East Africa could feed itself if trade barriers are removed, says WB

June 18 (Xinhua) — The five member states of East African Community (EAC) block could be food sufficient if free trade is allowed to balance surplus and deficit countries, the World Bank said on Monday.

World Bank Country Director Johannes Zutt told journalists in Nairobi that all the EAC countries have restrictions on agricultural trade.

“If the trade barriers among the EAC member countries are removed, the region could feed itself and achieve food security,” Zutt said during the launch of the Kenya Economic Update of 2012 in Nairobi. “

While Kenya is facing a structural food deficit, neighboring Tanzania and Uganda have a surplus especially in the relation to the staple food, maize,” he said.

According to the World Bank, Kenya imposes more restrictions on its imports from other EAC nations including Uganda, Tanzania, Rwanda and Burundi, compared with imports from the rest of the world.

“By removing barriers, Uganda and Tanzania farmers will benefit from higher agricultural produce prices while Kenyan consumers will pay less for food imports,” Zutt added.

He said that current non tariff barriers range from non recognition of food standards to administrative delays in clearance of imports.

World Bank Africa Region Trade Practice leader Paul Brenton said Kenya has strict standards on the quality of maize imported.

“While ensuring public health safety is important, some of the rules effectively lock out small scale farmers in the region from selling to the Kenyan markets to the detriment of regional trade,” Brenton said.

He added that regional trade offers opportunity to diversify products as well as markets.

“Given that east Africa is the second fastest growing area in the world, it will provide a dependable market compared to traditional markets such as the Europe and North America which are facing economic challenges,” Brenton said.

“The growing levels of income in the region also provide demand for manufactured products which can be produced by member states,” the expert said.

The World Bank said Kenya’s economic growth would be at 5 percent in 2013, below its fast growing neighbors with Tanzania expected to grow at 6.7 percent, Uganda at 6.2 percent and Rwanda at 7.6 percent.