Active complaints

Showing items 41 to 60 of 108
Complaint number NTB Type
Category 1. Government participation in trade & restrictive practices tolerated by governments
Category 2. Customs and administrative entry procedures
Category 5. Specific limitations
Category 6. Charges on imports
Category 7. Other procedural problems
Category 8. Transport, Clearing and Forwarding
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COMESA
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 Actions
NTB-001-134 2.6. Additional taxes and other charges 2023-05-08 Kenya: Egypt In process View
Complaint: The Middle East Glass Manufacturing Company and its subsidiaries: 1) Misr Glass Manufacturing and 2) Middle East Glass Containers in Sadat. Being largest glass container manufacturer in the Middle East & North/East African region located in Egypt. The company has maintained strong business relation with Republic of Kenya over the last decade(s) being key glass supplier for more than 12 years to most of big manufacturing companies (some of them are big multinational companies) with superior track record of commitments in terms of quality standards and satisfying customer demands, continuity of supply, meeting their expectations and needs of glass container.
Egypt is member state of COMESA trade agreement (Common Market for Eastern and Southern Africa), which support enhancing the relation and volume of trade between the company and Kenyan customers. Below table shows the amounts that has been exported to Kenya in the last 5 years:

2019 = US$ 10,325,336
2020 = US$ 10, 929, 362
2021 = US$ 8, 122, 525
2022 = US$ 8, 848, 972
2023 = US$ 7,322,062

Starting March 2020, Kenya has applied Extra Excise of 25% on all imported glass bottles (excluding pharmaceutical glass bottles) – copy attached - which limit the advantage given to all COMESA countries. This law has been already appealed by other glass container manufacturer in Tanzania and they successfully were able to remove it.
In addition, Starting September 2023, Excise duty applied on imported glass bottles has been increased to be 35% instead of 25% with no clear reason or justification. This additional duty applies by the Finance Act No. 4 of 2023 – copy attached - has prevented Middle East Glass from its fair competition against other glass manufacturers in the region and also against the agreement of COMESA.
We believe the main reason behind all these amendments is to support the local producer Milly Glass Works Ltd. Address: Liwatoni Road, Mvita, Road, Mombasa, Kenya, Near the Mombasa Yacht Club.
Hence, we seek support to waive all the glass exported from Egypt to Kenya from implementation of the excessive Excise Duties similar to the case of Tanzania case. 		 
Progress: 1. During the NTBs workshop 17th - 19th April 2024, Egypt reported that the legislation is still providing a barrier to Egypt exports to Kenya. The two countries agreed that this issue will form part of the agenda for the proposed bilateral meeting by 28th June 2024.
2. On 28 August 2024, Egypt requested the Secretariat to facilitate a bilateral meeting between themselves and Kenya regarding this NTB. After the Secretariat initiated the bilateral meeting, on 3 September 2024, Kenya agreed to hold the bilateral meeting, following a stakeholder consultative meeting held on the same day. 		 
NTB-001-129 2.6. Additional taxes and other charges 2021-07-01 Kenya: Kenyan Government Egypt In process View
Complaint: Complain from Eagle Chemicals - Egypt
Subject: Excise duty on imports cancelling the effect of COMESA agreement

TARRIFF BARRIERS UNDER COMESA AGREEMENT (EXCISE DUTY TAX IN KENYA AS A BARRIER)

COMESA AGREEMENT:
Republic of Kenya and Egypt are signatories to COMESA AGREEMENT on removal of tariff (tax) barriers towards FREE TRADE between themselves and among the signatory member countries.
Since the establishment the COMESA AGREEMENT several years ago, the Republic of Kenya and Egypt have enjoyed this free trade environment and trade between the two countries has grown by leaps and bounds (UNTIL JULY 2021)
KENYA----FINANCE ACT 2021----IMPOSITION 10% EXCISE DUTY TAX (TARRIFF BARRIER)
In July 2021 and for the first time ever since signing of COMESA AGREEMENT, the Kenya Government imposed unilaterally and without consultation with COMESA Secretariat or with the Republic of Egypt a 10% Excise Duty (tariff Barrier) on Resins manufactured and exported from Egypt and / imported into Kenya.
This was an act in bad faith noting the mutual relationship between Egypt and Kenya under COMESA AGREEMENT

KENYA---FINANCE ACT 2023----IMPOSITION OF AN ADDITIONAL 10% EXCISE DUTY TAX ON RESINS (TARRIFF BARRIER).
In July 2023, the Kenya Government introduced an additional 10% Excise Duty Tax on resins imported from Egypt bringing total Excise Duty Tax to 20% and this again without consultation with COMESA Secretariat and neither / nor a humble advance notification to Republic of Egypt as a sign of good faith under the mutual COMESA AGREEMENT

KENYA---THE 20% EXCISE DUTY TAX ON RESINS--- PURPORTED PURPOSE
This tax is applying only on all imported resins (from COMESA and from Non-COMESA countries) BUT is not applied on locally manufactured resins.
Consequently, and from a COMESA perspective, this Excise Duty Tax is an IMPORT DUTY TAX camouflaged as a local excise duty tax hidden behind the purported protection of one local commercial resin manufacturer (SYNRESINS) whose capacity is below 15% of Kenya market resin usage / requirement.

AGGRAVATED BAD FAITH AGAINST MUTUAL TRADE AGREEMENT UNDER COMESA.
The above developments are acts in bad Faith by Kenya Government against a friendly free trade partner (Egypt) under the COMESA AGREEMENT.

Please note no other country / signatory to the COMESA AGREEMENT has imposed an excise duty tax on resins from Egypt.

IMPORT DUTY TAX ON RESINS ARE AND REMAIN AT NIL IMPORT DUTY TARRIFF TODATE UNDER COMESA AGREEMENT ON TARRIF BARRIERS TOWARDS FREE TRADE.
Please note IMPORT DUTY TAX on resins from Egypt to Kenya remain at NIL % import duty and is at NIL on imports by other COMESA countries.
Import duty on resins into Kenya from NON-COMESA COUNTRIES is and has always been at 10% since inception of COMESA AGREEMENT

REQUEST
Republic of Egypt has obligation to protect their manufacturers of resins who export to Kenya under COMESA AGREEMENT against such unjustified TARRIFF TAX BARRIERS imposed by Republic of Kenya by requesting their removal for benefit of mutual trade growth both ways.

(Refer Attachments)

  
Progress: 1. During the 3rd meeting of the COMESA NTBs Regional Forum , Kenya Focal point reported that they had contacted relevant authority and will provide feedback in the online system . Egypt requested that the bilateral meeting to consider this and other NTBs be schedule at the time Kenya would have completed their internal consultations .
2.Following the 3rd Regional COMESA NTB meeting and the 8th Meeting of Trade and Trade facilitation Sub Committee, Kenya was requested to provide feed back on NTB-001-129 on excise applied to products, 3905.19: Homopolymers 3903.20: Emulsion - Styrene Acrylic3905.91: Emulsion VAM 3907.50: Alkyd and3907.91: Unsaturated Polyester , It was proposed that Kenya and Egypt to hold a bilateral Meeting virtual with support of the Secretariat on 10th November 2023.
3. During the NTBs workshop 17th - 19th April 2024, the two countries agreed to hold a bilateral meeting on this issue. Egypt has formally submitted a Note Verbal to the Kenya NFPs. The Note Verbal has since been submitted to higher authority as the NTBs involves a policy issue and requires long-term for its resolution. Kenya to update the status report on outstanding NTBs with Egypt on the online reporting system by 26th April 2024.
4. On 18 June 2024, Kenya Focal Point reported that the Kenyan parliament was reviewing the Finance Bill 2024, with the intention of revising certain clauses as deemed necessary. Consequently, they were awaiting the enactment of the Finance Bill 2024 to determine whether there will be amendments to the specified non-tariff barriers (NTBs).
5. On 9 September 2024, Egypt and Kenya held a bilateral meeting on the outstanding NTBs emanating from the enactment of Kenya’s Finance Acts of 2021 and 2023. The two Member States agreed on the following:
a) The additional taxes are NTBs as its application is discriminatory as they only apply on imports and not domestically produced products.
b) Kenya to continue with her internal consultations with relevant policymakers and to follow up on the progress of resolving the NTBs, as requested by the Egyptian delegation.
c) The meeting agreed that the NTBs are policy issues and can be best addressed by the Joint Trade Commission (JTC) meeting, which is a higher level that is able to take decisions on this NTB and other trade related issues.
d) Both Kenya and Egypt continue with internal consultations with relevant stakeholders in preparation for the upcoming JTC meeting. 		 
Products: 3903.20: Styrene-acrylonitrile copolymers "SAN", in primary forms, 3905.19: Poly"vinyl acetate", in primary forms (excl. in aqueous dispersion), 3905.91: Copolymers of vinyl, in primary forms (excl. vinyl chloride-vinyl acetate copolymers and other vinyl chloride copolymers, and vinyl acetate copolymers), 3906.90: Acrylic polymers, in primary forms (excl. poly"methyl methacrylate"), 3907.50: Alkyd resins, in primary forms and 3907.91: Unsaturated polyallyl esters and other polyesters, in primary forms (excl. polycarbonates, alkyd resins, poly"ethylene terephthalate" and poly"lactic acid")  
NTB-001-128 2.4. Import licensing 2023-06-23 Zimbabwe: Johannesburg/Pretoria South Africa In process View
Complaint: Reference is made to a resolved complaint with number NTB-000-966, which pertained to a problem with import licensing requirements into Zimbabwe.

The complainant was a Zambian exporter of yeast that was experiencing challenges in obtaining import permits from the Authorities in Zimbabwe, which permits were not issued when requested. This complaint is similar to the problem experienced by Rymco (Pty) Ltd, trading as Anchor Yeast, being hindered in exporting yeast from South Africa to Zimbabwe.

The date of resolution is indicated as 06 April 2023. A status note pertaining to the complaint reads as follows: “During the COMESA Regional Capacity Building Workshop for NMCs and National Focal Points held from 3 to 6 April 2023, Zimbabwe Focal Points reported that import permits were no longer required as the products have been placed on open general import license. This NTB was therefore resolved.”

South Africa requests confirmation on whether the lifting of the import licensing requirement on yeast also applies to SADC countries, specifically South Africa. 		 
NTB-001-127 8.8. Issues related to transit 2023-07-25 Mozambique: Beira Route Malawi In process View
Complaint: Professional Drivers Union in Malawi are concerned with reduced transit limit time to 21hrs by Mozambique - Initially the transit time was 72hrs. This change brings about healthy and safety concern to drivers. Drivers are concerned on road conditions, mechanical faults and time to rest on the road which makes it difficult to meet this newly set time limit. They opt for the 72hrs as it were because this time limit gave an allowance to delays encountered in transit and it was good for safe driving.  
NTB-001-125 2.8. Lengthy and costly customs clearance procedures 2023-06-01 Democratic Republic of the Congo: Malawi In process View
Complaint: Cross Border truck drivers from Malawi, Zambia and other COMESA Member States face cumbersome procedures of clearing goods and other transit issues at the relevant border post in the Democratic Republic of Congo (DRC). In particular the following is reported:
1. Scanner at Mutaka- Cumbersome payment procedures for the scanner ($100) and forced parking ($30) which has led to congestion for the drivers as well as serious security concerns.
2. Unnecessary stoppages along Kasumbalesa-Kolwezi Corridor causing massive delays.
3. Delayed document processing by Mining houses.
4. Unfair treatment of drivers in an event of accidents, sickness and death. 		 
Progress: 1. On 19th June 2023, the Focal Point for DRC advised that the matter will be submitted to the competent authorities in order to find an appropriate solution.
2. COMESA Secretariat facilitated a trilateral meeting held on 21 August between DRC, Malawi and Zambia during which DRC informed the meeting that the scanner and parking fees would be reviewed with the aim to get them scrapped off. DRC would also look into the lengthy and costly processing of documentation by mining houses with a view to improve the processes .
4. Following this meeting the Secretariat wrote to DRC requesting progress on feedback regarding implementation of the agreed actions to resolve the issues raised .
3. During the 3rd meeting of the COMESA NTBs forum held on 20- 22 September 2023 , Malawi reported that stakeholders were still experiencing the challenges but conformed that DRC had scrapped the scanner fees however , the scrapping of fees for scanner charges could only be considered resolved upon receipt of documentary evidence (Letter from DRC).
4. d) During the NTBs workshop 17th - 19th April 2024, DRC Focal Point confirmed that the scanner and parking charges have been lifted. However, Malawi NFP reported that their truck drivers are still paying for these services and the NTBs has not been resolved. 		 
NTB-001-124 2.3. Issues related to the rules of origin 2023-05-01 Tanzania: Namanga Kenya In process View
Complaint: URT denial of preferential Treatment to Motorcycle Accessories exported to TZ by Silverline Accessories LTD in Kenya. URT is charging full CET despite the exported spares having the EAC Certificate of origin confirming that the spares have been manufactured in Kenya and qualify for the EAC preferential treatment. In addition, URT have declined to respond to interventions by the Kenya Revenue Authority and the EAC Secretariat.

We request URT to grant preferential treatment to Motorcycle Accessories exported by Silverline LTD in Kenya and incase URT have any doubts on the origin they should facilitate delivery of the goods and follow the ROO/protocal/EACCMA procedures to verify & ascertain their concerns. 		 
Progress: 1.he Sectoral Committee on Trade noted that the rules of origin 2015 provide for execution of a Customs Security pending verification and confirmation of origin. The meeting therefore agreed that the United Republic of Tanzania will grant preferential tariff Treatment to Motorcycle Accessories exported to TZ by Kenya pending joint verification exercise by both Partner States.The meeting was informed that the verification was not conducted as planned in November 2023 meanwhile the Republic of Kenya is being granted preferential market access upon execution of a customs bond by the United Republic of Tanzania while verification is awaited.
2. The Republic of Kenya submitted two entries; one from 2023 where motorcycle mirror covers were granted preferential treatment and the one for 2024 where the same item was not granted preferential treatment.
The two Partner States agreed to meet bilaterally before the end of this SCTIFI meeting to deliberate on the evidence submitted.
3. The meeting reminded Partner States that all complaints related to Rules of Origin should first be considered by the RoO experts before capturing them as NTBs in EAC Time Bound Programme. Partner States NMC coordinators should also communicate frequently to resolve any issues related to NTBs timely.
The 43rd Sectoral Council on Trade Industry Finance and Investment directed the Republic of Kenya and the United Republic of Tanzania to undertake a joint verification on motorcycle accessories transferred from Kenya to Tanzania by 30th June, 2024 and report to the 45th SCTIFI (EAC / SCTIFI / 43 / 2024 / Directive 40 )
4.A verification took place from 18th to 22nd March 2024 and the Report of the verification was considered by the Committee on Customs meeting of 25th April 2024 and made the following recommendations: (a) urge Partner States to continue facilitating transfers and the clearance of originating goods. (b) that headlamps produced by Silverline Accessories Limited qualify for preferential tariff treatment under Rule 4(1) (b) of the EAC Rules of Origin, 2015. (c) that tail lamps produced by Silverline Accessories Limited qualify for preferential tariff treatment under Rule 4(1) (b) of the EAC Rules of Origin, 2015. (d) that indicators produced by Silverline Accessories Limited qualify for preferential tariff treatment under Rule 4(1) (b) of the EAC Rules of Origin, 2015. (e) direct the team of experts from all Partner States to undertake a verification mission to ascertain the originating status of the side mirrors for the motorcycles manufactured in Kenya 		 
NTB-001-120 7.5. Lengthy procedures 2023-06-12 Democratic Republic of the Congo: Zambia In process View
Complaint: SADC Truck drivers at all Borders with DRC are experiencing cumbersome payment procedures for the scanner costing $100 and forced parking costing $30 which has led to congestion (long queues) subjecting drivers to as; no sanitation, delayment on average by 8 days and serious security concerns; and Delayed document processing by mining houses i.e. It takes an average of 14 - 30 days to be cleared after loading.  
Progress: 1. On 19th June 2023, the Focal Point for DRC advised that the matter will be submitted to the competent authorities in order to find an appropriate solution.
2. COMESA Secretariat facilitated a trilateral meeting held on 21 August between DRC, Malawi and Zambia during which DRC informed the meeting that the scanner and parking fees would be reviewed with the aim to get them scrapped off. DRC would also look into the lengthy and costly processing of documentation by mining houses with a view to improve the processes .
4. Following this meeting the Secretariat wrote to DRC requesting progress on feedback regarding implementation of the agreed actions to resolve the issues raised .
3. During the 3rd meeting of the COMESA NTBs forum held on 20- 22 September 2023 , Zambia reported that DRC had scrapped the scanner fees however , the scrapping of fees for scanner charges could only be considered resolved upon receipt of documentary evidence (Letter from DRC). Zambia reported that they were waiting for official communication from DRC confirming suspension of scanner charges . 		 
NTB-001-118 8.7. Costly Road user charges /fees 2023-05-16 Democratic Republic of the Congo: Mitaka, Lualaba province Democratic republic of Congo Namibia In process View
Complaint: DRC authorities in Mutaka, Lualaba province are charging 100 United states dollars for scanning each commercial truck loaded with cargo.

Cumbersome barriers, lengthy procedures have caused unprecedented congestion of hundreds of trucks in Mutaka area.

Truck drivers no sanitation, no wellness facilities, power security. One truck driver died in his truck on the due to Kasumbalesa border. 		 
Progress: 1. On 22 May 2023, DRC Focal Point reported that the complaint had just been submitted to the competent service (Ministry of Foreign Trade) and that investigations would be undertaken as soon as possible for resolution.  
NTB-001-110 1.7. Discriminatory or flawed government procurement policies
Policy/Regulatory 		2022-07-01 Kenya In process View
Complaint: United Republic of Tanzania subject a discriminatory treatment to Kenyan export/transfer on products of animal and animal products despite their commitment in the bilateral meeting to amend the Act to resolve the discriminatory charges on the Kenya animal and animal products by June 2022.

Tanzania charges descriminatory meat products an import fees of Tshs 3,000 per kilogram (Kg) for imports consignment. The fees is contained in the animal diseases (animals and animal products movement control) .(amendment) regulations, 2022 of the United Republic of Tanzania that came into operation on 1st July 2022. These charges have rendered Kenyan exports especially milk and milk products, meat and meat products including sausages uncompetitive in the Tanzanian market while Kenya facilitates Tanzania meat and meat products sausages into Kenya without any discrimination.

These charges contravene the GATT 1994 Art III on National Treatment, Articles 1 and 75 (6) of the Treaty as well as Articles 1 (1) (definition of imports) and 15 (1) (a) and (2) (National Treatment) of the Customs Union Protocol and Article 6 (1) of the Common Market Protocol of the Community Laws.

The charges are also in violation of Article 10 of the Custom Union Protocol that obligates Partner States to remove all internal tariffs and other charges of equivalent effect.

Kenya urges:-
a)Tanzania to abolish these prohibitive discriminatory charges and treat our animal and animal products as from the local market and accord same rate as their own without discriminating not to call it import as import is from outside EAC.
b) URT to abolish the discriminatory charges as per the customs union protocol.
d) URT to treat Kenya meat and meat products as local and not as an import.
C)URT to stop restricting the quantities to be imported/transfered by the Kenya companies.

In addition URT charges xthe following discriminative charges:
1) URT charges import fee of 2% FOB by Tanzania Meat Board
2) 0.4% on FOB by Tanzania Atomic Energy
3) 0.2% FOB by Weight and Measure Agency

Kenya request URT to consider abolishing the discriminatory charges which are equivalent import duty prohibited in the EAC Protocal.

On the contrary Kenya facilitates Tanzania sausages without any charge.

This is really unfair practices where URT is charging import charges to Kenya products despite Kenya being in the EAC Customs union where we transfer products and not import 		 
Progress: 1. Kenya recognized the effort made by URT in reducing the fee from 5,000 Tshs to 3,000 Tshs per kg of meat. The Republic of Kenya indicated that the fee is still very high, discriminative, and amounts to import duty. The Kenyan companies exporting meat products to URT have been negatively affected by a sharp decline in the volume of meat products exported to URT, since the imposition of these charges. A consignment of 25,000 kgs exported from Kenya to URT is charged Kshs 3,750,000. In addition, it is charged an import fee of 2% FOB by the Tanzania Meat Board, 0.4% FOB by the Tanzania Atomic Energy Commission, and 0.2% FOB by Weight and Measures Agency. A similar consignment exported to Kenya from URT is charged Kshs 3,000. Thus, Kenya proposes that the two Partner States engage and harmonize these regulations to either charge per kg or per consignment.
Tanzania Meat Board had also denied market access to beef products imported from Kenya and thus Kenya urges URT to address this matter.
2. The 34th RMC noted that the NTB was new. URT reported that they would consult the relevant stakeholders and revert during the 35th RMC
3.During the 36th RMC Kenya reported that the NTB was considered during a bilateral meeting between Republic of Kenya & the United Republic of Tanzania whereby the two Partner States agreed to harmonization of all conditions, levies, fees and charges related to import / exports for holistic consideration by 30th June 2024 		 
NTB-001-109 2.6. Additional taxes and other charges
Policy/Regulatory 		2023-04-04 Kenya: Namanga Tanzania In process View
Complaint: Discriminatory excise duty  
Progress: 1. On 9th march 2024, the EAC REC Focal Point advised: Kenya reported that it is still doing internal consultations on the application of the said excise duty and will revert during the 36th RMC
2.During the 36 RMC Kenya reported that the NTB was considered during a bilateral meeting between Republic of Kenya & the United Republic of Tanzania whereby the two Partner States agreed on harmonization of all conditions, levies, fees and charges related to import / exports for holistic consideration by 30th June 2024. 		 
NTB-001-108 3. Technical barriers to trade (TBT)
B9: TBT Measures n.e.s. 		2023-05-02 Kenya: Kenya Bureau of Standards South Africa In process View
Complaint: A South African Exporter has reported that the Kenyan authorities have issued notification on new requirements for exporters and importers to record all trademarks in aid to protect intellectual properties and prevent importation of counterfeit goods into Kenya under the Anti-Counterfeit Act, No. 13 of 2008. This requirement, while it is , has cost implications to the Wine industry of South Africa who have to incur additional costs to enforce it. Further, it is not clear how it will work in practice or how it will be managed especially that applications are done on line and that the registration has 1 year validity, after which it has to be renewed annually.The cost to record is estimated at USD25 000 for the Brands exported to Kenya. The exporters also have the same products analyzed by ISO 17025 labs and pay USD265 per container to confirm full compliance.

The Exporter is of the view that whenever products are to be exported, are certified by SGS as to who the proprietors of the products are. The annual required registration would result in increased cost of the products. 		 
NTB-001-106 6.5. Variable levies 2022-07-05 Zimbabwe: Zimbabwe Revenue Authority Zambia New View
Complaint: Zambia exports into Zimbabwe on beverages attracts additional duty of $ 0.05/Litre  
Progress: 1. During the NTBs workshop 17th - 19th April 2024, NFPs for the two countries agreed to hold a virtual bilateral meeting in April to discuss NTBs affecting both counties and this issue will form part of the Agenda.
2. On 17 April 2024, Malawi Focal Point reported that they were following up with the agencies involved in this issue to resolve the NTBs and gave assurance the this issue was being discussed at length and feedback on the outcomes of the consultations would be provided as soon as possible. 		 
NTB-001-105 7.8. Consular and Immigration Issues
Policy/Regulatory 		2023-03-01 Zambia: Ministry of Home Affairs Mozambique Complaint registered with REC View
Complaint: New Migration Fees Introduced by The Republic of Zambia
The Ministry of Industry and Commerce of Mozambique, has received a complaint/ notification from the Mozambican private sector regarding to the introduction of migration fees by the Zambian Government Authorities. The referred fees are applicable only to foreign citizens, promptly implementing the respective price list, since the beginning of June 2022.
From a practical point of view, and with regard to the resulting costs, for road freight transporters in particular, the introduction of these fees means that, for the fee valid for 1 year, the amount to be paid is approximately US$1250.For one way trip (immediate validity), the amount to be paid is approximately US$490.This fee apply only to foreign road freight transporters, including Mozambicans, and does not apply to locals.
Other measures which Zambia introduced and are adding to cost of doing business are (1). the introduction of a ban on filling fuel reserve tanks for foreign trucks, with a view to obliging them to purchase fuel in Zambian territory, (2). the introduction of road charges and, (3). the obligation to send 50% of the transported cargo to the Republic of Zambia.
We believe that the way which the Government of Republic of Zambia acts violates the Agreements signed by it in relation to the policies adopted by SADC, in the field of road transport, for which the Member States agreed to develop a harmonized transport policy that safeguards the principles of equal treatment, non-discrimination, reciprocity, fair competition, harmonized operating conditions that promote the creation of an integrated road transport system in the region.
In this regard, Mozambique requests the intervention of the Zambian Authorities, with a view to the immediate elimination of the Migration fees, introduced in this country, as well as other deterrents to carrying out the cargo transport activity in the Country, and applicable only to carriers foreigners or alternatively, and if the country is not available to do so, immediately use the principle of reciprocity, by applying the same measures to carriers in that country, if they are in transit or enter the national territory
  
NTB-001-103 2.13. Issues related to Pre-Shipment Inspections 2019-02-01 Botswana: Pioneer Gate South Africa New View
Complaint: Since 2019, goods exported from S. Africa to Botswana require additional certification from a Certified Accreditation Body ( see attached ) This is now over and above documentation from an ILAC accredited test house that has always been acceptable in the past.
This is an additional cost that must be passed on the consumers ( inflationary aspect )
Measures such as this are puzzling as they are not in the spirit of the African Continent Free Trade Agreement and actually restrict the free flow of goods
It is a questionable move as with Botswana being a member of SACU, the country relies on S. Africa to disburse shares of import duties collected at S. African ports 		 
NTB-001-102 2.6. Additional taxes and other charges 2022-12-22 Uganda In process View
Complaint: SOUTH SUDAN IS IMPOSING COSTLY CHARGES FOR SECURITY ON ENTRY.
The government of South Sudan through the National Revenue Authority imposes high charges on Ugandan transporters as payment for security for entering Southsudan
This is very unfair and increases the cost of doing business.
This fee isn't in the law and is very costly. 		 
Progress: 1. The NMC was informed that this was a charge by the Ministry of Interior as a security fee for all vehicles entering RSS even South Sudan Vehicles were charged. A Ministerial Order was issued to abolish the charge after which a letter from Commissioner General was also issued on the same. RSS to share the Ministerial Order and the Letter.
2. The 34th RMC noted that the fee is still collected as per the new evidence submitted during the meeting dated 8th May 2023.RSS should remove this fee
3.The 35th RMC noted that the fee is still collected as per the new evidence submitted during the meeting dated 8th May 2023.RSS should remove this fee.
4.The 36th RMC was informed that the charge amounts to 70 USD and is also affecting the Republic of Kenya. The RMC also noted that it is an obligation of the Government to offer security in the Country and it should not be at the expense of the traders. RSS should stop collecting this fee which is not in the RSS Laws and do not attach it to the process of the RTF on the fees, levies and charges. 		 
NTB-001-095 2.6. Additional taxes and other charges 2022-11-29 Zambia: Mwami Malawi In process View
Complaint: Exporters from Malawi are being charged for any transit goods at Mwami border by Chipata City Council in Zambia. The fees and charges for various commodities have been posted at Mwami border.  
Progress: 1. During the COMESA Regional Capacity Building workshop for National Focal Points held on 3-6 April 2023 it was agreed that Zambia should engage its Ministry of Local Government and provide an update in the online system by 16 April 2023.
2. Subsequently, during a bilateral meeting between the Government of the Republic of Malawi and the Government of the Republic of Zambia on the STR which was held in Chipata on 13-14 April 2023, it was agreed that Zambia should verify if indeed the Chipata Council had stopped collecting the fees and provide feedback to Malawi and COMESA Secretariat BY 30 April 2023.
3. During the 3rd meeting of the COMESA Regional NTBs Forum , it was agreed that :
i) Zambia will provide feedback on the outcome of their internal consultations in the online system by 30th October 2023; and
ii) Both agreed that this NTBs be resolved by 31st December 2023.
4. On 25th September 2023, Zambia Focal Point reported that the matter was escalated to higher structures with the aim of having it resolved. The would continue providing updates on new developments with respect to progress made on the matter.
5. During the capacity building workshop held on 17- 19 April 2024, Zambia Focal Point reported that the fees had been lifted through a directive issued by the Ministry of Local Government. However , Malawi Focal point advised that the Malawi traders were still being charged the fees. The workshop was informed that the counterpart Municipality in Malawi was planning to introduce a retaliatory fees for Zambian traders bringing goods into Malawi. Zambia Focal Point was requested to upload the relevant Statutory Instrument or Directive to assist with implementation at the border.
6. During the NTBs workshop 17th - 19th April 2024, Malawi NFP reported that their traders are still charged by the Chipata local government which has resulted in Malawi’s retaliation. Malawi is now also charging Zambian traders. Meanwhile, Zambia NFP agreed to make a follow-up on the issue and post a feedback on the system. 		 
NTB-001-094 3. Technical barriers to trade (TBT)
B1: Import authorization/licensing related to technical barriers to trade 		2022-12-12 Mozambique: South Africa New View
Complaint: We have been applying for a Vet Import Permit to export Nestle Allegra to Mozambique as it has been treated as a dairy product. Nestle Allegra is a non-dairy product and we would like it to be exempt from Vet import permit and treated as non-dairy.

There hasn't been any incident to date. and we cannot quantify the cost. Because the product is treated as a dairy product, it must go through process of vet import permit which delays trade of product. so the cost is indirectly/directly linked to the trade delays which impact working capital cycle. 		 
NTB-001-092 2.6. Additional taxes and other charges 2022-12-01 Uganda: Uganda Revenue Authority Egypt In process View
Complaint: Egypt has received a complaint from one of our exporters who also intends to invest in Uganda and establish a manufacturing plant of the products ( processed food products ) he is currently exporting to Uganda and the importing company is “ Afromarket King – Imports &Exports LTD” . The complaint is concerned with the imposition of high taxes and duties , in addition to top ups on exported goods by Egypt of processed food in specific the following HS codes including :
200990 210330
210320 210390
210390 210320
210690 210390

The incident of imposing high tax , duty values and top ups has been repeated on two separate occasions:

1- On Entry no. C116891: (latest incident )

A consignment of foodstuff (Ketchup and BBQ sauce HS codes : 2103200010; 2103900090) of a value of USD 5672.64 (five thousand six hundred seventy two dollars and sixty four cents ) was subjected to very high values of tax and duty of UGX 25,979,379 which was paid on 1/12/2022. However, before the goods were released a top up of UGX 18,508,223,57 was imposed ( still not paid ) .
This shipment has not enjoyed the COMESA preferential rates , despite the fact it is accompanied by a COMESA certificate .

2- ON ENTRY NUMBER C58313 AND C58340 : (earlier incident)
The first assessment for both the entries was for C 58313 amounting to 14,351,118 with a delivery terms F.O.B and C 58340 amounting to 9,272,169shs with a delivery term CIF , that is a total of 23,623,287shs. Despite the amount was too much the importing company paid off the tax( paid on 18/6/2022, it was also noted to him that this high valuation was a mistake made by the clearing agent according to the officer. It is worth mentioning that the total value of goods in both entries was USD 3982 (three thousand and nine hundred eighty two US dollars).

After clearing all dues, a top up of 38,755,713shs was imposed, delaying the release of the goods. Yet, the importing company paid the top up amount to release the goods on 2/7/2022.
The reasons given at the time for the top up:
i. Alternative values had to be used as the primary method of determining the customs value of imported goods.
ii. As stated by the officer, “the information availed to customs shows that we are first-time importer of the assorted goods from Egypt. The sales contract No: UG-001 of 10/03/2022 indicates payment terms of 60days from Bill of Lading date. They wondered how the supplier can allow such terms to a first time buyer without a letter of credit or a bank guarantee”. It is worth mentioning that the importing company has a manufacturing all these food stuff in Egypt.

Furthermore, despite the fact that the importer submitted a COMESA certificate to qualify for the COMESA rates he was informed that goods don’t qualify for COMESA since they are sensitive products being manufactured by the local communities.
Having reviewed the Circulation of Uganda’s current Sensitive List to COMESA Member STATES(attached), it is evident that none of those products are in the sensitive list except for nectar juices (HS code 200990) which are subject to the EAC common external tariff of 35%.

It is worth mentioning that on the two occasions of the above mentioned cases “ Afromarket King – Imports &Exports LTD” made an Appeal to the Assistant Commissioner Trade , Uganda Revenue Authority , Head Office. Yet, no reply was received to date.
In light of the above , Egypt respectfully requests that the Ministry of Trade ,Industry &Cooperatives acting as the Focal point of Uganda looks into the reasons of imposing such high taxes and duties in addition to top ups , in coordination with Uganda Revenue Authority . The imposition of such high taxes , duties and top ups have the effect of discouraging new Egyptian exporters and investors from accessing Uganda’s market.
Egypt is looking forward to the explanation and clarifications of the Ministry of Trade, Industry & Cooperatives , as soon as possible, with respect to the taxes , duties and top ups noting that the first case consignment Entry no. C116891 (latest incident ) is not released yet and pending the payment of the top-up which is unjustifiable in Egypt's view .

 
Progress: 1. During the consultations held during the 12th TWG on TBT-SPS- NTBs , Uganda and Egypt Focal Points agreed to organise a bilateral consultative meeting between the Focal Points , Revenue Authorities and affected companies on Tuesday 24th Januray 2023
2. A bilateral meeting between the two countries was held on 1st Feb. 2023 where it was observed that Uganda Revenue Revenue Authority had not granted preferential treatment to the goods in accordance with COMESA rules
and therefore charged the high duties . In that regard, the meeting agreed, among other things, that Uganda provides the sensitive list of products exempted from receiving preferential treatment by 3rd Feb. 2023 to establish if the affected products were on the sensitive list of products or not. Subsequently, the Secretariat uploaded onto the online system the following documents forwarded by Uganda to the Secretary General:
a. EAC CET 2017
b. Finance Act 2014 and
c. Uganda Finance Bill 2016
3. The Secretariat convened a stakeholders bilateral consultative meeting to take place on 22 August 2023. However the meeting could not take place because stakeholders from Uganda were not available.
4. During the 3rd meeting of the COMESA Regional NTBs Forum held on 20- 22 September 2023 , it was agreed that this NTB will be considered resolved subject to Uganda providing evidence in the online platform of the following : .
i. The sensitive list has been revised and goods from Egypt are granted COMESA preferencies ;
ii. URA is applying valuation for the goods in according to the WTO rules;
iii. The process to refund duties and other charges has commenced and the client was officially notified accordingly; and
iv. Uganda to share the revised sensitive list and also evidence on communication to client.
5. During the NTBs workshop 17th - 19th April 2024 in Nairobi, it was agreed that Uganda to upload sensitive list of products by 30th April 2024. Further, Uganda is requested to inform Egypt whether or not the refund to the Egyptian exporter has been paid by 30th April 2024. 		 
NTB-001-090 8.8. Issues related to transit 2022-10-19 Zambia: Katima Mulilo Namibia New View
Complaint: Issuance of exorbitant transit permit fees by the Zambian Government went up from K3700 to K11200 and is only imposed at the Katima Mulilo Border post and not at any other borders around Zambia. The Permit was supposed to only apply to those entering Zambia for the purpose of doing business and not those in transit such as drivers transporting the goods through/via Zambia. the permit is therefore deemed to be discriminatory (no other SADC/COMESA countries are imposing a similar measure)and, the permit hinders the movement of goods as truck drivers are delayed in trying to source money to fund the permit.  
NTB-001-080 2.2. Arbitrary customs classification 2022-09-07 Zimbabwe: Chirundu Zimbabwe In process View
Complaint: Simplified Trade Regime system no longer viable most traders preferring to use trucks instead of declaring using STR system, when declarations are done values are being lifted despite invoices produced , revaluation is done by the Supervisors making it difficult and most challenging for traders to use the system , and this is causing traders to use clearing agents .only a few with small quantities using STR with buses, traders are now preferring to use Commercial clearance instead of STR, giving a negative impact to why STR was put in place, there is need for orientation to Officer coming from Inland to the borders so that they understand how STR system operates.

Prior to covid pandemic traders used to use some small trucks with consolidated goods and declarations would be made as to the individual trader's quantities in a truck at the point of exit. During covid pandemic Customs gave a ruling that all goods to be cleared through the agents to reduce human interface, after the pandemic and all the lockdowns and restrictions CUSTOMS no longer want traders to consolidation system in transportation of goods saying its now a broken consignment. this arbitrary declaration is a trade restriction and a barrier TO TRADE 		 
Progress: 1. The NTB Unit brought this NTB to the attention of the Zimbabwe Focal Point to undertake internal consultations. A response is still being awaited.
2. During the 3rd meeting of the COMESA NTBs Forum held on 20- 22 September 2023 , Zimbabwe reported that the STR regime is fully functional at the Chirundu border post. The meeting requested Zimbabwe to provide feedback on the overvaluation of the goods under STR regime.
3. During the NTBs workshop 17th - 19th April 2024, NFPs for the two countries agreed to hold a virtual bilateral meeting in April to discuss NTBs affecting both counties and this issue will form part of the Agenda as it affects Zambia’s trade. 		 
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