This archive report was first published on 4 July 2020.
Published on July 4, 2020, the East African Community (EAC) trade volumes have dropped significantly due to movement restrictions imposed to curb the spread of the coronavirus.
The restrictions, which include tight freight controls at key border points, have resulted in a 40% drop in trade volumes. According to Kenneth Bagamuhunda, EAC Director-General, and Customs & Trade, intra-trade volumes have dropped to between 30 and 40 percent in the past three months.
The restrictions have affected the movement of cargo trucks from the ports of Mombasa and Dar es Salaam to Malaba, Busia, Mutukula, Rusumo, and other border points within the community. The restrictions on people's movements across borders have further lowered EAC trade volumes, cutting down informal trade.
Informal trade accounts for up to 30% of Uganda's exports. The activities to slow down the spread of the virus, such as screening at border points, continue to slow down trucks' movement across borders.
Testing facilities in the Malaba and Namanga borders now bring long queues, reducing volumes cleared. The number of trucks cleared at the Namanga border fell from 3000 before the pandemic to less than 500.
Other border points in the region have also experienced similar challenges, leading to huge losses of perishable goods. The Rusumo border from Rwanda to Tanzania was also affected when Rwanda insisted on testing truck drivers for coronavirus, thus affecting the smooth flow of goods to Kigali.
