Tanzania has responded to recent accusations by Rwanda alleging that it has restricted the import of Rwandan milk, despite a memorandum of understanding signed by the two countries earlier this year intended to facilitate trade.
Deputy Minister for Industry and Trade, Mr. Exhaud Kigahe, addressed these claims on October 21, suggesting that all trade issues within the East African Community (EAC) should be managed through the established mechanisms of the regional bloc.
“The said issue is under the EAC Customs Union Protocol. Therefore, any complaints should be submitted according to procedures for measures to be taken,” Mr. Kigahe explained in a statement, reiterating that Tanzania remains open to resolving grievances within the EAC’s regulatory framework.
The trade restrictions came into the spotlight during a recent roundtable meeting organized by the East African Business Council. Members of the private sector from Rwanda discussed the obstacles they claim are increasingly affecting regional commerce, in particular, non-tariff barriers (NTBs) affecting Rwandan milk exports. The EAC Secretary General, Veronica Nduva, who attended the event in Kigali, heard from multiple Rwandan industry representatives who raised concerns about trade barriers imposed by Tanzania, which they argue violate EAC customs union standards.
Rwandan business leaders specifically highlighted the levies imposed on milk exports, which they argue have become prohibitive. Abdoul Ndarubogoye, president of the Long Distance Truckers Association, commented, “Our neighbors put a heavy levy on milk exports that are too difficult to pay—more expensive than the milk itself.” According to Ndarubogoye and other Rwandan exporters, the fees are so high that they effectively hinder trade by increasing the overall cost of exporting milk to Tanzania.
Rwandan transporters have also reported that multiple agencies in Tanzania collect various fees on Rwandan milk. These agencies include the Tanzania Bureau of Standards, the Tanzania Medicines and Medical Devices Authority, and the Tanzania Dairy Board. They claim that each institution levies additional fees, resulting in a cumulative financial burden that ultimately discourages cross-border trade.
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In response to these allegations, the Tanzanian government maintains that it remains committed to upholding the agreements made under the EAC framework. Tanzanian officials have expressed their willingness to address these concerns through the proper EAC channels, suggesting that Rwanda’s complaints may be best addressed through formal diplomatic and economic dialogues.
This tension highlights the ongoing challenges within the EAC in achieving seamless trade integration. Many industries in the region continue to face NTBs that stand in contrast to the promises of open market policies outlined in the customs union and common market agreements. The EAC has made efforts to address these trade issues in the past, but complaints regarding complex regulations, taxes, and additional charges persist, raising concerns about the effectiveness of the bloc’s integration initiatives.