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Kikwete talks tough on roadblocks

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Kikwete talks tough on roadblocks

Kikwete talks tough on roadblocks
Photo credit: EALA

Tanzania President Jakaya Kikwete said last week urgent measures are being taken to reduce road blocks on the Tanzania side of the Central Corridor. 

This Corridor is the southern alternative route to the East African hinterland.

“The progress made so far, at the ports of Mombasa and Dar es Salaam and, on the Northern Corridor with regard to roadblocks shows that it is possible to eliminate these non-tariff barriers. Measures are being taken in earnest to reduce road blocks on the Tanzania side of the Central Corridor. 

“I am sure in the next few months we will notice a huge improvement,” Kikwete said. He was delivering the State of East African Community address in Bujumbura, Burundi.

According to a press release, Kikwete, who is the Chair of the Summit of EAC Heads of State, told Partner States to spare no efforts in ridding the region of Non-Tariff Barriers. He said this will spur the integration process.   

He re-affirmed his commitment during his term as Chairperson of the Summit to ensuring total removal of all barriers to trade.

The President remarked that roadblocks along the central corridor within the hinterland of Tanzania were on the verge of been removed.

“Police check points have been reduced from 15 points to six. Our aim to reduce them to none except when need arises,” he said. 

He said the Tanzania Revenue Authority had also reduced the checks from three to zero along the Central Corridor. He noted that the revenue authority would further reduce the weighbridges from eight to three and to introduce weigh in motion technology.

The President informed the House that one such weighbridge was already installed in Vigwaza with another two on the way to Manyoni and Nyakahura on the central corridor.

“I am told with the current improvements alone, for a container to move from the port of Dar es Salaam to Kigali takes three days from the previous 8 days. It takes three and a half days to Bujumbura from the previous 8 days,” he said.

Kikwete said, “I call upon EALA to join in the partnership to ensure the removal of NTBs to make EAC the best region to do business.”

The President noted that improved infrastructure would bring down the costs of doing business. He said poor infrastructure had resulted in the upward and spiral effect of transportation costs resulting in skyrocketing of between 30-40% of the price of goods especially in the landlocked countries.

He thus urged the region to invest better on efficient ports, railways, roads, aviation services, energy and telecommunication.

In attendance were high ranking government officials led by the 2nd Vice President of the republic of Burundi, Dr. Gervais Rufyikiri, legislators, diplomatic corps and various stakeholders.

President Kikwete was emphatic that the incremental approach of the integration process had been a great success. He said under the Customs Union, the region benefited from enhanced trade through the Common External Tariffs. 

“Indeed, goods which meet the criteria of rule of origin have been moving across borders without paying taxes however non tariffs barriers remain a challenge. Progress has been made but the matter has not been resolved fully yet,” he said. 

He said, “Trade is now at 23 % over and above intra African trade figure of 12%. There has been a 300% increase in the value of trade from, 2 billion US Dollars in 2005 to 6 billion US Dollars in 2014.”

“These numbers, coupled with the combined EAC GDP of $110.3 billion with an average annual rate growth, of 2.6 percent makes our region a formidable trade and economic bloc in Africa,” Kikwete said.  

The Head of State remarked that contrary to initial fears within the Partner States, an increase in government revenue had been recorded as a result of the Customs Union.

On the Common Market pillar, the Head of State lamented over its slow progress which he said was discouraging to the EAC citizens.  He noted that the Common Market scorecard 2014 presented at the last EAC Summit in Nairobi shows more good be done.

He cited the example with regard to the free Movements of Services, where 63 measures out of 500 key sectoral laws and regulations of Partner States were identified to be inconsistent with the Common Market Protocol. 73% of these are exclusively related to professional services.

The President challenged the Partner States to embrace the wider picture of regional integration in their approach. In this regard, the Head of State lauded EALA for the introduction of the Community Cross Border Legal Practice Bill (2014); the East African Community Electronic Transactions Bill 2014; and the East African Community Competition (Amendment) Bill (2015) and urged EALA to treat the Bills with the urgency deserved.

On the forthcoming elections in Burundi, the Head of State was categorical that the country should hold peaceful, free and fair elections. He remarked that any attempts to derail the electioneering in the country would be inappropriate.

“I appeal to the citizens of the country to adhere to the constitution of Burundi, the electoral laws and the Arusha Accord,” he said.

He said that Tanzania would also vote at the plebiscite for the new constitution in April before the general elections in October.

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