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Theory of Change: Enhanced Trade Environment

Doing business in The East African Community 2012

Doing Business in the East Africa Community 2012 is a regional report drawing on the global Doing Business project and its database, as well as the findings of Doing Business 2012, the ninth in a series of annual reports investigating the regulations that enhance business activity and those that constrain it. Doing Business presents quantitative indicators on business regulation and the protection of property rights that can be compared across 183 economies—from Afghanistan to Zimbabwe—and over time.

DOING BUSINESS IN THE EAST AFRICAN COMMUNITY 2013: Smarter Regulations for Small and Medium-Size Enterprises

Over the past 8 years the 5 members of the East African Community (EAC)— Burundi, Kenya, Rwanda, Tanzania and Uganda—have continued to take steps to make it easier for local firms to start up and operate. Driving these efforts has been a recognition that regional integration alone is not enough to spur growth. The EAC needs an investment climate—including a business regulatory environment—that is well suited to scaling up trade and investment and can act as a catalyst to modernize the regional economy. Improving the investment climate in the EAC is therefore an essential ingredient for successful integration—the foundation for expanding business activity, boosting competitiveness, spurring growth and, ultimately, supporting human development.

Uganda electronic cargo tracking system

[vc_row][vc_column][custom_inner_menus select_menu="project"][/vc_column][/vc_row][vc_row][vc_column][single_project_block_1 heading="Uganda electronic cargo tracking system" implementor="Uganda Revenue Authority" target_group="Importers and exporters" project_value="US$ 3,600,000" implementation_period="2013 - 2016" download_btn_text="Download Project PDF" download_btn_link="#url"]According to the URA, it costs transporters $200-250 per day when trucks are delayed along the transit routes. Part or all of this cost is passed on to the owner of goods. As a result, the cost of transport tends to increase the further inland the destination of cargo, not only because of distance but also the number of stoppages along the routes The major transit delays in the region include roadblocks by police and customs authorities, weighbridges, physical escorts and border clearance, and they vary from country to country. In Uganda, the major delays arise from physical escorts, which are considered a major non-tariff barrier in the region. URA further indicates that physical escorts in Uganda have the effect of increasing the transit period from 1 day to 3 - 4 days, effectively resulting into an estimated increase in transport costs of about $400 - $500, the additional cost paid as a result of the increase in transit period. What: The aim of this project is to implement an electronic cargo tracking system to reduce delays resulting from transit. How: TMA is providing financial and technical support to URA to implement the electronic cargo tracking system Contact: Moses Sabiiti, Email moses.sabiiti@trademarkea.com Click here to learn more about One Stop Border Posts Program[/single_project_block_1][/vc_column][/vc_row][vc_row el_id="desired-result"][vc_column][single_project_block_2 heading="Desired Results" image_1="43387" image_2="43391"]Uganda Revenue Authority improves the efficiency of customs processing resulting in higher...

Kenya Revenue Authority Customs Management System

[vc_row][vc_column][rev_slider slidertitle="Support to Kenya Revenue Authority (iCMS)" alias="support-to-kenya-revenue-authority-icms"][/vc_column][/vc_row][vc_row][vc_column][custom_inner_menus select_menu="project"][/vc_column][/vc_row][vc_row][vc_column][single_project_block_1 heading="Kenya Revenue Authority Customs Management System" implementor="Kenya Revenue Authority" target_group="Customs Officials, Clearing Agents, Private Sector" project_value="US$ 23.5 Million" implementation_period="2017 – 2023" download_btn_text="Download Project PDF" download_btn_link="#url"]The Kenya Revenue Authority (KRA) Integrated Customs Management System (iCMS) was designed and developed to address the limitations and system downtimes that were characteristic of the previous SIMBA 2005 system. Some of the challenges of the SIMBA 2005 system were: Operational inefficiencies visible in the longer clearance times for goods; Subjectivity in the administration and management of applications by traders, often leading to delayed clearance and lost business opportunities to traders; Revenue leakages resulting from misdeclaration and cargo diversion; Low implementation of preclearance processes – further increasing clearance time. As a main artery in facilitating clearance of import and export of goods into and outside Kenya, digitisation of all KRA’s customs processes creates a conducive environment for importers and exporters both domestic and foreign to trade with Kenya. What: Automation of key customs procedures including import processes, export processes, transit and transshipments by land, air, and sea. This eliminates process inaction times, reduce paper work and human interface, thus faster clearance of goods.  The now rolled out, iCMS automates, integrates, and harmonises KRA customs processes into a single system accessible to exporters, importers and customs agents operating within Kenya, with the goal of enhancing efficiency in customs operations, and enabling the country to conform to best global customs standards. In addition to providing relevant clearance information through...

Trade Integration in the East African Community

The objective of this report is to carry out an evaluation of the impact of the CU and the potential benefits that the implementation of the CM may bring. The focus is on both types of integration, shallow and deep integration. The report starts by tracking the evolution of tariffs and trade flows in the run-up to the CU so as to describe how patterns of specialization have evolved in the region. This is done at a very detailed level of aggregation, the HS-6 digits product level, for the period 2000-2010. Then, in order to look at what the process of deeper integration, or the implementation of the CM, may bring, issues of intra-industry trade and similarity of export structures are analysed, both at the sector and product level.

Rail Freight Logistics Solution (RFLS)

[vc_row][vc_column][rev_slider slidertitle="Rail Logistics Support Programme" alias="rail-logistics-support Programme"][/vc_column][/vc_row][vc_row][vc_column][custom_inner_menus select_menu="project"][/vc_column][/vc_row][vc_row][vc_column][single_project_block_1 heading="Rail Freight Logistics Solution (RFLS)" implementor="Kenya Revenue Authority, Kenya Railways, Kenya Ports Authority, Uganda Revenue Authority" target_group="Importers and Exporters of Cargo into EAC region" project_value="US$ 5.5 Million" implementation_period="2018-2023" download_btn_text="Download Project PDF" download_btn_link="#url"]Transportation of cargo by road is affected by several factors including traffic jams, accidents, high theft cases, longer transport time, and limited axle load (56 tons in the East Africa Community Partner States). In April 2018, cargo transport via Kenya’s Standard Gauge Railway (SGR) was introduced to address some of these challenges. However, its commencement was marred by many challenges including delays in loading containers, lack of coordination among the key government agencies of Kenya Revenue Authority (KRA), Kenya Ports Authority (KPA), and Kenya Railways Corporation (KRC), congestion, and disorganised system of stacking containers at the Nairobi Inland Container Depot (ICD), lack of information and system to track containers and lack of communication between the different parties involved. These challenges led to increased cargo dwell time, increased costs of transporting cargo, demurrage, and fines due to delayed clearance compared to other means of transport. The private sector was frustrated as cargo took an average of 12 days to clear from the Nairobi ICD in December 2018 as reported by The East African newspaper. What: The Cargo Tracking for Rail is a single, seamless, integrated, and digital end-to-end cargo process flow from the Port of Mombasa-to-SGR-to-ICD and vice versa. The system addresses the bottlenecks and other challenges affecting the operations of cargo...

Support to the Office Burundais des Recettes (OBR)

[vc_row][vc_column][custom_inner_menus select_menu="project"][/vc_column][/vc_row][vc_row][vc_column][single_project_block_1 heading="Support to the Office Burundais des Recettes (OBR)" implementor="Office Burundais des Recettes (OBR)/Burundi Revenue Authority" target_group="Importers, exporters, Burundian citizens" project_value="US$ 31,500,000" implementation_period="2011 - 2016" download_btn_text="Download Project PDF" download_btn_link="#url"]The Government of Burundi (GoB) established the Office Burundais des Recettes (OBR) in 2010. GoB had originally commissioned GtZ and DFID to carry out a study on the modalities and potential benefits of establishing the OBR. Preparations for the OBR were informed by recommendations of the GtZ/DFID study. OBR represents a core part of GoB’s efforts to promote economic recovery and to redevelop the country. Establishing a professional Revenue Authority (RA) and improving revenue collection is essential, to increase resources for economic and social development, to create a better business environment, and to integrate Burundi properly into the EAC. What: The aim of the OBR Programme is to facilitate poverty reduction by improving revenue collection through modernized tax collection and customs administration in Burundi. How: TMA will provide financial and technical assistance to GoBto establish a semi-autonomous RA, with efficient, modern operating structures and procedures; and to establish a more effective fiscal administration. Procurements and contracting will be done by TMA.In this work, OBR will draw on assistance from projects of the World Bank, IMF, France, the EC, and the Investment Climate Facility for Africa Contact: Aimé Nzoyihera, Email: aime.nzoyihera@trademarkea.com Click here to learn more about One Stop Border Posts Program[/single_project_block_1][/vc_column][/vc_row][vc_row el_id="desired-result"][vc_column][single_project_block_2 heading="Desired Results" image_1="42316" image_2="43286"]OBR maximizes revenue collection[/single_project_block_2][/vc_column][/vc_row][vc_row el_id="project-insight"][vc_column][project_single_ele_3_container heading="More Project Insights." sub_heading="Projects Highlights From A Glance" slide_1="info access for...

All you need to know about ASSET V6

Growth of international and intra-regional trade is recognized as key factors towards achieving greater economic growth and regional integration for the East African region. However, the East African region is characterized by high costs of doing business, high costs of transportation, numerous non-tariff barriers, delays and associated administrative costs on the transit logistics chain all of which are eventually passed down to the end consumer of the goods. This cause a huge increase in the cost of goods in the landlocked countries, and given that the EAC region is a net importer, is a factor that makes the region very uncompetitive compared to the world markets and economies.