P. Sarojini
Uganda, (CWBN)_ Uganda Manufacturers Association (UMA) accuse Kenya over trade barriers. Kenya did not respond to the Uganda Manufacturers Association’s attempts to send the country to the East African Court of Justice for remedy on “unfair trade practices,” which the association says are encouraged by their own government.
Uganda Manufacturers Association – UMA, the umbrella group that puts together Ugandan industrialists and manufacturers, stated on Thursday that Kenya has blocked entry to Nairobi a number of their exports, which affected their business activities to a greater extent. UMA reports that Kenya is debating the origin of Uganda’s goods, even those with legitimate certificates of origin. The association reports that there are false suspicions that their goods are fake, but still they carry the “Q” label provided by the Uganda National Standards Bureau.
The list includes allegations that Ugandan products are smuggled into Kenya, evading taxes; that Kenya has imposed licenses to weaken the EAC Common Market by unilateral restrictions on Ugandan-originating goods; and that there is structured and institutionalized harassment of Ugandan-originating goods, in particular poultry, milk and sugar, by Kenyan traders and dealers.
In their argument, the manufactures have also threatened to ban Kenyan products from entering Uganda and will seek relief from the East African Court of Justice if the matter is not settled by the end of December 2020 (EACJ).
Daniel Birungi, the executive director of UMA, while addressing the press on Wednesday said that some of the locally made products like poultry products, liquid petroleum gas canisters and sugar are refused to enter the Kenyan market. He said, “Kenya has always benefited from both access to cheap Ugandan raw materials and fresh produce for their agro–processing industry and market for finished products”. He added, “And in the spirit of the regional integration and the fact that we have common history and aspirations, we expect Kenya to return the favor and not make it difficult to do business”.
One of Uganda’s main trade partners is Kenya. Free flow of goods and services is guaranteed across borders under the EAC Common Market Protocol. UMA says it would serve as a wakeup call to Kenya, if they ban certain Kenyan goods from entering Ugandan markets. Kenyan exports to Uganda rose from $1.1 billion in 2017 to $1.2 billion in 2018 and 2019, respectively.
