Imported maize being loaded into trucks at Mombasa port. PHOTO FILE | NATION
Kenya’s efforts to import 100,000 tonnes of maize from Zambia
through Tanzania were boosted midweek when Lusaka moved to negotiate
with Tanzanian authorities to allow passage of the grain through its
territory, with a special lane to facilitate faster clearance and
transportation.
This followed a trade dispute between Dar and Nairobi, which resulted in select ban on exports of several products.
Zambia’s
Agriculture Minister Dora Siliya visited Nairobi last week and promised
to create a special lane to facilitate faster clearance and
transportation of maize and sugar to Kenya to help it address a shortage
of the two commodities.
“We have already shared this
intention with Tanzania to ease transportation of maize and sugar to
Kenya by rail. We have also removed the 10 per cent export tax and
lifted a ban on maize exports,” Ms Siliya said.
Last
week, Nairobi indicated that it was talking with Dar es Salaam to open
its border so that maize from Zambia could pass through and ease the
current shortage, days after Dar had banned the grains exports to
protect its limited stocks.
“The
current trade differences that has seen several goods banned from
trading across borders by both countries has now complicated these
negotiations. It is our hope that they will consider our request to
allow for the maize we are trying to import from Zambia,” a senior
Kenyan government official told The EastAfrican.
The EastAfrican
understands that the choice of trains through the Tanzania-Zambia
Railway (Tazara) line was settled on to ensure quick movement and also
reduce the administrative nightmare of smaller consignments.
“We
expect that the consignments will come through the railway network to
Dar es Salaam, then by ship to Mombasa to ease the shortage.
This
mode of transportation has been chosen as it allows for the movement of
larger consignments and easy monitoring in order to adhere to the
condition of the special clearance pass we expect to receive from
Tanzania,” the source said.
Delivery of commodities
Zambia
has already said it has tasked its transport Minister, Brian Mushimba,
to discuss with his Tanzanian counterpart, Prof Makame Mbarawa, the
possibility of using the railway to deliver the commodities to Nairobi.
Lusaka has also committed to cutting time spent in the issuing of permits to 24 hours, down from seven days.
“We
want to ensure that time taken processing the permits for maize, sugar
and wheat reduced. We don’t want to stand in the way of traders who want
to trade with each other. However, we are advising them to use the
Tazara rail network instead of the road, for safety and efficiency.
"This is also meant to ease the movement of these products,” Ms Siliya said.
The
two countries also agreed to reduce the trade turnaround time of the
imported grain, which was identified as the major cause of delay.
This
reduction will be done through having the Kenya Bureau of Standards and
Kenya Plant Health Inspectorate Service carrying out destination
inspection on maize imports from Zambia.
“This will be
on condition that the exporters ensure that the maize meets the
relevant Kenya Standards including moisture content and aflatoxin levels
at a 10ppb,” Kenya’s Agriculture minister Willy Bett said.
Zambia introduced a 10 per cent tax and ban on maize exports in September last year in a bid to enhance food security.
Due
to the drought, countries like the Democratic Republic of Congo,
Zimbabwe and Malawi, all trooped to Zambia to seek help triggering the
temporary ban.
The region has endured a rotating drought situation that hugely affected crop production.
“We
experienced a big drought in Zambia last year, and since we were not
sure of our production, we imposed a ban to secure our own food
reserves,” Ms. Siliya said, adding that they are currently enjoying a
surplus harvest from the two crops allowing them to sell the extra
produce.
The country has also seen its cost of maize
per ton significantly drop from $400 last year to $135 in 2017 which
will enable traders to acquire it a cheaper price.
On
Thursday, a report by the Kenya Sugar Directorate showed that in the
period January to April 2017, production of the commodity dropped to
172,722 tonnes compared to 238,872 tonnes achieved in the same period
last year.
Zambia produces up to 200, 000 tons of
sugar every year and now ready to release to Kenyan traders 40, 000
tons, which is surplus.
The two governments also agreed
to address emerging issues affecting transshipment through other
jurisdictions. Further, Kenya committed to engage the Shipping Council
of East Africa (SCEA) to facilitate trade between the two countries.
During
an earlier meeting which was also attended by ministers of Finance from
the two countries; Henry Rotich and Felix Mutati of Kenya and Zambia
respectively, the issues on milk and palm oil exports from Kenya to
Zambia was said to have remained unresolved for a long time.
“It
was noted that a verification mission to Zambia that had been scheduled
for last April (2017) did not take place. But both sides have agreed to
engage their relevant ministries (Trade) to resolve the outstanding
issues on the two products without any further delays,” Mr. Bett said.
Related:
No comments :
Post a Comment