Non-tariff barriers threaten free Comesa trade
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Written by Bosire Nyairo - 03-July 2007
Non-tariff barriers constitute the greatest threat to the realisation of free trade in the region and should be addressed, outgoing Comesa secretary general Erastus Mwencha said.
Eliminating barriers would lead to the availability of quality products on the Common Market for Eastern and Southern Africa (Comesa), which seeking to achieve a customs union that would allow free movement of goods, labour and capital among member states by December 2008, Mr Mwencha said.
But non-tarrif barriers such as rules of origin, convoluted customs procedures and import regulations are seen as the greatest impediment to the achievement of the goal.
“Benefits of an integrated, large, expanding and flexible market are so great that they should not be denied to stakeholders within the member states due to constraining influence of non-tariff barriers,” Mr Mwencha told a Comesa workshop on non-tariff barriers to trade.
He said member states had to commit themselves to eliminating NTBs and other restrictions if free trade were to be realised.
“It is for this purpose that the council of ministers has directed its efforts towards addressing this threat, by emphasising on observance of treaty provisions in respect to the elimination, non-imposition and advance notification of NTBs,” he added.
In 2006, the Comesa council of ministers directed its secretariat to develop an NTB monitoring mechanism, to monitor especially impact on volume of trade among member states.
The workshop brought together representatives from the private and public sector and others from the Southern African Development Community.
Kenya, a Comesa member state and East Africa’s largest economy, said NTBs had reversed trade gains by restricting domestic access to regional exporters and allowing cheaper imports.
“Until such barriers are comprehensively removed, regional producers, consumers and retailers will be unable to fully exploit the inherent opportunities of a truly rules-based regional market,” Kenya’s Trade and Industry permanent secretary David Nalo said. Kenya plans to reduce the import declaration fee on non-EAC imports from 2.75 to 2.25 per cent.
Written by Bosire Nyairo - 03-July 2007
Non-tariff barriers constitute the greatest threat to the realisation of free trade in the region and should be addressed, outgoing Comesa secretary general Erastus Mwencha said.
Eliminating barriers would lead to the availability of quality products on the Common Market for Eastern and Southern Africa (Comesa), which seeking to achieve a customs union that would allow free movement of goods, labour and capital among member states by December 2008, Mr Mwencha said.
But non-tarrif barriers such as rules of origin, convoluted customs procedures and import regulations are seen as the greatest impediment to the achievement of the goal.
“Benefits of an integrated, large, expanding and flexible market are so great that they should not be denied to stakeholders within the member states due to constraining influence of non-tariff barriers,” Mr Mwencha told a Comesa workshop on non-tariff barriers to trade.
He said member states had to commit themselves to eliminating NTBs and other restrictions if free trade were to be realised.
“It is for this purpose that the council of ministers has directed its efforts towards addressing this threat, by emphasising on observance of treaty provisions in respect to the elimination, non-imposition and advance notification of NTBs,” he added.
In 2006, the Comesa council of ministers directed its secretariat to develop an NTB monitoring mechanism, to monitor especially impact on volume of trade among member states.
The workshop brought together representatives from the private and public sector and others from the Southern African Development Community.
Kenya, a Comesa member state and East Africa’s largest economy, said NTBs had reversed trade gains by restricting domestic access to regional exporters and allowing cheaper imports.
“Until such barriers are comprehensively removed, regional producers, consumers and retailers will be unable to fully exploit the inherent opportunities of a truly rules-based regional market,” Kenya’s Trade and Industry permanent secretary David Nalo said. Kenya plans to reduce the import declaration fee on non-EAC imports from 2.75 to 2.25 per cent.