Businesses seek capping of common external tariff by EAC

180

Flags of East African Community member states

Businesses are rooting for capping of the common external tariff at 32.5 percent by East African Community member states.

KBC Radio_KICD Timetable

East African Business Council’s CEO Peter Mathuki says the new tariff would be presented during the forthcoming EAC member states summit slated for later this month for ratification.

The meeting is also expected to deliberate on admission of the Democratic Republic of Congo and Ethiopia, who have expressed interest to join the trading bloc.

Also Read  Food markets in Narok County reopened after two week closure

The common external tariff has been a grey area in the East African community trading bloc with Kenya pushing for the tariff to be capped at 35% percent to protect the local manufacturing sector from cheap imports.

Get breaking news on your Mobile as-it-happens. SMS ‘NEWS’ to 20153

However, businesses from EAC member states say they have brokered a deal to cap common external tariff at 32.5% with the proposal expected to be presented during the forthcoming EAC summit in Arusha slated for later this month in efforts to harmonize the tax regime in the trading bloc.

Also Read  President Kenyatta encourages farmers to continue production

The council has called on the member states to expedite in establishing a single regional air space and one network area to further lower the cost of doing business in the region.

Also Read  Safaricom customers to use bonga points to pay for essential goods

The proposal by the Democratic Republic of Congo and Ethiopia to join the East African Community trading bloc is at an advanced stage.

The forthcoming summit is also expected to handle trade issues between member states.

KBC-You-tube-728x90-New-2

Tell Us What You Think