This is yet another spectacular indication of the warming of relations between Nairobi and Dar es Salaam. The governments of both nations have decided to abolish all customs tariffs and non-tariff barriers to trade from 1 January 2023. This is a real signal to the rest of the continent to speed up the implementation of the AfCFTA, the Continental Free Trade Area.
From 1 January 2023, the Kenyan executive and its Tanzanian counterpart will lift the remaining tariff and non-tariff barriers to free trade between the two countries, which are both members of the East African Economic Community (EAC).
Trade volumes between the two countries have almost doubled
The measures concerned 68 practices having been recognised as barriers to trade. These trade restrictions were adopted by both governments at a time when their relations were deteriorating. According to Isaac Njenga, Kenya's High Commissioner (Editor's note: Deputy head of the kenyan diplomatic mission, in charge of economic affairs) in Tanzania, trade volumes between the two countries have almost doubled in one year since the lifting of several barriers. Imports have risen from $220.9 million in 2020 to $406.9 million in 2021. Exports, meanwhile, reached $370.4 million last year, compared with $255 million the previous year. In total, trade between the two countries amounted to $777.2 million in 2021, compared with $475.9 million a year earlier. Few African countries can boast such a dynamic level of trade with their neighbour.
Credit: Afrimag
