WHAT INDUSTRY CAPTAINS EXPECT FROM NEW EAC

  

 Industry captains on Friday,expressed their confidence in the incoming East African Community (EAC) secretary general Peter Mathuki.

They want the Kenya politician-cum-business executive to put in gear policy mechanisms that would spur intra-EAC trade to over 30 per cent. 

Dr. Mathuki who assumed office late on Friday in Arusha as the sixth secretary general of the six nation economic bloc.

He took over from Ambassador Liberat Mfumukeko from Burundi whose five year (2016-2021), non-renewable term has just ended.

The business leaders under the aegis of the East African Business Council (EABC) have convened in Arusha for Dr. Mathuki inauguration and urged him to transform the Community.

"As the industry leaders we have analyzed key trade and investment barriers", they said during a brief meeting at an Arusha hotel. 

Until his appointment as the new EAC boss during the February 27th Summit of Heads of State, Dr. Mathuki was the executive director of EABC. 

They said the East African businesses have failed to take advantage of the EAC Customs Union and Common Market protocols which paved the way for full integration.

John Bosco Rusagara, speaking on behalf of the EABC chairperson Nick Nesbitt, set the key agenda for the incoming EAC boss.

He appealed for fast-tracking of finalization of the comprehensive review of the EAC Common External Tariff so as to boost industrialization and regional value chains.

Other interventions proposed are quick elimination of non-tariff barriers (NTBs) and operationalization of the Committee of Trade Remedies to  handle trade disputes.

Others include finalization of the regulations on free movement of services and service suppliers and implementation of the Standardization and Accreditation and Conformity Assessment (SACA)) Bill,2017.

The business leaders have also urged the EAC Secretariat to mainstream and progressively harmonize domestic taxes such as excise duty, Value Added Tax (VAT) and Income Tax.

 

Domestication of EAC Air Space by according national treatment to EAC national air operators, passengers and cargo will reduce air ticket cost.

This, according to the apex body of private sector associations and corporates, would attract more tourists into the region plus boost consolidation and exports of fresh horticultural and fish.

 

On COVID-19, Mr. Rusagara, who is an EABC director, called for the need of harmonization of measures and regional coordinated approach in handling the pandemic.

The East Africa private sector was expected to  present the regional priority issues during an Evening Gala Dinner with the new EAC Secretary General at an Arusha hotel last night (Friday).

 

The Evening Reception is organized in partnership with GIZ- Business Scouts for Development Program, funded by the German Ministry for economic cooperation, BMZ.

Dr. Mathuki holds a PhD in Strategic Management & Regional Integration from the University of Nairobi, Kenya. At one time (2012-2017) he was a member of the East African Legislative Assembly (Eala) from Kenya.

He is credited for having been instrumental in driving and articulating the private sector priorities in the EAC decision making process during his tenure as the chief executive officer of the Arusha-based EABC.