Complaint

Complaint number
NTB-000-974  
NTB Type
7.2. Discrimination  
Complaint
Kenya recently enacted the Business Law (Amendment) Act, 2020 which amended the Excise Duty Act, 2015 (the Excise Duty Act) by imposing excise duty on imported glass bottles (excluding glass bottles for packaging pharmaceutical products) at a rate of 25%, with effect from 18 March 2020. This amendment will result in an increase in the cost of imported glass bottles as compared to glass bottles which are locally manufactured in Kenya.  
Progress update note
1.During the RMC meeting held on 1 September 2020, the Republic of Kenya informed the meeting that they will consult and report back.Tanzania informed the meeting that this NTB was reported in the system and Tanzania request interim measures. Tanzania traders should be allowed to transfer KIOO to Kenya pending the finalisation of Consultations
2.During the Sectoral Committee on Trade, Kenya reported that the company has sued the Government of Kenya and there is a pending Court (EACJ) case on the NTB reported by KIOO Tanzania and urged that this NTB should not be deliberated on but rather wait for court judgment.The Sectoral Committee on Trade noted that the matter is in Court and the United Republic of Tanzania and the Republic of Kenya will be officially notified on the same.
3.The United Republic of Tanzania informed the SCTIFI meeting held in September 2020, that the Republic of Kenya has contravened the EAC CMP and the EAC CUP and hence increased the cost of doing business. The NTB should be dealt with separately from the Court Case and the Republic of Kenya should respond to the letters and also implement the SCTIFI Directive.
During the SCTIFI the Republic of Kenya informed that the issue is in Court and Kenya will respond once the Court Case has been concluded.  
Policy or regulatory NTB
Yes 
Location
Kenya: (Government institution)  
Reporting Country or Region
Tanzania  
Country specific trade issue
No  
Date of incident
2020-05-02  
Status
In process  
Product Description
 
Total value
TZS50.00  
Date reported
2020-08-04 18:12  
Modified
2020-09-02 08:35