Tanzania Increases Export Permits By 93 Percent To 52,000 Shillings

By Lynnet Okumu / Published June 27, 2022 | 12:48 pm




KEY POINTS

According to border officials, Tanzanian Authorities have increased the initial cost of acquiring a trade permit from 27,000 to 52,000 shillings per truck.


Tanzania exports

KEY TAKEAWAYS


The back and forth cold war between the two countries was resolved when the current Tanzanian President, Samia Suluhu, visited Nairobi for a bilateral meeting with Kenyan President Uhuru Kenyatta in 2021.


Tanzania has hit Kenyan traders with double export permits of up to 93 percent, a move that is likely to stir another round of trade dispute between the two East African countries.

“Tanzania has increased the charges that it levies on the export permit to 52,000 shillings per truck, creating confusion at the border, but activities are slowly coming back to normal,” Said an officer of the Kenya Revenue Authority (KRA).

According to border officials, Tanzanian Authorities have increased the initial cost of acquiring a trade permit from 27,000 to 52,000 shillings per truck.

The traders claim that the new requirement, which caught them off-guard, is the best explanation for the huge snarl-up of tracks moving to Kenya at the border for the last week.

Despite the surety of the Kenya Bureau of Statistics that they had resumed clearing the trucks last week, hundreds of trucks were still left stranded at the border last week as truck owners updated their export permits to meet the new requirements.

The move projected to affect cross-border trade between Kenya and Tanzania might have a long-term effect on millers who depend largely on Tanzania for maize imports to meet the current shortage of the commodity in the country.

According to data from Kenya’s agriculture ministry, the country imported maize valued at 4.2 billion shillings($38.18 million) from Tanzania in 2019. In 2020, it imported about 277,350 tonnes of maize (3.1 million 90kg bags), with about 95 percent coming from Uganda and Tanzania.

In January 2021, Kenya imported over 450,000 bags (90kg) of maize from both Tanzania and Uganda and another 300,000 bags in February.

Currently, there is a shortage of maize supply to the Kenyan market from the regional markets as most stocks from Uganda are heading to South Sudan, where they fetch a reasonable price.

As such, millers are now importing the grain from Malawi and Zambia, with a 90-kilogram bag landing at 5,200 shillings in Nairobi.

The maize shortage has already forced half of the small-scale millers to shut down since June because they lacked the financial muscles to import the.

Kenyan farmers are worried that the new export duty requirement will not only affect the importation of maize from Tanzania but also other products such as onions, vegetables, milk, and sugar, which the country cannot produce enough to meet the growing demand.

In 2020, Tanzania imposed a 25 percent import duty on Kenyan confectionery ranging from juice, ice cream, chocolate, sweets, and chewing gums. The then Tanzanian government claimed that Kenya had used zero-rated industrial sugar imports to produce the products.

In the same year, Kenya also banned Tanzanian tour vans from accessing the Maasai Mara National Reserve, arguing that the latter had prohibited Kenyan operators from accessing the Serengeti National Park.

However, the back and forth cold war between the two countries was resolved when the current Tanzanian President, Samia Suluhu, visited Nairobi for a bilateral meeting with Kenyan President Uhuru Kenyatta in 2021.






More Articles From This Author








Trending Stories










Other Related Articles










SOKO DIRECTORY & FINANCIAL GUIDE



ARCHIVES

2022
  • January 2022 (293)
  • February 2022 (329)
  • March 2022 (360)
  • April 2022 (294)
  • May 2022 (271)
  • June 2022 (232)
  • July 2022 (278)
  • August 2022 (67)
  • 2021
  • January 2021 (182)
  • February 2021 (227)
  • March 2021 (325)
  • April 2021 (259)
  • May 2021 (285)
  • June 2021 (273)
  • July 2021 (277)
  • August 2021 (232)
  • September 2021 (271)
  • October 2021 (305)
  • November 2021 (364)
  • December 2021 (249)
  • 2020
  • January 2020 (272)
  • February 2020 (310)
  • March 2020 (390)
  • April 2020 (321)
  • May 2020 (335)
  • June 2020 (327)
  • July 2020 (333)
  • August 2020 (276)
  • September 2020 (214)
  • October 2020 (233)
  • November 2020 (242)
  • December 2020 (187)
  • 2019
  • January 2019 (251)
  • February 2019 (215)
  • March 2019 (283)
  • April 2019 (254)
  • May 2019 (269)
  • June 2019 (249)
  • July 2019 (335)
  • August 2019 (293)
  • September 2019 (306)
  • October 2019 (313)
  • November 2019 (362)
  • December 2019 (318)
  • 2018
  • January 2018 (291)
  • February 2018 (213)
  • March 2018 (275)
  • April 2018 (223)
  • May 2018 (235)
  • June 2018 (176)
  • July 2018 (256)
  • August 2018 (247)
  • September 2018 (255)
  • October 2018 (282)
  • November 2018 (282)
  • December 2018 (184)
  • 2017
  • January 2017 (183)
  • February 2017 (194)
  • March 2017 (207)
  • April 2017 (104)
  • May 2017 (169)
  • June 2017 (205)
  • July 2017 (189)
  • August 2017 (195)
  • September 2017 (186)
  • October 2017 (235)
  • November 2017 (253)
  • December 2017 (266)
  • 2016
  • January 2016 (164)
  • February 2016 (165)
  • March 2016 (189)
  • April 2016 (143)
  • May 2016 (245)
  • June 2016 (182)
  • July 2016 (271)
  • August 2016 (247)
  • September 2016 (233)
  • October 2016 (191)
  • November 2016 (243)
  • December 2016 (153)
  • 2015
  • January 2015 (1)
  • February 2015 (4)
  • March 2015 (164)
  • April 2015 (107)
  • May 2015 (116)
  • June 2015 (119)
  • July 2015 (145)
  • August 2015 (157)
  • September 2015 (186)
  • October 2015 (169)
  • November 2015 (173)
  • December 2015 (205)
  • 2014
  • March 2014 (2)
  • 2013
  • March 2013 (10)
  • June 2013 (1)
  • 2012
  • March 2012 (7)
  • April 2012 (15)
  • May 2012 (1)
  • July 2012 (1)
  • August 2012 (4)
  • October 2012 (2)
  • November 2012 (2)
  • December 2012 (1)
  • 2011
    2010
    2009
    2008
    2007
    2006
    2005
    2004
    2003
    2002
    2001
    2000
    1999
    1998
    1997
    1996
    1995
    1994
    1993
    1992
    1991
    1990
    1989
    1988
    1987
    1986
    1985
    1984
    1983
    1982
    1981
    1980
    1979
    1978
    1977
    1976
    1975
    1974
    1973
    1972
    1971
    1970
    1969
    1968
    1967
    1966
    1965
    1964
    1963
    1962
    1961
    1960
    1959
    1958
    1957
    1956
    1955
    1954
    1953
    1952
    1951
    1950