CROSS border business at Namanga post has registered an increase in volumes of trade within a year, springing from 21,478 tonnes to 26,690 with an average cost of 25.1bn/- per month, mostly from the ones being sent to Kenya and South Sudan.
The revelation was made here recently by Tanzania Revenue Authority (TRA) Assistant Regional Manager, Mr Godfrey Kitundu, adding that within a year and a half evaluation undertaken by them, the reason behind this was the establishment of One Stop Border Post (OSBP) here.
Mr Kitundu, who deals with Customs, further pointed out that that was also realised after complaints of the traders were addressed by October 2017, singling out the bigger one as the delay in clearing cargo as well as travellers.
He said it has now proved beneficial for the people of the two countries to continue tapping opportunities made available by the East African Community (EAC) that supports putting in place of their infrastructures in question, adding that “in turn that has mostly motivated producers and businesspersons from Tanzania to venture more in business.”
The manager hinted that in the financial year 2016/17, trucks that transported goods from Tanzania to Kenya through the Namanga Border were 1,268 and by 2018/19 financial year, the lorries increased to 1,585.
Mr Kitundu said that some processed goods that have value added in local industries exported through the Namanga Border last year were 640 up from 429 in 2016.
He cited the types of the goods as tiles from Goodwill Tanzania Ceramic Limited that has a factory in Mkuranga, Coast region. Others, noted the manager, were fruits and energising drinks, wheat flour, maize flour, plywood, kraft liner, konyagi and marine boards.
The list also included a big business in vegetables, ginger as well as minerals such as coal and lime. However, he noted that goods that entered the country from Kenya stood at 4,190 tonnes per month valued at 25bn/-.
He attributed that to the inauguration of the OSBP as a helpful tool to control fraudulent traders, who were evading taxes, adding that in turn the government currently enjoys good revenue collections considerably.
“The cost of goods that have been seized for being imported without adherence to the law has decreased from 630.3m/- in the financial year 2015/16 to 24.7m/- in 2017/18 fiscal year.
Customs duty collection has increased from 46.5/- in 2016/17 to 55.8/- in 2017/18, while by the end of the financial year, TRA expects to collect 58.5bn/-,” he added.