Geza Ulole
JF-Expert Member
- Oct 31, 2009
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EAC takes over sweet exports row with Tanzania, Uganda
MONDAY, JULY 2, 2018 21:30
Kenya-Tanzania border crossing at Namanga. FILE PHOTO | NMG
The fate of Kenyan confectionery firms that have been denied duty-free access to Tanzania and Uganda over alleged use of zero-rated industrial sugar imports now lies in the hands of the East African Community’s secretariat.
The customs and trade desk has taken over the boiling tax dispute which has resulted in restricted entry of Kenyan-made confectionery, juice, ice cream and chewing gum to the neighbouring markets.
Dar es Salaam and Kampala slapped a 25 per cent duty on Kenyan products, claiming the use of zero-rated industrial sugar has tilted competition in favour of Nairobi factories.
The EAC secretariat supervised the verification by the Tanzanian and Ugandan missions over the sourcing of industrial sugar by Kenyan confectionery factories.
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Nairobi had threatened to revenge against Tanzanian-made goods if Dar es Salaam revenue and standards bodies failed to verify their claims over sugar sourcing by end of June.
Trade Principal Secretary Chris Kiptoo said Kenya will now await the findings of the EAC to inform its next step of action in the tiff that has dragged for months.
“The outcome will determine the next course of action because I don’t know the outcome of the verification mission. The report will come from the (EAC) secretariat… after that we will now sit as a nation and think what we can do,” Dr Kiptoo said.
Uganda and Tanzania have claimed Kenyan confectioneries took advantage of mismanagement of a one-year zero-rate duty remission scheme for table sugar from last July to ship in industrial sugar.
The six EAC nations import refined industrial sugar under a uniform 10 per cent duty remission scheme.
EAC takes over sweet exports row with Tanzania, Uganda
MY TAKE
Hakuna kuruhusu confectioneries toka Kenya yet wanafanya udanganyifu! waonyeshe where do they produce their industrial sugar!
MONDAY, JULY 2, 2018 21:30
Kenya-Tanzania border crossing at Namanga. FILE PHOTO | NMG
The fate of Kenyan confectionery firms that have been denied duty-free access to Tanzania and Uganda over alleged use of zero-rated industrial sugar imports now lies in the hands of the East African Community’s secretariat.
The customs and trade desk has taken over the boiling tax dispute which has resulted in restricted entry of Kenyan-made confectionery, juice, ice cream and chewing gum to the neighbouring markets.
Dar es Salaam and Kampala slapped a 25 per cent duty on Kenyan products, claiming the use of zero-rated industrial sugar has tilted competition in favour of Nairobi factories.
The EAC secretariat supervised the verification by the Tanzanian and Ugandan missions over the sourcing of industrial sugar by Kenyan confectionery factories.
Also Read
Nairobi had threatened to revenge against Tanzanian-made goods if Dar es Salaam revenue and standards bodies failed to verify their claims over sugar sourcing by end of June.
Trade Principal Secretary Chris Kiptoo said Kenya will now await the findings of the EAC to inform its next step of action in the tiff that has dragged for months.
“The outcome will determine the next course of action because I don’t know the outcome of the verification mission. The report will come from the (EAC) secretariat… after that we will now sit as a nation and think what we can do,” Dr Kiptoo said.
Uganda and Tanzania have claimed Kenyan confectioneries took advantage of mismanagement of a one-year zero-rate duty remission scheme for table sugar from last July to ship in industrial sugar.
The six EAC nations import refined industrial sugar under a uniform 10 per cent duty remission scheme.
EAC takes over sweet exports row with Tanzania, Uganda
MY TAKE
Hakuna kuruhusu confectioneries toka Kenya yet wanafanya udanganyifu! waonyeshe where do they produce their industrial sugar!
