Angola, Democratic Republic of Congo and Zambia, member countries of  Southern African Development Community (SADC), have signed the Lobito Corridor Transit Transport Facilitation Agency (LCTTFA). The LCTTFA Agreement aims to provide an effective and efficient route that facilitates the transportation of goods within territories between the three Corridor Member States, through harmonisation of policies, laws and regulations; coordinated joint corridor infrastructure development strategies and activities; dissemination of traffic data and business information; and implementation of trade facilitation instruments to support greater participation of small and medium enterprises (SMEs) in business value chains mainly in agriculture and mining with the view of increasing trade and economic growth along the Lobito Corridor and across the SADC Region. Honourable Ricardo Daniel Sandão Queirós Viegas de Abreu, Minister of Transport of the Republic of Angola, highlighted that the Lobito Corridor Transit Transport Facilitation Agency will provide alternative trade route for importers and exporters from the DRC and Zambia and improve international and domestic traffic levels. The Agency will promote the sustained maintenance of the infrastructure and stimulate the development of the Lobito Corridor, ensuring that such development, infrastructure and other support services meet the present and future user requirements and encourage the reduction of costs associated with the movement of cargo and passengers along the Corridor. He said the Corridor presents an opportunity for the three Member States to establish and consolidate cooperation in the movement of people and goods; ensure cooperation in rail and road traffic; provide a more efficient and effective route...

South Sudan’s Juba International Airport has the heaviest costs for travellers and transporters, showing just how pricing can be a barrier to movement in the East African region. A study on air transport ranks the Juba airport as the fourth most expensive in Africa in terms of passenger charges, just below Niamey, Monrovia and Bissau airports. The study, released in January and titled ‘‘Air Transport Services Liberalisation in the East African Community, Focus on Drivers and Regulations’’, was carried out by the East African Business Council (EABC), TradeMark Africa (TMA) and the government of the Netherlands. Juba (South Sudan), Melchior Ndadaye International Airport (Burundi) and Entebbe (Uganda) airports have high airport tax on passengers, making them expensive destinations. “The airport tax charged of $122 at Juba International Airport on passengers is above the EAC regional average of $67,” the report says. Infrastructure, qualified personnel EABC chief executive John Kalisa attributes the costs to the lack of well-developed infrastructure and qualified personnel to control the airspace. “The major factors constraining the growth of air transport in EAC especially in South Sudan, is poor infrastructure and insecurity. The airport lacks cold rooms for storage of cargo making, among other facilities,” said Kalisa. “There is also non-uniformity in passenger handling charges in the EAC making some of the airports, including Uganda and Burundi, slightly expensive.” Uganda imposes a charge of $0.6 per boarding pass and the $10 on transfers, which are not imposed by other EAC member countries, other than Burundi which imposes...

Ministry of Trade and Industry Principal Secretary Francis Zhuwao has said the One Stop Border Post project will increase trade, tourism and stimulate the country’s economy. Speaking on Friday when the Parliamentary Committee on Government Assurances and Public Sector Reforms visited Mwami One Stop Border Post in Mchinji, he said the commissioning of the K10 billion facility has improved the way people conduct business at the border. The facility, a collaboration between by Zambia and Malawi, opened operations last year. Said Zhuwao: “The one stop border post concept is a good initiative and the fact that the Mchinji One Border Post is fully operational, we have seen some great improvement in terms of revenue from both sides.” He further said Malawi and Mozambique are finalising the construction of about K12 billion Dedza and Mwanza One Stop Border posts. “At a one stop border post passengers spend less than five to 10 minutes to clear goods. In the past, it took about two hours. So, there is a lot of efficiency,” he said. Committee chairperson Noel Lipipa commended government for initiating the One Stop Border Post project, saying it is improving the way people do business. He said: “We hope that we will have these posts on all borders of entry so that people do not take days to have their goods cleared.” Ministry of Trade and Industry and Malawi Revenue Authority are facilitating the one stop border posts. Ministry of Trade and Industry Principal Secretary Francis Zhuwao has said the...

Summary The excessive costs and associated problems are thought to be resolved by a single air transport services agreement involving all seven East African Community partner states Arusha. Industry players have suggested how the prohibitive air fares in East Africa can be lowered. These have to include total unification of air transport service or deliberate preference to local airlines registered rather than the international carriers. A single air transport services agreement binding all seven East African Community (EAC) partner states is seen as a solution to the exorbitant costs and related challenges. “It will lower the cost of air tickets for both passengers and cargo in the region,” said the East African Business Council (EABC) executive director, John Bosco Kalisa. He made the appeal on Wednesday during a validation webinar for the recently concluded study on air transport services Liberalisation in the EAC bloc. He challenged the EAC partner states to give “favourable treatment” to the EAC airlines in order to lower the fares through proximity and economies of scale. The study commissioned by EABC, an apex body of private sector associations in the region, aimed to seek ways to bring down air transport fares in the region. Also incorporated in the study is TradeMark East Africa (TMEA), an organization funded by a range of development agencies with the aim of growing prosperity in East Africa through trade. Mr Kalisa regretted that foreign airlines that connect to the region often enjoyed more “favourable treatment” than EAC airlines. “The region can...

The African Continental Free Trade Area (AfCFTA) Secretariat and Trademark Africa (TMA), signed a partnership agreement here Friday night to facilitate the development of trading infrastructure across Africa to boost trade. A memorandum of understanding between the two parties was signed during the ongoing Africa Prosperity Dialogue in Accra, the capital of Ghana. Wamkele Mene, secretary general of AfCFTA, said he expected the partnership to help improve the collective competitiveness of all countries under the continental free trade agreement. “It is possible to see the ambition of TMA to support our vision of integrating the $3.4 trillion African market becoming a reality,” said Mene. Alluding to the success stories of TMA in East Africa and the Horn of Africa region, the secretary general said the introduction of digitization and other modern trade infrastructure would reduce the time and cost of transit trade in Africa. “We shall adopt a corridor-to-corridor approach in reforming the transit processes and improve the collective competitiveness of all the trade corridors on the continent,” he said. The signing of the agreement coincided with the simultaneous rebranding of the company as Trademark Africa from the previous Trademark East Africa and the opening of its West African business. “Africa is a sleeping giant due to its vast potentials that are yet to be tapped. But now, we are closer to that dream than when we started,” said Erastus Mwencha, board chairman of TMA. He said the partnership would enable the private sector player to expand its impactful programming...

TradeMark East Africa, one of the world’s leading Aid for Trade organisation, has today rebranded to TradeMark Africa (TMA) (www.TradeMarkAfrica.com) and simultaneously officially launched its West Africa operations. Founded in 2010 in Kenya, today marks TradeMark Africa expansion from its previous core operational area of East Africa and the Horn, to also support countries in West and Southern Africa. TradeMark Africa now has a presence in fourteen countries in sub-Saharan Africa (SSA): Kenya, Uganda, Tanzania, Rwanda, Burundi, the Democratic Republic of Congo (DRC), South Sudan, Ethiopia, Somaliland, Djibouti, Malawi, Zambia, Mozambique, and Ghana. TradeMark Africa has to date made cumulative investments of over $1.3 billion in East Africa and the Horn, to reduce the time and costs of trading across borders, and to improve export competitiveness of African businesses. These have among other results slashed the time for traders to cross borders – by 70% on average; and for businesses to receive certification – often from many days to a number of hours. Its programmes have contributed to a 16.5% reduction in the total time it takes to transport a container on the Northern Corridor from Kenya’s Mombasa Port to Bujumbura, Burundi. As part of the pivot to West Africa, TradeMark Africa will support the Secretariat of the African Continental Free Trade Area (AfCFTA), based in Accra, Ghana, to realise its vision of integrating the $3.4 trillion African market. TradeMark Africa will also work with regional economic communities (RECs) such as the Economic Community of West African States (ECOWAS), to...

The Pan-African Parliament (PAP) and the Parliament of the Kingdom of Morocco have chartered a way forward for the harmonisation of their parliamentary action to support the mandate of the PAP in achieving the objectives of the African Union, according to a joint statement issued on Friday. The commitment forms part of a Joint communique sanctioning the official visit of a high-level PAP delegation to the Kingdom of Morocco, where the President of the PAP and his delegation held consultations with the Speaker of the House of Representatives, Retired Honourable. Rachidd Talbi Alami and the Speaker of the House of Councillors, Retired Honourable. Naam Miyara. The PAP and the Parliament of Morocco have agreed to work closely to establish formal frameworks and communication channels to support the policies, programmes, objectives and activities of the Continental Parliament. The two parties will also put in place mechanisms to ensure the enactment of enabling legislation for the effective implementation and realisation of Agenda 2063 and its effective integration into the respective National Development Plans. Additionally, the PAP delegation commended the Kingdom of Morocco for its ratification of the Protocol to the constitutive act of the AU relating to the PAP, also known as the Malabo Protocol. The two parties agreed to work together to urge the AU Member States that have not yet done so to ratify the Protocol. The engagements between the two Parliaments further resulted in an agreement to ensure the harmonisation of Member States’ laws, policies and structures in order...

At a session organized by the Economic Commission for Africa (UNECA) and the International Trade Centre (ITC) as part of the 2022 World Trade Organization (WTO) Public Forum on 27 September 2022, experts urged the private sector to seize opportunities brought about by the green transition in Africa. The panel discussion entitled “MSMEs: The Key to Realising Sustainable Gains Under the AfCFTA”, moderated by Melaku Desta, Coordinator of ECA’s African Trade Policy Centre, explored sustainable initiatives to integrate green solutions in Africa’s small businesses, and attracted online and face-to-face participants. MSMEs: The Key to Realising Sustainable Gains Under the AfCFTA Panelists also underscored the sustainable gains to be harnessed from green trade alongside the African Continental Free Trade Area (AfCFTA) and called on micro, small and medium-sized enterprises (MSMEs) to anticipate challenges as businesses seek to integrate green solutions. In her keynote address, Dorothy Tembo, ITC Deputy Executive Director highlighted ITC’s Green2Compete initiative, which supports small businesses in enhancing their competitiveness by integrating green production techniques for sustainable trade. ITC is also working closely with the African Organisation for Standardisation (ARSO) to increase transparency on private sustainability standards and plans to scale its work with market partners to achieve harmonization of these environmental standards, making them more attainable for small businesses. In his remarks, Hermogène Nsengimana, Secretary General of ARSO, emphasized the need to prioritize harmonization of standards to achieve sustainability. Of late, the sustainability and resilience of value chains has assumed greater importance due to the disruptions induced by...

With more investment in internet infrastructure and technological innovation, Rwanda could benefit more from increased trade in services, asserts the World Bank. This was stipulated in the latest World Bank report on Rwanda’s economic update released on September 23. It was dubbed “Boosting exports through technology, innovation and trade in Services.” Rwanda aspires to become a knowledge-based and services-led economy through diversification of its export base into distribution and logistics services, tourism, business travel and financial services, as part of the National Strategy for Transformation. These service activities offer significant employment opportunities for both relatively unskilled and more skilled workers in different sectors. Calvin Djiofack, World Bank Country Economist, noted that Rwanda should invest more in strengthening the link between e-commerce and exports as it is not fully exploited by local firms which lack information regarding foreign markets. “Investment in internet infrastructure can provide isolated enterprises, such as those in rural and underdeveloped urban areas, low-cost connectivity to markets and customers, and increase local firms’ participation in international trade,” he added. The report emphasises that enhanced digitisation could also foster digitally-enabled services to facilitate cross-border trade, support backward and forward linkages to agriculture, mining, and manufacturing. This call finds Rwanda on a journey of significant strides made over the last couple of years in improving ICT infrastructure to drive productivity of the entire economy, reduce transaction costs and inefficiencies in the use of capital and labour, data shows. In 2019, data from the Ministry of Trade and Industry (Minicom) indicate...

The African Continental Free Trade Area (AfCFTA) is building a fund and drafting a protocol to ensure participation of more women and youth in trade. This week, AfCFTA Secretary General Wamkele Mene said the fund, created through the Afreximbank and known as the AfCFTA Adjustment Facility, will be used to cushion countries from short-term revenue losses once they lift tariff barriers for cross-border trade. The tariffs, which include licences, permit fees and taxes, have been cited among the challenges limiting free trade, and the participation of women and youth. This is besides access to credit, market information and infrastructure. Some $1 billion has already been raised towards the facility: AfCFTA says the target is between $7 billion and $10 billion, reflecting just how important lifting the protectionist policies will be for trade to thrive. “Young Africans are at the cutting edge of technological advancements. We will be making a catastrophic mistake if we don’t include these important segments of our society in the implementation of this agreement,” Mr Mene said. The facility will be boosted by the African Trade Gateway, a digital platform “that will provide market and due diligence information about your counterparts, including the rules of origin, Customs procedures, as well as payments transfers platform”, he added. The AfCFTA is supposed to harmonise policies, seeing that 70 percent of informal trade in Africa is carried out by women. Mr Mene said small and medium enterprises by women contribute 60 percent of Africa’s GDP, creating 450 million jobs. The...