Kenya, Tanzania Agree To End Animosity, Goods to Move Freely

Kenya and Tanzania have agreed to end their trade animosity and allow the initial free trade pact of free movement of goods from both countries.

The long-running trade war between the two countries is set to come to an end following a bilateral talk held between the two countries.

Kenya-made goods such as textiles had been denied entry into Tanzania but now, according to Kenyan Trade PS Chris Kiptoo, the goods will access Tanzanian markets with much ease.

Tanzania had barred Kenyan textiles saying that they had been made at the EPZ zones with tax-exempt and would not compete favorably with the local products in Tanzania.

Kenya allows the sale of EPZ products of up to 20 percent on their markets with the meeting resolving that there must be an EAC legal notice to give preference to Kenyan textile into Tanzania.

The two countries have also agreed that the revenue collection agencies, Kenya Revenue Authority and Tanzania Revenue Authority will solve the challenges on the electronic cargo tracking system.

Tanzania is Kenya’s second largest market in the East African Region after Uganda in products such as palm oil, soap, medical drugs, cooking fats, iron sheets, sugar and margarine