Kenya Tanzania Trade

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Relief as Kenya, Tanzania lift trade restrictions

Kenya’s Foreign Affairs Secretary says issues surrounding trade relations between the two countries have been resolved.

Kenya and Tanzania have resolved a three-month diplomatic row which saw both governments impose bans on imports from each other. Addressing the media on 23 July 2017, both Ministers of Foreign Affairs — Amina Mohamed and Augustine Mahiga — announced that trade in liquefied petroleum gas (LPG), wheat, cigarettes, milk and milk products would resume with immediate effect.

In April, Kenya banned the import of LPG and wheat from Tanzania, saying the products were inferior. Tanzania responded by banning the import of milk and cigarettes.

On Sunday, Hon. Mahiga said: “The Republic of Kenya and the United Republic of Tanzania will lift any other restrictions that affect products and services exchange between the two countries.”

Minister Mohamed added that the two States would also form a standing joint technical committee to address any issues that arise between them. She said the ministries of trade, finance, interior, energy, transport, and tourism would also be incorporated into the committee.

“The objective of setting up this standing technical committee is to be able to address any issues that arise between our two countries. We have agreed that we will not let anybody, any issue, anything at all, come between our two brotherly countries.”

Tanzania supplies approximately 40,000 tons of LPG to Kenya, annually.  The lifting of trade restrictions brings relief to traders who have experienced mass losses on stock and income.

The LEX Africa member firms for Kenya and Tanzania are Kaplan & Stratton Advocates et Avocats FB respectively.

 

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