Thursday, December 10, 2020

IS IT TIME FOR UGANDA TO REMOVE THE KID GLOVES?


Last week the Uganda Manufacturers’ Association (UMA) complained that unfair trade practices by our East African Community (EAC) were proving detrimental to our local businesses and that government should muster a more robust response than it has currently managed.

According to UMA, Uganda which has served as a market for Kenyan industry for decades is finally coming into its own, seeking to not only manufacture things we previously imported but also to export the products of our factories.

However, they complain that while EAC common market guarantees the unfettered free movement of goods and services between member states our neighbours are not playing ball.

Kenya for instance continues to throw up non-tarif barriers – questioning the origins of our goods, they claim they are counterfeit, smuggled, there is institutionalized  harassment of Ugandan trade, road blocks and raids on Ugandan warehouses and issuance of quotas, all of which are against the spirit of the common market.

UMA complains too that frequent tariff tampering by Tanzania and the border closure by Rwanda has shrunk their share of regional trade.

"These are important complaints that need to be taken seriously in the context of our drive to transform the economy and eliminate poverty...

At the heart of the idea behind the common market was that it would boost our individual industries, create jobs and spur economic transformation. When some countries thin they would rather be protectionist rather than open the cause will be lost.

That being sad this kind of shenanigans are not unique to us. Building common markets is a labour of love that takes ages to create anywhere  in the world.

However, there is a genuine need to speed things along.

It seems Uganda is getting the short end of this stick. While diplomatic protests have been made to the offending parties they seem to ignore them.

President Yoweri Museveni, for who this has been his pet project for decades, should jump into the fray and try and get his counterparts to orgainise their technocrats and enforcers.

"And if we cannot rely on the goodness of the hearts of our neighbours, though not desirable, restricting their access to our markets must be considered until we get an amicable settlement


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