Uganda Signs 8 Trade Agreement with Kenya a Day after Tanzania's Restrictions

Uganda’s President Yoweri Museveni visited Kenya on Wednesday, a day after Tanzania announced fresh import restrictions on goods from fellow East African Community (EAC) member states, in a move seen as straining regional trade ties.

The directive, which tightens controls on foreign participation in local business, has drawn criticism from regional partners who view it as a breach of the EAC Common Market Protocol, which guarantees the free movement of goods, services, capital and labour among member states.

Museveni’s one-day visit to Nairobi included bilateral talks with Kenyan President William Ruto and the signing of eight new memoranda of understanding (MoUs) aimed at deepening cooperation in trade, infrastructure, and development.

The deals bring the total number of bilateral agreements between Uganda and Kenya to 25.

Among the key agreements is a joint commitment to extend the Standard Gauge Railway (SGR) from Naivasha to the Malaba border and onward to Uganda, along with plans to dual the Nairobi–Nakuru–Mau Summit highway and extend it to Malaba.

Other MoUs focus on harmonising standards, agriculture, fisheries, tourism, mining, urban development, and investment promotion.

Tanzania has previously drawn criticism from EAC partners for imposing non-tariff barriers, including discriminatory taxes on Kenyan goods.

Past measures included excise duties on Kenyan-made confectionery, milk and eggs, and restrictions on farm produce, which trade officials said breached the bloc’s customs union protocols.

In a joint communiqué, Museveni and Ruto directed their respective ministers to fast-track the removal of trade barriers between the two countries and within the EAC. They also pledged to work together on regional infrastructure and to promote investment.

The visit highlights Uganda and Kenya’s continued push for deeper regional integration, even as some EAC members adopt protectionist policies.

gandae@businessdayafrica.org