Non-tariff barriers in EAC customs union: implications for trade between Uganda and other EAC countries Report as inadecuate

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A key objective for the adoption of East African Community (EAC) Customs Union was to enhanceeconomic gains through elimination of tariffs and non-tariff barriers (NTBs) within the member states.This study has established that several NTBs continue to exist, and some have persisted. The NTBs thathave persisted for more than three years include a long list of customs documentation requirements,cumbersome formalities, and limited testing and certification arrangements. Other NTBs that still existinclude: un-standardized weighbridges; several road blocks; lack of recognition of individual country’sstandards; and the existence of several un-harmonised standards.The simulation results of spatial equilibrium model of maize trade with and without NTBs show that atthe EAC level there are positive production, trade and welfare implications attributable to elimination ofNTBs in intra-regional maize trade. The gains are greatest in trade and production in Uganda comparedto Kenya and Tanzania. To eliminate the existing NTBs and to reduce the possibility of new ones beingcreated, first and foremost, the EAC countries need to design effective mechanisms for identifying andverifying information about NTBs and ensuring their elimination. This will require giving the EACSecretariat the mandate to compel individual countries to eliminate any identified NTB and to ensurethat no new ones are created. Second, policy and legislative decisions made by, for example, Council ofMinisters should be communicated in time for effective implementation


Keywords: Non-tariff barriers ; East African Community ; EPRC ; Uganda

Subject(s): Agribusiness

Agricultural Finance

Community/Rural/Urban Development

Consumer/Household Economics

Financial Economics

Industrial Organization

Labor and Human Capital

Productivity Analysis

Public Economics

Issue Date: 2010-12

Publication Type: Report

PURL Identifier:

Total Pages: 54

Series Statement: Research Series


Record appears in: Economic Policy Research Centre (EPRC) > Research Series

Author: Okumu, Luke ; Nyankori, James Cyprian Okuk


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