ECONOMY

Kenya Lets in Ugandan Eggs, Chicken to Avert Trade Wár

Share
A poultry farmer. Kenya has had a ban on entry of Uganda poultry products since February 2021. [Photo/ Courtesy]
A poultry farmer. Kenya has had a ban on entry of Uganda poultry products since February 2021. [Photo/ Courtesy]
Share

Kenya has agreed to lift a ban on Ugandan poultry products including eggs and chicken in a bid to avert a looming trade wàr with Uganda. The ban has been in place since February 2021.

It was introduced ostensibly to protect Kenyan farmers feeling the shocks of the Covid-19 pándemic. After a December 2021 cabinet meeting, however, Uganda announced its intention to list Kenyan agricultural products to be barred from entering their country.

The move was a retaliatory measure to counter what Uganda considers harmful and restrictive trade practices. Besides poultry, Kenya’s ban on Ugandan milk products such as the Lato Milk brand forms the bone of contention.

“We have been too patient. In the past, we have not reciprocated, but now we are going to. This has gone on for too long and within a short time they too will understand what we are going through,” Uganda’s EAC Minister Rebecca Kadaga told journalists on December 13.

Agriculture Cabinet Secretary Peter Munya and his Ugandan counterpart Frank Tumwebaze as well as Kenya’s Trade Cabinet Secretary Betty Maina met on Tuesday, December 21 to discuss the situation and later issued a jòint statement.

READ>>5 Multi-Million Dollar Deals Jimnah Mbaru Led as Firm Expects MTN Uganda Payout

They agreed  “to immediately remove any administrative measures that have hitherto inhibited trade in poultry and poultry products,” pointing to the end of the ban on Ugandan poultry in Kenya.

Uganda, on the other hand, will not list banned Kenyan agricultural products as was expected.

Kenya demanded a fresh round of inspections of Uganda milk manufacturers to establish that the milk is sourced locally.

The two countries also pledged to work together to eliminate restrictive levies violat’ing the East African Community (EAC) Customs Union Protocol by July 2022. They had made the same promise earlier this year, in April 2021.

Kenya is Uganda’s biggest trade partner. In 2020, Kenya exported goods to Uganda worth Ksh76.1 billion, while Uganda exported to Kenya goods worth Ksh52.6 billion over the same period.

Among Kenya’s agricultural exports to Uganda are palm oil, sorghum, vegetables and legumes.

READ>>Carrefour Set To Take Over Shoprite Stores In Uganda

Written by
BUSINESS TODAY

editor [at] businesstoday.co.ke

Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *

PAST ARTICLES AND INSIGHTS

Related Articles
CBK Governor Dr Kamau Thugge
BUSINESSNEWS

 CBK Maintains Benchmark Lending Rate at 8.75%

CBK (Central Bank of Kenya), through its top think-tank, the Monetary Policy...

Kenya Power MD Joseph Siror
NEWS

Kenya Power Urges Caution While Onboarding Wind, Solar Energy Sources to the Grid

Kenya Power, state-owned electricity distributor, has urged for the need to have...

CMA Chief Executive Wycliffe Shamiah
BUSINESSSTOCKS

CMA Approves Listing of WSA Banking Index ETF

CMA (Capital Markets Authority) has approved the listing of the WSA Banking...

Kenya's private sector recovers from effects of Gulf War
BUSINESS

Kenya’s Private Sector Defies Effects of Middle East Crisis-July PMI Index Shows

Kenya's private sector bounced back to growth after four months of stagnation....