URGENT ACTION NEEDED: Ugandan manufacturers are being crowded out of EAC market by non-tariff barriers (NTBs). From closed border with Rwanda to outright flouting of EAC CM protocol by Kenya & TZ, our manufacturers’ access to EAC market has shrunk. Thread... #SaveUGManufacturers
Kenya and TZ are blocking Ugandan exporters from accessing their markets, yet we’re in a common market. The EAC CM had started to smooth trade. When Uganda reported a trade surplus with Kenya, for the first time in 2017, Kenya resorted to NTBs. See table #SaveUGManufacturers
The figures above (in million US$) show Kenya is playing dirty lately to stop Uganda from exporting to her market. The trade balance between the two countries, that was improving, was reversed last year using NTBs (e.g. origin, standards, permits etc.). #SaveUGManufacturers
As a result, the trade balance between the two countries that had turned positive in 2017 and 2018, has now deteriorated beyond the deficit registered in 2013! Kenya’s exports to Uganda continue to rise as ours shrink. This is unacceptable. #SaveUGManufacturers
For Tanzania, the history of her use of anti-trade habits is well known. Tanzanians do not want to trade with us. They want to export to Uganda (and EAC) but don’t want to import from us. See how our trade deficit with them has grown! That’s bad mercantilism. #SaveUGManufacturers
@GovUganda has played diplomacy for far too long. @newsUMA members are beginning to get impatient. Some (like Roofings) have started to relocate their factories to Kenya. Why? Kenya can freely access Ugandan market but Ugandans can’t freely export to Kenya. #SaveUGManufacturers
Apart from that, the continued closure of Uganda/Rwanda border is badly hurting Ugandan exporters. The table below shows trade balance Uganda and 3 other neighbours. See how our BoT has dropped from US$ 209m in 2013 to US$26m last year. #SaveUGManufacturers
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In addition to measures announced earlier, the following have been announced by President: 1. Shops selling general merchandise allowed to open provided they’re not in arcades/malls. 2. Market vendors allowed to commute from home. 1/2
3. Public transport allowed - carry half of the normal capacity wef 2nd June (when masks will be availed free of charge). Not allowed in border districts for another 21 days. 4. Boda-bodas not allowed to carry passengers. Only deliveries. 2/3
5. Bars, night clubs, salons, gyms, saunas, not allowed to open for 21 days 6. Education open for finalists (candidate classes) wef 2nd June. The rest should wait. 7. Curfew remains for another 21 days wef 21st May. 3/
I can see Western “experts” are struggling to come to terms/explain why #Africans, with our poorly equipped health systems, are not dying (at least as much as Americans & Europeans) from #Covid_19. Many think we are actually dying but underreporting. Let me hazard a few guesses.
I promised a blog on this. I will, but let me first tweet a few ideas. I think structural factors (demographics, weather, population densities and settlement pattern, levels of urbanization etc) could’ve helped Africa to limit the spread of #COVID19, at least for now. 1/
Africa’s much younger populations (median age is 20, with countries such as Uganda 15 and Niger 14) means we’re less likely to notice the virus even if it struck at community level (which it hasn’t). It hasn’t because our mobility levels are low and the virus arrived late. 2/
Africa’s obsession right now is creating jobs for young people that keep pouring into the labour markets. But the real time bomb is in a statistic leaders and policymakers seem less interested in. Few kids of the poor are transitioning to secondary school. 1/
With exception of Ghana, Ethiopia, Senegal, DRC and a few other countries most kids of the poor in Africa, are dropping out of school. In Uganda only 3 out of 10 kids of the poor transition from primary to secondary. 8 of 10 kids of the “rich” transition. 2/
We can’t afford to perpetuate inequality in the only opportunity equalizer - education. However much governments in Africa try to create jobs or give livelihood funds to youth and women, they won’t transform if they don’t ensure all Their citizens get educated. 3/