BY Joseph Olanyo
Awareness about the East African Community (EAC) Customs Union is still lacking among the member states and implementation of the different segments that should lead to integration should be given more time.
Trade analysts Southern and Eastern African Trade Information and Negotiations Initiative (SEATINI) say countries should do a lot of sensitization to enable residents understand its comparative advantages and disadvantages.
says the countries should do a lot of sensitization to enable residents understand its comparative advantages and disadvantages.
“People out there don’t know what is happening. If you don’t give people information, then they will get it from the grape vine,” Ms. Jane Nalunga, the Country Director SEATINI said in an interview with East African Business Week.
Nalunga said Civil Society Organisations should take the role of advocacy to national levels.
“We shouldn’t integrate for the sake of it but for a purpose to transform the region. The common market issues should be handled properly with the view of changing people’s livelihood,” Nalunga said.
On January 1, 2010, East African completely liberalized its intra-trade when it ushered in a fully -fledged Customs Union.
All goods made within the five countries are now being traded across the five borders duty- free following the expiry on December 31, 2009 of the five-year transition period of the Customs Union in what is being touted as the fist major breakthrough in the EAC’s integration process.
Kenya manufacturers and the East African Business Council, the apex body of the private sector in the region, have welcomed the liberalization move saying it will stimulate intra regional trade in the 126-million people regional bloc.
But Ugandan business is worried that in the absence of a harmonised domestic taxes regime among member states, implementation of appropriate commercial laws and low-capacity manufacturers forced to operate under unfavourable conditions such as unreliable and high electricity costs, they will lose out.
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