Comesa ministers approve new rules for small traders

“The common lists of products to be traded under the STR agreed upon will apply on the following borders; Burundi/Rwanda, Rwanda/Uganda, Uganda/Sudan, Uganda/Kenya, Kenya/Sudan, Zambia/DR Congo and Rwanda/DR Congo. In most cases, the countries mutually agreed on a timetable for gazetting and launching the STR,” the Comesa secretariat said in a statement.

The fate of Ethiopia in the STR arrangement remained unclear after it failed to send a representative to the negotiation talks that ended in Nairobi at the weekend.

“There shouldn’t be a problem whatsoever for Ethiopia because there is a provision for it to discuss any portions of the list that doesn’t augur well with it,” Mr Sindiga said.

Though informal traders are estimated to account for about 50 per cent of the annual $15 billion trade within the Common Market for Eastern and Southern Africa (Comesa), their potential has not been fully exploited over the years due to complicated customs and certification procedures.

Small-scale traders have often been denied duty and quota free access for their goods even when they are eligible for it.

“By reducing or removing customs duties and other practices that discourage trade, Comesa countries can increase trading opportunities and reduce the cost of goods for all types of traders,” the Comesa secretariat said in a brief.

Officiating at the talks, Finance minister Uhuru Kenyatta said the STR if fully implemented could help tap an additional $1 billion in new business opportunities for the small traders.

Comesa deputy secretary-general in-charge of programmes, Mr Stephen Karangizi, at the beginning of the talks in Nairobi cautioned that while the STR was an opportunity to improve trade in the region, there still existed other barriers that needed to be overcome.

“In particular we note in agriculture that the sanitary and phytosanitary requirements need to be regionalised so as to permit free flow within the region,” Mr Karangizi said revealing that Comesa was already working with the East African Community (EAC) to adopt a common approach in the implementation of the STR.

“EAC is already implementing the simplified certificate of origin and what the traders want to see is a seamless set of simple rules,” he added.