Private sector consultative meeting on the East African Community common market scorecard 2016

On 3rd March 2016  TATOA Management attended a consultative meeting on the East Africa Community Common Market  Scorecard which aimed at discussing  non-conformity measures under

  1. Free Movement of Goods
  2. Free Movement of Services and
  3. Free Movement of Capital

On the Free Movement of Goods Road Transport Sub-Sector was discussed and the following issues were considered ;

  1. The Foreign Vehicles Transit Charges Act : The observation was that laws applicable for transit vehicles should be uniform/standard within the community to ensure equal and fair business trade
  2. The Motor Vehicles Insurance Act : The observation was that conditions imposed on insurance of vehicles should be uniform for all countries of the community
  3. Kanuni za Leseni ya Usafirishaji (Magari ya Kubeba Mizigo) : The observation was that rules and regulations governing road transportation business licences should be uniform within the community and
  4. The Road Traffic Act : The observation was the Acts governing road trafiic should be uniform in East Africa Community

TATOA submitted to the meeting some impediments for free movement of goods within the common market especially as regards the effectiveness of COMESA bond. This is  a customs transit regime designed to facilitate the movement of goods under Customs seals in the COMESA region and to provide the required customs security and guarantee to the transit countries. The bond is normally  only availed to carriers that use the COMESA Customs Document (COMESA-CD) and are issued with the COMESA carrier Licence. The issue of concern was whether this bond is effective as it is intended to be ; the issue of Single Customs Treaty ; the issue of Electronic Cargo Tracking System (ECTS) and the complication it brings  ; the issue of presence of  some non-reciprocal laws and regulations between member states and also presence of numerous non-tariff barriers which impinge on the smooth transaction of our businesses.

The East African Community has requested TATOA to submit specific examples and bottlenecks on transportation of goods business within EAC member state to enable it take up with the Governing Council.

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