Aid in Action

East African Community Signs MOU with Trade Associations

 | Thursday, September 11, 2008

On July 23, the East African Community (EAC) and Regional Community Trade Associations including the East African Grain Council (EAGC), African Cotton and Textiles Industries Federation (ACTIF), Eastern and Southern Africa Dairy Association (ESADA) and East Africa Fine Coffee Association (EAFCA) signed a Memorandum of Understanding to work together in promoting regional trade. This focuses on addressing non-tariff barriers to commodity trade in the region.

Among the issues addressed in the agreement were:

• Harmonization of standards
• Working towards regional trade agreements
• Addressing exports and imports ban
• Disparities in issues of taxation of imports
• Exchange of market information

 

According to Ambassador Onen, the Deputy Secretary General of the EAC, in order to achieve regional food security and economic growth, constraints and opportunities need to be assessed, and solutions implemented. He confirmed EAC’s support for the trade associations and trade in the region. “The collaboration has embraced the strategy for ‘private sector led policy change’,” Steve Njukia, regional grain trade expert said.

“This deal will also provide a firm foundation for the enhancement of intra-regional trade in agricultural products which has been one of the key goals of East African Community (EAC),” said Mr. Bernard Kagira, regional trade policy expert , during the signing ceremony for the MOU in Nairobi.

The Regional Trade Associations were formed with the support of United States Agency International Development (USAID) through the Regional Agriculture Trade Expansion Support (RATES) Program. They bring together public-private sector organizations in promoting regional trade. The ceremony is a milestone in boosting intra-regional trade and integration.