ECA simulations stress that AfCFTA is set to boost Eastern Africa manufactured exports, in particular, textiles & clothing exports will increase by 100 per cent KIGALI, Rwanda, September 24, 2021/APO Group/ -- The business community is a key part of the African Continental Free Trade Area (AfCFTA) and could benefit immensely in terms of access to raw materials, technology and also increasing economies of scale for participation in regional and global value chains, said Ms Mama Keita, Director of UN Economic Commission for Africa, Office for Eastern Africa. Ms Keita was speaking during a webinar organized by ECA in collaboration with the East African Business Council (EABC) to discuss with the private sector of East Africa about the AfCFTA implementation in East Africa. The e-meeting participants exchanged views on how to harness the potential of the African markets and on how businesses can seize the moment to implement and benefit from the AfCFTA agreement. ECA simulations stress that AfCFTA is set to boost Eastern Africa manufactured exports, in particular, textiles & clothing exports will increase by 100 per cent, heavy manufacturing by 63 per cent, light manufacturing by 61percent, Processed food by 54 per cent while livestock & meat products by 39 per cent. In his presentation, Mr Rodgers Mukwaya, an Economic Affairs Officer at ECA said that the implementation of AfCFTA would increase intra-African Trade by over 50 per cent. The agreement would also boost the continent’s GDP by more than $40 billion, and its exports by more than...

The centres are expected to develop the next generation of African business leaders ADDIS ABABA, Ethiopia, September 17, 2021/APO Group/ -- The Economic Commission for Africa (ECA) and International Chamber of Commerce have jointly launched Centres of Entrepreneurship in Africa, under the theme, ‘Creating Livelihoods for Inclusion’. With strategic locations across Africa, the ECA - ICC Centres of Entrepreneurship will work with various stakeholders, including businesses, chambers of commerce, academic institutions, intergovernmental and governmental agencies, to connect local entrepreneurs to global markets and enhance regulatory conditions for SMEs to thrive. The entrepreneurship centres will develop the skills of young people who face uncertain employment prospects to mentoring local start-ups and entrepreneurs. The centres are expected to develop the next generation of African business leaders. Speaking during the virtual launch on 16 September 2021, Oliver Chinganya, Director of the Africa Centre for Statistics at the ECA, said “the launch of the Centres of Entrepreneurship comes at the right time when Africa is trying to build back better from the effects of Covid-19. We believe that these Centres, based in different regions of the continent, and with tailored-made solutions, can mobilize the next generation of entrepreneurship in Africa.” Mr Chinganya said the Centres will provide Micro, Small and Medium Enterprises (MSMEs) with the tools and pathways to expand their business and play an effective role in the goods and services supply chain. They will also provide pathways to accelerate women and youth empowerment a necessary action to accelerate Africa’s growth and recovery...

African shippers are currently experiencing a tragedy in liner services, with historic port bottlenecks now compounded by a surge in freight rates, making shipping operations difficult for many. Alphaliner released new data showing shipping lines deploying greater tonnage to the profitable East-West, transpacific, and transatlantic trade lanes, owing to COVID era supply chain disruption. Specifically, the data revealed liner services capacity to and from Africa had declined by 6.5 percent compared to a year ago. The data analytics firm gave the example of MSC, which had shifted some 13,000 TEU of ship capacity from African trading routes in favor of the Pacific. The report noted that the major reason behind the shift was due to the high revenue earned along the East-West trade routes. This has a significant impact on African shippers. For instance, Nigeria - sub-Saharan Africa's largest economy - has been unable to overcome persistent inefficiencies in port operations. As a result, exporters have lost about $218 million in perishables and other damaged products over the last one year due to gridlock at Apapa Port. In an interview with The Guardian Nigeria, Shippers Association of Lagos President Jonathan Nicol said that some trucks took three months to access the filled-up terminals, as there was no space to drop export containers. “The infrastructure on the ground cannot cope with the volume of cargo accessing the port and at the same time, costs are uncontrollable. This results in exporters hiring barges and berthing by the sides of vessels to load...

Addis Abeba, September 16/2021– The government of Ethiopia and Kenya yesterday signed the Moyale – Moyale One Stop Border Post (OSBP) operational procedure manual on a ceremony held in Addis Abeba.  Ethiopia through  the Ethiopia Customs Commission and the Border Control and Kenya through Operation Coordination Committee signed the operational procedure manual at an event attended by key private and public sector players from both countries. The Moyale – Moyale One Stop Border Post (OSBP)  was inaugurated in December last year.   One Stop Border Post (OSBP) started operations in June 2021.With the OSBP operations manual, border clearance processes will be easier, faster and cheaper for traders, transporters and travelers, while maintaining the border regulatory requirements of both counties through coordinated border management operations. The two governments discussed the opportunities available for traders to use the OSBP at a consultative workshop attended by representatives from various public and private sector organisations from both Ethiopia and Kenya. Kennedy Nyaiyo, Kenya’s head of delegation and the Secretary of Kenya’s Border Management Secretariat said, “The signing of the procedure manual will guarantee that all processes have been reviewed and harmonised . This will ensure that trading and cooperation between Kenya and Ethiopia is efficient and effectively facilitated.” His counterpart Debele Kabeta, Commissioner of the Ethiopian Customs Commission said, “Though the two countries have a long time friendly relations, trade connectivity between us has been quite insignificant compared to the potential we have for doing business.” Debele further explained that the volume and diversity...

The African Continental Free Trade Area (AfCFTA) Secretariat and TradeMark EastAfrica (TMA) have signed a Memorandum of Understanding (MoU) that is set to boost trade in Africa. AfCFTA and TMA are now aiming at increasing prosperity in the African continent through the liberalization of trade. Barriers to trade The deal which was signed in Lome, Togo, by Wamkele Mene, Secretary-General of the AfCFTA, and Frank Matsaert, Chief Executive Officer at TMA will now see the organizations embark on working to reduce barriers to trade across Africa. This will be achieved by supporting engagement with the continent’s private sector on trade and economic development issues. Digitizing key trade processes These include digitizing key trade processes at a national level followed by linking these at a regional level and supporting policies to promote e-commerce across the Continent. Also in the agreement is developing regional value chains and investment; and developing Africa’s cross-border trade with a focus on women traders, youth, and MSMEs. Share of costs The agreement will allow the two organizations to share costs and support each other in logistical challenges as they seek to implement programs to develop trade across Africa. “The MoU will further allow TMA to carry out the necessary reforms needed to fully implement AfCFTA’s trade agreement, unlocking the Continent’s trade potential and increasing market competition. This will, in turn, translate into much-needed jobs within the target sectors,” said Mene. “We thank the AfCFTA Secretariat for the strong partnership forged and we look forward to jointly generating impact for...

In Summary The MoU was signed in Lome, Togo, by Wamkele Mene, Secretary-General of the AfCFTA, and Frank Matsaert, Chief Executive Officer at TMA. The MoU represents the next logical step for the two organisations as they work to reduce barriers to trade across Africa. The African Continental Free Trade Area (AfCFTA) Secretariat and TradeMark EastAfrica (TMA) have signed an agreement aimed at collaborating to boost trade in Africa. The AfCFTA Secretariat and TMA are now united in their shared goal of increasing prosperity in the continent through the liberalisation of trade. The MoU was signed in Lome, Togo, by Wamkele Mene, Secretary-General of the AfCFTA, and Frank Matsaert, Chief Executive Officer at TMA. The MoU represents the next logical step for the two organisations as they work to reduce barriers to trade across Africa by supporting engagement with the continent’s private sector on trade and economic development issues. These include digitising key trade processes at a national level followed by linking these at a regional level and supporting policies to promote e-commerce across the Continent. Also in the agreement is developing regional value chains and investment; and developing Africa’s cross-border trade with a focus on women traders, youth and MSMEs. The agreement will allow the two organisations to share costs and support each other in logistical challenges as they seek to implement programmes to develop trade in across Africa. “The MoU will further allow TMA to carry out the necessary reforms needed to fully implement AfCFTA’s trade agreement, unlocking...

The Port of Lamu has received a consignment of 365 containers of transhipment cargo, the biggest and sixth consignment to be shipped to the Port its operationalisation. Following pre-arrival clearance by Customs Officers based at the Port of Lamu, through the Integrated Customs Management System (iCMS), MV Seago Line Istanbul docked on Thursday, 16th, September 2021, at around 7.00pm. The arrival of the Maersk Shipping Line vessel that shipped 490 TEUs (twenty- foot equivalent units) of cargo is a vote of confidence for the Port. It is also a sign that the future is bright for the port as it is on the path to become a major transhipment hub in the region, as it had been envisaged. The cargo included a variety of goods, including, cooking oil, wheat flour, sugar, used clothing, rice, ready-made garments, fabrics, footwear, vehicles and personal effects. The consignment will be re-shipped by another Vessel, MV Ionian Express which is expected to arrive at the Port on Saturday, 18th September, 2021, to consignees in Zanzibar. The Kenya Revenue Authority (KRA) calls upon Kenyan investors and other traders in the region to emulate the investors from Zanzibar who have used the port for the third time, a clear demonstration that it is cost-effective to import cargo through the Port of Lamu. KRA is in close collaboration with the multiagency team operating at the port to make the Port of Lamu to have a competitive edge and become a port of choice for importers and exporters, through...

Agriculture’s online penetration is proving hard. This is despite the sector being Kenya’s backbone contributing over 30 per cent to the economy and employing at least 60 per cent of the informal workers. A new report details the challenges farmers face to sell their products online on platforms that are not as friendly to perishable products. The report titled Platform Livelihoods: The quality of Kenyan youth’s digital experiences in logistics, e-commerce, farming, and the creative sectors by Qhala and Caribou Digital supported by Mastercard Foundation opines that the most affected are small scale farmers. Digital market places like MkulimaYoung and Farmers Market, and social agriculture where one publicises their produce on social media as frequently as possible to increase visibility are some of the ways farmers tap into the online space. The report documents that the majority of farmers use social agriculture more. While digital agriculture presented itself as the alternative to traditional marketing that is controlled by brokers, it is still a tall order to break through on the online space. Farmers who use the formal marketplaces noted that these (online) platforms are not well known hence slows down sales. It, therefore, causes farmers to go informal by delving into social media. Largely unknown marketplaces “The majority of the farmers who use these platforms had the impression that agriculture platforms are not widely known by either farmers or customers, hence their slow sales. Additionally, these marketplaces are known for specific types of produce, some of which get more traction...

Lomé, 17th September 2021: Today, a Memorandum of Understanding (MoU) was signed between the African Continental Free Trade Area (AfCFTA) Secretariat and TradeMark Africa (TMA), aimed at promoting cooperation and collaboration between the two organisations in their common goal of supporting trade in Africa. The MoU was signed in Lomé, Togo, by His Excellency Wamkele Mene, Secretary-General of the AfCFTA, and Frank Matsaert, Chief Executive Officer at TMA. The AfCFTA and TMA are united in their shared goal of increasing prosperity in Africa through the liberalisation of trade on the continent. This MoU represents the next logical step for the two organisations as they work to increase the ease and standards of trade across Africa; support engagement with the continent’s private sector on trade and economic development issues; digitisation of key trade processes at a national level, followed by linking these at a regional level and policies to promote the use of e-commerce across the continent; and develop regional value chains and investment while developing Africa’s cross-border trade with a particular focus on women traders, youth and MSMEs. The Agreement will also allow the two organisations to share costs and support each other in logistical challenges as they seek to implement programmes to develop trade across Africa. His Excellency Wamkele Mene, Secretary-General of the AfCFTA, said: “The MoU will further allow the AfCFTA Secretariat working with partners including TMA to facilitate State Parties to carry out the necessary reforms needed to fully implement the AfCFTA, unlocking the continent’s trade potential...

In Summary Burundi ratified the AfCFTA on June 17, while Tanzania endorsed on September 9. Other EAC Partner States that have ratified the agreement are Kenya, Rwanda and Uganda. East African Community Secretary General Peter Mathuki has hailed Burundi and Tanzania for ratifying the African Continental Free Trade Area Agreement (AfCFTA). Burundi ratified the AfCFTA on June 17,  while Tanzania endorsed on September 9. So far, 42 countries have ratified the AfCFTA that seeks to boost intra-African trade. Mathuki said that the AfCFTA would allow East Africans to access a large continental market and increase EAC’s exports to African countries outside the bloc. “It will also improve movement of people across Africa, advance trade and development aspirations and ultimately put the region in a better position to trade more with the rest of the world,” said Mathuki. He further disclosed that the EAC had initiated a number of steps towards the implementation of the AfCFTA Agreement, adding that the ratification by Burundi and Tanzania would expedite the implementation of the agreement. Other EAC Partner States that have ratified the agreement are Kenya, Rwanda and Uganda. South Sudan has signed the AfCFTA but is yet to ratify it. Mathuki said that the bloc had almost finalised the submission of its tariff offers, which conform to the agreed modalities in addition to the schedules of liberalization of trade in services. “We have also prepared a draft strategy for the implementation of the Agreement, which takes into account the need for capacity building....