Museveni issues directive over trade woes with Kenya
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President Museveni of Uganda directs his administration to embrace negotiations with Kenya in dealing with trade woes
President Museveni of Uganda directs his administration to embrace negotiations with Kenya in dealing with trade woes.
During his New Year’s address, Museveni noted that many businesses in Uganda had lamented over the non-tariff barriers put up by countries like Kenya, with some pushing him to retaliate.
Citing some of the accomplishments his administration had made possible through discussions with previous Kenyan governments, he stated that negotiations were one of the best methods to address trade challenges.
He specifically highlighted the incidents in which other Kenyan governments had closed their borders to Ugandan goods.
“The NRM will not be part of those blind policies. Some of Ugandan business people cite the non-tariff barriers practiced by other countries. In the early years of our Government, Mzee Moi, at one time, closed the border, but I rejected the arguments for retaliation.
“Today, Uganda’s exports to Kenya are either equal to our imports from there or, sometimes, they are higher. Rationality cannot be ignored indefinitely,” he stated.
On the other hand, Museveni underlined that he would like to have the non-tariff barriers done away with to boost trade in the East African region.
In 2023, Kenya had been engaged in trade woes with Uganda, with oil and milk imports featuring predominantly.
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For instance, Ruto banned the importation of milk products from Uganda in 2023 amid accusations that some Kenyan companies were importing milk powder from Uganda, mixing it with water, and selling it as milk in the Kenyan market.
“There is milk from our neighbouring country and oftentimes it’s not from their farms. This is milk from foreign countries, taken to factories, and processed. A milk company in Kenya is the one doing that,” the Head of State revealed during an interview with Inooro FM in August 2023.
On the other hand, Uganda also cut ties with Kenyan businesses in the importation of oil following accusations that their profit-making strategies increased the cost of fuel products.
In the new Uganda oil importation strategy, the neighbouring country intends to purchase the fuel directly from overseas companies and transport it through Kenya.
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