Good news for traders as Kenya-Uganda governments eliminate trade barriers and tariffs on local products

By Hope Barbra

Kenya and Uganda have moved to Fastrack trade between two countries by committing to eliminate Non-tariff Barriers (NTB) and tariffs, which have been trade barriers to the two countries.

In a joint communique of the joint Trade Ministerial meeting with the Ministers directing that all products originating between Kenya and Uganda to be treated as transfers.

“Both Ministers committed to eliminate all existing Tariffs and NTBS hindering trade between the two countries and fully implement all trade related commitments under the EAC Treaty and Protocols. In this regard, the Ministers agreed to remove all discriminatory excise duties, levies and other charges of equivalent effects,” read the statement 

This follows the recent directive by president Yoweri Kaguta Museveni, of Uganda, and  president William Samoei Ruto,  of Kenya, during their bilateral engagement held in Nairobi, Kenya from 30th to 31st July 2025, that Ministers responsible for trade of both countries urgently convene a meeting to resolve all trade barriers between the two countries including congestion along the major trade corridors, tariff and non- tariff barriers.

Subsequently, the two Ministers convened a meeting on 31st July 2025, in Nairobi City and agreed to exchange lists of all products affected by Non-Tariff Barriers (NTBs).

This was followed up by convening a technical meeting in Mbale City from 18th to 22nd August 2025 to consider the exchanged lists.

“The technical officers were also directed to undertake assessment at the borders of Suam, Busia, Malaba and Lwakhakha to ascertain the causes of delays and congestions at those borders and provide comprehensive recommendations to the Ministers on how to resolve the barriers during their meeting of 29th to 30th August 2025,” it read.

Uganda’s, Minister of State for Trade, Industry and Cooperatives (Trade). Wilson Mbasu Mbadi  led the Ugandan delegation. 

The delegation  comprised of representatives from Ministry of Finance Planning and Economic Development (MoFPED, Ministry of Trade, Industry and Cooperatives (MTIC) Ministry of Trade, Industry and Cooperatives (MTIC), Ministry of Foreign Affairs (MOFA), Ministry of Agriculture, Animal Industry and Fisheries (MAAIF), Ministry of Works and Transport (MoWT), Uganda Revenue Authority (URA), Uganda Free Zones and Export Promotion Authority (UFZEPA), Uganda National Bureau of Standards (UNBS)

For Kenya, Cabinet Secretary, Ministry of Investments, Trade and Industry, Mr., Lee Kinyanjui led the delegation.

He was accompanied by the Principal Secretary, State Department for Industry Dr Juma Mukhwana, and Principal Secretary, State Department for Trade Ms. Regina A. Ombam. 

Other members of the delegation included representatives from the Ministry of Trade, Investments and Industry, Ministry of Foreign and Diaspora Affairs (MoFDA), Kenya High Commission-Kampala, Kenya Bureau of Standards (KEBS), Agriculture and Food Authority (AFA), Kenya Revenue Authority

The two Ministers reiterated their commitment in implementing the Directives of the Heads of State: to specifically decongest the borders of Malaba and Busia and address all barriers hindering trade between the two countries.

While conducting the border inspections, the Ministers received additional administrative/operational, infrastructural and systems related challenges causing congestion at the borders. 

In addressing the delays and congestions, the Ministers provided short, medium and long-term directives.

The Ministers noted the achievements so far made in resolving long outstanding NTBs which have been hindering trade between the two countries.

On the Congestion at the border, the ministers directed border agencies to clear the congestion at the Malaba border within 24 hours and reduce and maintain it not more than 4 kilometers.

Ministers also directed border agencies to clear the congestion at Busia border within 24 hours and maintain it to not more than 500 meters.

Ministers equally directed border agencies to immediately address delays relating to multiple check points.

They directed the border management agencies to ensure 24/7-hour operations of their respective functions.

“Government of Uganda committed to immediately address the issues related to the weighbridge operations along the major trade corridors as a measure to facilitating faster movement of goods,” it read.

Both Ministers committed to prioritize and mobilize resources for critical border infrastructure, including road upgrades, and bridge construction.

Both Ministers committed to expeditiously complete the construction works on the Kenya side and commission operations to enhance service at Suam OSBP Operations.

“Lwakhakha Border; Both Ministers committed to upgrade the road infrastructure and acquire a scanner on the Kenya side.

Joint Border Committees (JBCs): Both Ministers directed Joint Border Committees (JBCs) to be operationalized to resolve daily operational challenges and escalate unresolved matters to higher authorities immediately,” it read.

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