News
tralac’s Daily News Selection
The selection: Monday, 28 November 2016
Featured tweet, @ECA_OFFICIAL: This week at #2016ATF, the big conversation is how to turn the #CFTA into reality - David Luke
Africa Trade Week 2016: Advancing socio-economic structural transformation through intra-Africa trade. Follow debates and presentations via Twitter: #2016ATF
Africa Trade Facilitation Forum: On 1-2 December, a select group of senior private sector executives from within Africa and from across the world will take centre stage at ATW 2016 during two days of high-level multi-stakeholder panel events called the Africa Trade Facilitation Forum. At the ATFF CEOs will join a prominent group of delegates from various stakeholder groups to share views on how Africa can trade with Africa. The ATFF will explore ways to overcome the restrictions to trading and imports across Africa such as non-tariff barriers like quotas, embargoes, sanctions, and levies. The Africa Trade Facilitation Forum is the first major platform for a broad group of stakeholders to come together to create a powerful network to act on this important issue. [Note: The programmes for the Africa Trade Week and the Africa Trade Facilitation Forum can be accessed here]
Other trade and development conference listings:
The 20th African Securities Exchanges Association annual conference begins today in Kigali
Measuring and implementing trade facilitation in Ghana (28 November - 1 December, Accra)
Regional conference on grain trade in West Africa (29 November - 1 December, Ouagadougou)
EIF Board meeting, EIF workshop in support of cross‑border trade (30 November - 1 December, Kigali)
UNU-WIDER, SA National Treasury conference: Growth and development policy – new data, new approaches, and new evidence (30 November – 1 December, Pretoria)
African Continental Free Trade Area: two papers from the UNCTAD project "Strengthening capacities of African countries in boosting intra-African trade"
Some issues in liberalizing trade in services: The negotiating approach that is adopted needs to take into account the work that has already been undertaken in the different African RTAs. However, it does not necessarily mean that the CFTA should adopt a similar approach as these RTAs. An approach that will facilitate trade and ensure that African countries develop regional value chains and also join GVCs should be considered. In this regard consideration should be given to the use of the `eclectic’ approach in terms of scheduling of commitments which combines various approaches. The following salient suggestions on services trade and trade negotiations under the CFTA, reflecting some of the suggestions above, emerged from a meeting organized by UNCTAD and the African Union Commission in Nairobi, Kenya: [The analyst: Emily Mburu-Ndoria]
Advancing pan-African integration - some considerations: Furthermore, a rapidly integrating Africa needs to make far-reaching decisions on a number of trade-related policies to target intra-regional trade (and investment) growth, to wit continent-wide standards for trade facilitation, rules of origin, Trade and Investment Repository platform, Inventory of Trade Restrictions including non-tariff measures and mechanisms to address them, and transparency and integrity in governance. Each of these related policies that African countries would need to adopt at the continent level to serve as building blocks for the CFTA are discussed below. [The analyst: Osvaldo Agatiello]
Regional integration in Africa (CUTS International)
On 26 October, CUTS International, Lusaka collaborated with Caritas Zambia to host a trade conference on ‘Regional integration in Africa’. The discussions focused mainly on the TFTA and the CFTA and their implications on regional integration for Zambia. The conference sought, inter alia, to identify common positions on the CFTA between the government, private sector and civil society, as discussions on the CFTA gain momentum. Presentation downloads: (i) Implications of regional integration on Zambia (ii) Implications of regional integration on Zambia’s agricultural sector (iii) Implications of regional integration on Zambia’s manufacturing sector (iv) Key reflections on implications of regional integration on cross border trade (v) Past performance of Zambia in COMESA and SADC.
East African Legislative Assembly adopts key report on sensitisation activities (EAC)
The EALA is recommending that sensitisation and awareness on the integration process be institutionalised as a continuous activity on its agenda. This is in addition to a raft of resolutions it adopted late yesterday as it debated a key Report on Sensitisation. The report follows the sensitisation activities carried out by the Assembly between 27 October to 7 November in the Partner States. The sensitisation, the third such series this year for EALA, targeted various stakeholders in outreach and was anchored on the theme: “EAC Integration Agenda: accessing the gains”. In the report, the Assembly urges the Partner States to fully implement the Common Market Protocol which provides for free movement of people, capital and services among others, to allow citizens of East Africa to enjoy their rights. With it comes the need for the partner states to eliminate non-tariff barriers which impact negatively on intra-regional trade activities. [Isaac Mwangi: EAC old barriers tackled as new ones spring up]
EAC revenue bodies raise red flag over fraud cases (New Times)
Revenue collection from the East African Community is under threat from increased fraudulent practices, commissioner-generals from the regional bloc have said. The fraudulent practices witnessed across the region differ from country to country. During a meeting of EAC Revenue Authorities Commissioner Generals in Kigali, last week, officials observed that fraudulent practices took various forms and changed depending on the mitigations set up. Richard Tusabe, the RRA commissioner-general, said that tax fraud was not unique to the region and is always changing depending on control mechanisms put in place. “It is a shared problem across the region. Some of the imports that come through customs come underdeclared, others undeclared. We are trying to consolidate our efforts to check these frauds. We want to own some of the regional initiatives where we can pool resources to be able to mitigate some of the risks together at regional level,” Tusabe, who chaired the meeting, said.
Tapping into digital innovation to promote trade, investment in Africa (ITC)
The slowdown of trade and the rise of e-commerce are two contrasting trends that are shaping the future of trade and investment, particularly in Africa. That’s according to global leaders gathered at the Trade Promotion Organization Network World Conference and Awards 2016 in Marrakech (24-25 November). ‘Slow economic growth, unequal distribution of the benefits of trade and policies that have gradually removed safety nets created the anti-globalization movements of today,’ said Mukhisa Kituyi, Secretary-General of UNCTAD. The challenge is not digitalization but how to manage those who lose out during the process, said Dr Donald Kaberuka, former President of the African Development Bank. ‘Successful businesses will be those who integrate social goals into their business plans.’
ESA Region members gather to drive customs modernization processes (WCO)
The 25th Regional Steering Group meeting (3-11 November) explored the status of the decisions of the 21st Governing Council held during the month of May this year in Lesotho. The RTC Heads noted with satisfaction the pre-launch of the new WCO ESA ROCB website and the support provided by CCF Korea. They acknowledged the publication Trade facilitation in East and Southern Africa (pdf) from the 1st Regional Research Conference to researchers. The WG for the development of a new Regional Strategy and Implementation Plan focused their efforts on revising the strategic objectives taking into account current & emerging issues such as, among others, the Trade Facilitation Agreement, Digital Customs, Illicit trade, and Customs and Tax Cooperation. Several activities linked to the agendas of the regional economic communities were identified by the WG. This will facilitate members’ involvement in the development of the strategy while reducing the risk of duplication of activities.
Tanzania: TMEA backs freight, logistics platform with 886.6m/- grant (IPPMedia)
Stakeholders in the freight and logistics industry launched a national platform last weekend that brings together policy makers and industry leaders aimed to collectively tackle challenges of the logistics and freight in the country. The Freight and Logistics Platform is further intended to foster best practices, play a critical role in the sector that will allow players to innovate, add value and strategise in order to realise common objectives of making the logistics and freight industry more efficient. Speaking at the launch of the platform, Tanzania Private Sector Foundation Executive Director, Godfrey Simbeye said the country’s demand for domestic transport is expected to increase by 16% in 2020. [TPSF to get 1bn/- boost from TradeMark East Africa]
Mauritius firms splurge Sh5bn on Kenyan companies in one year (Business Daily)
Mauritian firms have injected more than Sh5 billion into the economy through acquisitions and investments in Kenyan companies, indicating tightening economic links between Nairobi and the Indian Ocean Island country. The rush to Kenya by Mauritian firms is partly spurred by a double-taxation agreement signed two years ago. Investment analysts say Mauritius firms are driven by the need for geographic diversification and the desire to tap into Kenya’s economic growth. Kenyan investors have also registered firms in Mauritius in an effort to enjoy the tax benefits — in some cases eliciting calls for investigations of the double taxation agreements.
‘The longest lean season’: how urgent action is needed to counter the impacts of the El Niño drought in Southern Africa(Oxfam)
Our focus in this paper is the current humanitarian situation in the region, and the responses urgently required in the coming weeks and months. While we pay particular attention to Malawi and Zimbabwe (two of the countries most affected by the crisis, where Oxfam is responding), our core messages are focused on actions desperately needed to support the whole region. Mozambique and Madagascar in particular have been severely impacted by the crisis. In Mozambique, an estimated two million people have been affected; in Madagascar, 1.6 million. Both countries are showing alarming levels of malnutrition.
Agricultural commodity value chains: the effects of market concentration on farmers and producing countries - the case of cocoa (pdf, UNCTAD)
The policy options discussed in this note are not enough to enhance the integration of small-scale and scattered farmers into agricultural value chains at a time when they must deal with a highly concentrated industry. Such policies should effectively be complemented by pro-farmer trade and agricultural development policies and other actions that contribute to improving the efficiency of agrifood value chains for all stakeholders. The role of Governments in shaping adequate policies and building strong institutional frameworks is important. Through commodity development boards, Governments of agricultural commodity producing countries may potentially play a useful role in helping farmers counteract the market power of large players. [ Note: this report was prepared for UNCTAD’s Trade and Development Board, sixty-third session, 5-9 December], [Nigeria: Potato value chain support project – ESPM summary (AfDB)]
Global Economic Outlook (OECD)
Uhuru roots for increased trade with Latin America and the Caribbean
Rwanda looks to boost exports to ECCAS
Egypt: Debunking the export myth?
Tanzania to maintain ban on coal imports
Mozambican industrialists want to prevent export of raw cashew nuts
New law strengthens capacity to attract private investment in Angola
Zimbabwe, China trade to reach $1bn mark by year end
West Africa Gateway: News Brief, 18-20 November 2016
Cameroonian government wants to establish import tax to finance African Union
IGAD CSO Grant Facility: civil society exchange on best practices
South Africa: Moody’s statement
‘India ready to submit formal proposal on services to WTO’
Participants endorse ‘Ashgabat Statement’ as first-ever UN conference on sustainable transport ends
