percent of EAC countries exports went to the rest of the world and consisted of mainly primary products. On the other hand, 81 percent of their (EAC states) imports came from the rest of the world...

In Summary The deals will facilitate private investment in cool-logistics infrastructure to support the transportation of fresh produce by sea. This will involve aspects of logistics such as port facilities, transportation networks and regulatory frameworks. Kenya's horticultural exports to key markets of UK and the Netherlands could triple as it goes big on sea freight logistics in partnership with the two countries. The country has signed a deal with both markets to develop a cool-logistics corridor for Kenya’s produces. The deals will facilitate private investment in cool-logistics infrastructure to support the transportation of fresh produce by sea. This will involve aspects of logistics such as port facilities, transportation networks and regulatory frameworks. Transport Cabinet Secretary Kipchumba Murkomen, said the cool-logistics corridor aim to set new standards for transporting fresh produce and in turn boost bilateral trade and grow Kenya's agricultural sector. “A well-functioning sea freight logistics system for perishables could double or even triple Kenya's horticultural exports, and that could create up to three million jobs in the horticultural and agro-logistics industries,” the CS said, during the signing of the deal with Dutch Ambassador in Kenya, Maarten Brouwer. Nearly half of Kenya's fresh produce exports, mainly flowers go to the Netherlands, with avocado exports also increasing substantially in recent years. The value of exports to the Netherlands was Sh69.7 billion in 2022, Kenya Economic Survey 2023 indicates, up from Sh61.6 billion. Those to the UK however dropped to Sh44.5 billion from Sh49.4 billion the previous year. The deal comes at...

Ethiopia is exploring the possibility of using Lamu port to import fertiliser as part of an effort to expand its port destinations beyond Djibouti, which handles the bulk of its cargo. Even though the idea to use Lamu was proposed years ago, it has not been used up to this point. A delegation from Ethiopia has conducted a fact-finding mission on Lamu and Mombasa ports and is optimistic that they will be able to strike a deal with Kenya. State Minister of Ministry of Transport and Logistics, Denge Boru stated, “The delegation has visited the port and road conditions up to Moyale, whether or not it is suitable for the operation.” To ensure a seamless operation, various paperwork and agreements between the two countries will need to be completed before the service is launched via Lamu. Due to security concerns in the Red Sea, Ethiopian cargo is now handled through Mombasa despite the obstacles that separate it from Djibouti. The catalyst for this shift stems from delays experienced by inbound and outgoing cargo at ports in Djibouti, attributed to vessel operators reducing their operations along the Red Sea route. With vessels navigating the Red Sea and the Gulf of Aden facing security risks, including attacks by Houthi militants in Yemen, shipping corporations have been compelled to seek alternative routes to ensure the timely and safe delivery of goods. According to the proposal, the government intends to use Berbera Port in Somaliland as a substitute for cargo imports, primarily for the...

TradeMark Africa, avec son vaste éventail de partenaires, a réalisé des progrès significatifs dans la mise en place de nouveaux projets et dans la poursuite des initiatives de facilitation du commerce à travers l'Afrique. En collaboration avec le gouvernement de la République démocratique du Congo (RDC), TMA a officiellement remis le port de Kalundu, situé à Uvira, dans la province du Sud-Kivu. Cette initiative s'inscrit dans le cadre d'un effort plus large visant à stimuler le commerce régional et le développement économique le long des rives du lac Tanganyika et dans la région des Grands Lacs. TMA a également signé un accord de soutien au partenariat avec le gouvernement zambien afin de moderniser le poste frontière à arrêt unique de Nakonde, une route commerciale clé entre la Zambie et la Tanzanie. Financé par le gouvernement britannique, le projet de 197 millions de ZMK (7,1 millions de livres sterling) améliorera le flux de marchandises et de personnes le long du corridor Dar es Salaam, promettant de rationaliser les opérations et de réduire les temps de dédouanement des marchandises de plus de 100 % des deux côtés de la frontière. Au Ghana. Le programme ERRA (Economic Recovery and Reform Activity) de l'USAID mis en œuvre par TMA, avec un financement de Feed the Future, a engagé 550 000 dollars pour le développement et la mise en œuvre d'un système intégré de gestion de la flotte (iFMS) destiné à rationaliser les opérations de la flotte le long du corridor Éthiopie-Djibouti. En Afrique de...

La voie est libre pour l'intégration complète de la République démocratique du Congo (RDC) dans la Communauté de l'Afrique de l'Est (CAE). Cela fait suite à un exercice de renforcement des capacités récemment organisé pour les fonctionnaires de l'un des nouveaux entrants dans le bloc sur les différents cadres juridiques de l'intégration. Ces cadres comprennent l'Union douanière, un pilier essentiel qui a établi des droits de douane nuls sur les biens et les services échangés dans la région. L'Union douanière a également convenu d'un tarif extérieur commun (TEC), en vertu duquel les importations en provenance de l'extérieur de l'Union sont soumises au même tarif lorsqu'elles sont vendues à n'importe quel État partenaire de la CAE. Dans le cadre de l'union douanière, en vigueur depuis 2005, les marchandises circulant librement au sein de la CAE doivent respecter les règles d'origine de la CAE. Selon le secrétariat de la CAE, la sensibilisation des fonctionnaires de la RDC à Kampala a également porté sur le cadre juridique et les procédures du poste frontalier unique (One Stop Border Post - OSBP). "L'objectif principal de l'atelier de renforcement des capacités est de sensibiliser les fonctionnaires de la RDC à l'intégration régionale de la CAE", a déclaré le secrétariat dans un communiqué. La RDC, un pays géant au cœur de l'Afrique, a été admise comme septième membre du bloc le 29 mars 2022. La sensibilisation des hauts fonctionnaires a été précédée d'une formation de 32 agents frontaliers de la RDC au prochain poste de Mahagi/Goli (OSBP)...

The United States and the nations of Africa enjoy a vibrant, multifaced relationship focused on expanding partnerships, global cooperation, and shared prosperity. These countries also share another powerful bond: people. In the 2020 Census, more than 14.4% of Americans self-reported tracing their heritage to the African continent, and these cultural and familial ties provide a source of strength in building bridges through business. Most small businesses do not export, but when they do, they tend to export to markets closest to them. The reasons to encourage small business owners, who make up 99% of all U.S. entrepreneurs, to consider new markets lie in a staggering statistic: 96% of the world’s consumers live outside the United States. Yet only one percent of all U.S. companies export, and when they do, these exporters are overwhelmingly small businesses, and nearly half of these firms sent the bulk of their goods to Canada, Mexico, the United Kingdom, and Japan in 2019. That makes the African diaspora a powerful force for building bridges and expanding our economic partnership with the fast-growing countries across Africa. The U.S.-Africa Business Center’s mission to expand U.S.-Africa trade and investment led to the launch of Advance with Africa, with its goal of encouraging more U.S. companies—particularly diaspora-led ventures—to play a role in increasing commercial flows, educating them about doing business in Africa and equipping them with the tools to do so. The Power of Diaspora Ties Recognizing the vital cultural, socio-economic, and commercial ties connecting the United States and Africa through the...

What you need to know: The DRC, a giant country in the heart of Africa, was admitted as a seventh member of the bloc on March 29th, 2022. Arusha. The way has been cleared for the full integration of the Democratic Republic of the Congo (DRC) into the East African Community (EAC). This follows a recently held capacity-building exercise for officials of one of the new entrants into the bloc on various legal frameworks for integration. The frameworks include the Customs Union, a key pillar that established zero duty on goods and services traded within the region. The Customs Union also agreed on Common External Tariff (CET), whereby imports from outside the bloc are subjected to the same tariff when sold to any EAC partner state. Under the Customs Union, which has been in force since 2005, goods moving freely within the EAC must comply with the EAC Rules of Origin. According to the EAC secretariat, sensitization of the DRC officials in Kampala also focused on the One Stop Border Post (OSBP) legal framework and procedures. "The main objective of the capacity-building workshop is to sensitise the DRC officials on EAC regional integration," the organ said in a statement. The DRC, a giant country in the heart of Africa, was admitted as a seventh member of the bloc on March 29th, 2022. The sensitization stint of the senior officials was preceded by a training of 32 DRC border officials at the upcoming Mahagi/Goli (OSBP) between the DRC and Uganda. The...

The AfCFTA Agreement and Charter are aimed at providing a broader and deeper economic integration across the African Continent as well as attracting Trade Investment, boosting Trade, providing better jobs, reducing poverty, and increasing Economic prosperity in Africa. On 14th March 2024, Stakeholders in Digital Trade Protocols assembled at the LA Palm Royal Beach Hotel to deliberate on the Role of Stakeholders in advancing the course of Digital Trade in Africa and assessing the AfCFTA Digital Trade Protocol in terms of its implementation and impact on Ghana that will leverage for trade barriers and restrictions that has affected trade investment in Ghana and Africa as a whole. The event was organised by the Ministry of Trade and Industry, ODI.org, and the Global Policy House supported by UK International Development and Supporting Investment Trade in Africa (SITA). Core issues discussed and assessed by the stakeholders Forum were Digital Trade and E-commerce as catalysts for addressing trade restrictions how digital Trade Protocol could contribute to GDP growth in GHANA and the role of the Private Sector in ensuring that these objectives of AfCFTA Digital Trade Protocols are achieved to better the lot of the African people. According to Mr. Seidu who represented the Private Sector, AfCFTA Digital Trade Protocols well implemented could promote cohesive intra and inter-trading activities within Ghana and beyond. It will enhance Revenue collection and address the loopholes in revenue generation. Accordingly, he suggested an inter-agency conversation and political will to address cyber security, Data, and Internet penetration in...

The African Continental Free Trade Area (AfCFTA) is expected to significantly boost intra-Africa trade when fully implemented, but small businesses in East Africa are not happy about it, as it may not bode well for them. A survey by the East African Business Council (EABC), a lobby for private-sector players in the East African Community (EAC), shows that small businesses in the region are worried that a full take-off of AfCFTA could edge them out of business, unless they change tack. Battered by a raft of challenges at home and dissatisfied with the progress in the elimination of intra-EAC trade barriers, the small businesses worry they may not withstand the competition from AfCFTA, which could force many of them to close down. “Intense competition arising from AfCFTA tariff liberalisation is likely to drive weaker enterprises out of business; unless they scale up their efficiency levels,” EABC says in the survey co-published with the African Export-Import Bank. AfCFTA, when fully implemented, is expected to reduce to zero 97 percent of tariffs countries charge on goods from across Africa, opening new markets for East African businesses. But, since they are yet to fully exploit the regional market, they are not that excited about the continental customer base. Theoretically, AfCFTA is projected to boost eastern Africa’s exports to other African countries by at least $1 billion annually, creating up to 1.9 million jobs and lifting 65 million Africans out of extreme poverty, according to estimates by the United Nations Economic Commission for Africa...