EAC targets 50pc intra-regional trade by 2030

DAR ES SALAAM: THE East African Community (EAC) has set a target to raise intra-regional trade to 50 per cent by 2030, calling for stronger government and private sector cooperation to remove barriers and create a competitive regional market.

Speaking at the East Africa Business Council (EABC) CEOs–Trade and Investment Roundtable in Dar es Salaam on Wednesday, EAC Secretary General, Ambassador Stephen Mbundi said the target should guide policies, partnerships and reforms across the region.

“Our priority as the EAC Secretariat is to implement the vision and commitment of increasing intra-EAC trade. This must become the benchmark against which every policy, partnership and reform is measured,” he said.

Amb Mbundi said intraEAC trade remains below its potential despite regional integration progress, reaching 19.7 billion US dollars in 2025 compared with 137 billion US dollars traded with markets outside the bloc.

He said the EAC Secretariat would prioritise measures to address challenges affecting businesses’ ability to benefit fully from the Customs Union, Common Market and Single Customs Territory. EABC Executive Director Ahmed Farah said the private sector must play a central role in shaping policies that improve competitiveness and attract investment.

“Regional integration must be built with business, not simply for business,” he said.

He cited non-tariff barriers, inconsistent implementation of the Common External Tariff, different tax regimes, high transport costs and lengthy regulatory processes as major constraints facing businesses. Germany’s Deputy Head of Mission in Tanzania, Maximilian Müller, said a larger, predictable and connected East African market creates opportunities for businesses and investors.

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East African Development Bank (EADB) Country Manager Stephen Wambura said access to long-term financing remains essential to support industrialisation, manufacturing, infrastructure and value addition.

Tanzania Private Sector Foundation (TPSF) Executive Director Deogratius Massawe called for the removal of discriminatory taxes, fees, quotas and charges on EACoriginating goods to make the Common Market a reality.

Meanwhile, Confederation of Tanzania Industries (CTI) Executive Director Leodgar Tenga said manufacturers continue facing regulatory inconsistencies, high logistics costs and limited access to affordable finance. Representing the Permanent Secretary responsible for EAC Affairs, Amadeus Mzee said recommendations from the roundtable would be submitted to regional decisionmaking organs to support trade and investment reforms.

The meeting brought together more than 70 government officials, business leaders, private sector associations and development partners. Discussions will inform the EAC Trade and Investment Climate Report to be launched at the East Africa CEO and Investment Forum in Nairobi in September.