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Kenya's Trade Relations with Neighbours: A Cry for Integration?

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Nyakundi Report

Newsroom 2 min read

This archive report was first published on 6 July 2021.

Kenya's trade relations with its East African Community neighbours have been a subject of controversy in recent years. The country has been accused of being overly protective of its domestic market, leading to a series of bans on imports from Uganda and Tanzania.

According to a statement by the Agriculture and Food Authority (AFA) in March last year, surveillance and tests done on maize from Tanzania and Uganda showed that most of it had unacceptable levels of aflatoxin. However, this claim has been disputed by Ugandan authorities, who argue that the ban was motivated by ill intentions rather than a genuine concern for public health.

Ugandan parliamentarians have expressed their disappointment with Kenya's actions, with some calling for reciprocal measures to be taken against Kenyan imports. In a statement on Parliament's website, Busia Municipality MP Geoffrey Macho said, 'We see this as a big joke aimed to hinder the East African Community. It is a big shame; Kenya should separate development from politics.'

Trade lobby Trademark East Africa (TMEA) has also weighed in on the issue, arguing that trade within the EAC should be guided by the rules of the various regional trade blocs, which are aligned to those of the World Trade Organisation (WTO). 'In the recent months, countries in the EAC (notably Kenya) have continued to issue trade restrictions on various food and agricultural commodities from neighbouring countries,' said TMEA Director for Standards and SPS (sanitary and phytosanitary) Measures Dr Andrew Edewa.

Ugandan authorities claim that the country lost $455 million (Sh49 billion) worth of exports in 2019 due to Kenya's trade restrictions. Economist Kennedy Manyala has also pointed out that while some of the measures – such as SPS – are meant to protect the health of citizens, they are also non-tariff barriers that can hinder trade within the region.

Kenya's actions have been seen as a setback for regional integration, with some arguing that the country's protectionist policies are hindering the free movement of goods and services within the EAC. As one Ugandan MP noted, 'We are not ready to be bullied by Kenya, and we are not being done a favour by trading with Kenya.'

Published on July 6, 2021, this article highlights the complexities of Kenya's trade relations with its East African neighbours and the need for greater cooperation and integration within the region.

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