Press Release

Secretary-General on a working visit to Roofings Group Uganda

The Secretary-General of the East African Community, Amb. Dr Richard Sezibera, on Thursday paid a working visit to Roofings Group Uganda at its 2nd plant located in Namanve, Uganda’s upcoming Industrial Area on the outskirts of the capital, Kampala.

The Secretary-General was accompanied by Hon. Dr James Shinyabulo Mutende, Uganda’s Minister of State for Industry; Mr Dennis Karera, the Chair of the East African Business Council (EABC) and the Ag. CEO, Ms Lilian Awinja; Mr Hussein Omar, the EABC Uganda Chapter Chair; Dr Samuel M. Nyantahe, Chairman of Confederation of Tanzania Industries; Amb. Jean Rigi, Burundi’s Permanent Secretary for EAC Affairs; and, Commissioner Rona Sserwada from Uganda’s Ministry of EAC Affairs.

Welcoming the Secretary-General to the Plant, the Chairman and Managing Director of the Roofings Group, Mr Sikander Lalani, said it was gratifying that Amb. Sezibera’s visit to the plant came immediately after the 1st East African Manufacturing Business Summit held from 1st to 2nd September 2015 in the Ugandan capital.

Lalani said the deliberations at the Summit were all geared towards job creation for the youth, increasing value addition, quality assurance, enhancing tax revenues, fair trade and most importantly, boosting the region’s economic standing in the world.

Lalani told the Secretary-General of various issues that must be addressed at the regional level in order to boost the growth of the steel sector, namely: the need to increase the EAC Common External Tariff (CET) on galvanised wire to 25% in the region; and, the Re-bars to have either a fixed import tax rate based on volume at $250 EAC CET per tonne or based on value at 25% CET, whichever is higher.

The CEO also proposed removing cold rolled coils, galvanised coils and pre-painted coils from the duty remission schemes of Rwanda and Burundi. He also requested the region to put in place a robust quality assurance system by way of adopting regional standards in the steel sector as well as putting in place a level playing field in tax administration.

He further urged EAC Partner States’ governments to prioritise and enhance local / regional content for infrastructural and donor-funded projects as a way of promoting the Buy East Africa, Build East Africa campaign.

Lalani disclosed that the Group was employing people from the region without any discrimination, as long as they have the required skills and ability to deliver.

He also assured the Secretary-General that the firm was keen on investing in the entire region depending on the enabling environment in terms of import duty policies, level of playing field and availability of markets.

Minister of State for Industry, Dr Mutende assured the Secretary-General and investors in the region that Uganda Government was working to address all the issues impacting on her business environment including a reduction in energy costs.

EABC Chair, Mr Karera called for an urgent meeting of steel producers and stakeholders before the end of September 2015 to address the issues impacting on the sector business in the region, adding that a regional code of conduct was being developed and will be considered for adoption at the November EAC Heads of State Summit.

In his remarks, Amb. Dr Sezibera congratulated Mr Lalani for the massive and quality investment in Uganda and the wider East African region, adding that some of the issues raised were already being addressed by the EAC Secretariat, the EAC Council of Ministers and EABC.

On the issue of standards, Amb. Sezibera urged the Roofings Group to work closely with the EABC and the EAC Secretariat to sort them out.

EAC institution among top 20 World Water Cooperation Basins

The Lake Victoria Basin Commission (LVBC), an institution of the East African Community, ranks among the top 20 World Water Cooperation Basins, according to the Strategic Foresight Group’s Water Cooperation Quotient Index 2015. The Water Cooperation Quotient is a tool to measure intensity of co-operation in shared river and basins globally.

This was revealed by the LVBC Executive Secretary, Dr Canisius Kanangire, during the 15th Sectoral Council of Ministers Meeting (SECOM) for Lake Victoria taking place from 31st August to 4th September 2015 in Kisumu, Kenya. The Global Water Cooperation Quotient Index was launched on 11th August 2015 in Dakar, Senegal.

“This is a good piece of news from an independent and internationally reputable think tank”, said the LVBC Executive Secretary while addressing delegates from the five EAC Partner States.

Ministerial Meetings happening on an annual or bi-annual basis focused on water co-operation and policy guidance on managing shared water resources constituted part of the indicators and scoring criteria of the Water Cooperation Quotient Index.

Dr Kanangire said that such recognition was an indication of how well organised and focused the EAC was specifically in areas of joint co-operation and management, and development of shared trans-boundary resources.

He, however, noted though EAC economies were dependent on water which is a finite resource, adding that there were significant imbalances between sustainable water resources management efforts and water withdrawals for socio-economic purposes such as urbanisation, population growth demands, etc.

Addressing the Co-ordination Committee for Lake Victoria Basin and Group of Experts from the Ministries of Water and Environment from the EAC Partner States, Dr Kanangire described the depletion of global water as alarming noting that it was precipitated by the climate change.

According to Strategic Foresight Group’s Water Cooperation Quotient, the total annual renewable water resources available in the world is estimated to be 38,000 Billion Cubic Metres (BCM).

The total water withdrawal for this year is expected to be 3,800 BCM and 5,700 BCM in 2050. The reduction of the waters of Lake Chad and Lake Turkana are examples of how serious Africa’s water crisis is.

The SECOM for Lake Victoria is one of the forums through which EAC Partner States enhance co-operation for sustainable management of shared water and other natural resources.

The Chairperson of the Co-ordination Committee for SECOM, Engineer Mbogo Futakamba, who is also the Permanent Secretary for the Ministry of Water in the United Republic of Tanzania, commended LVBC for its efforts in managing EAC’s shared waters of Lake Victoria in a prudent manner.

Eng. Mbogo said co-operation was the most viable method for the sustainable management of shared water resources.

Agnes Yobterik, Director for Programmes, Projects and Strategic Initiatives from the Ministry of Environment and Natural Resources, Republic of Kenya lauded LVBC for promoting, facilitating and coordinating development in the Lake Victoria Basin.

The 1st Manufacturing Business Summit held at Speke Resort, Munyonyo in Kampala, Uganda

The Kampala Resolutions on Manufacturing

  1. The 1st Manufacturing Business Summit was held in Kampala, Uganda at Speke Resort, Munyonyo on 1-2 September 2015. The Business Summit was officially opened by Rt Hon. Dr Ruhakana Rugunda, the Prime Minister of the Republic of Uganda.
  2. The Summit was attended by H.E. Dr Mukhisa Kituyi, UNCTAD Secretary-General; Amb. Richard Sezibera, EAC Secretary-General; Hon. Amelia Kyambadde, the Minister for Trade, Industry and Cooperatives, Uganda; Hon. Adan Mohamed, Cabinet Secretary for Industrialisation and Enterprise Development, Kenya; Hon. Tabu Abdallah Manirakiza, Minister for Finance, Burundi; Hon. Adam Kighoma Ali Malima, Assistant Minister for Finance, United Republic of Tanzania, Dr Joseph Mungarulire, representing the Minister for Trade and Industry, Rwanda; Mr Dennis Karera, East Africa Business Council (EABC) Chairman; and, Amos Nzeyi, UMA Chairman. The Summit was also attended by representatives from development partners and regional economic communities including: United Nations Industrial Development Organization, African Development Bank, Commonwealth Business Council, United Nations Economic Commission for Africa, African Minerals Development Centre, World Bank, TradeMark East Africa, Deutsche Gesellschaft für Internationale Zusammenarbeit, Physikalisch-Technische Bundesanstalt, Common Market for Eastern and Southern Africa, and South African Development Community.
  3. The 1st Manufacturing Business Summit was jointly organised by East African Community Secretariat and EABC, and hosted by the Government of Uganda. The forum ushered in a new dawn in the history of manufacturing in East Africa region as it brought together for the first time all shareholders in manufacturing under one roof to discuss the question of manufacturing and its role in deepening the integration.
  4. The forum made the following resolutions on this date of 2nd September 2015:
    1. To effectively utilise the available resources within the region for structural transformation of the manufacturing sector in key value chains, a regional special purpose vehicle that facilitates joint investment in capital intensive and flagship projects should be established (lessons can be drawn from Maputo Development Corridor, or Air-bus Project in the European Union). The framework should outline each countries comparative and competitive strengths in resources and inputs, and how EAC countries can collaborate and develop such strategic industries to avoid harmful competition and trade frictions.
    2. Public and private procurement is key to creating necessary demand for locally manufactured products as well as promoting technology-based business start-ups. To this end, the governments of East Africa Partner States and the private sector are called upon to prioritise in their procurement, the sourcing of locally manufactured products including agro-food, furniture, motor-vehicles, parts, apparel and footwear. The EAC Secretariat in collaboration with EABC should prepare a regional promotional strategy for the implementation of Buy East Africa, Build East Africa scheme.
    3. For the purposes of resolution No. 2, the EAC should formulate a regional Local Content policy, which clearly defines ‘local’ on a regional context to ensure that preferential treatment accorded to nationals are extended to all suppliers within the East Africa region.
    4. The EAC to formulate a regional policy for motor vehicles, textiles & apparel, and leather & footwear to create a coherent policy regime for the development of these sectors, which are crucial for employment creation, poverty reduction and advancement in technological capability.
    5. Acquiring appropriate skills suited to the needs of industry remains a major challenge contributing to youth unemployment. EAC in collaboration with EABC to a formulate a regional skill development and partnership programme targeting mainstreaming of apprenticeship, internship and graduate on-job training in school, technical and vocational education and training, and university curriculum.
    6. Energy (power) is a vital input into manufacturing constituting between 20-50 percent of the cost of production. The East Africa Partner States are called upon to take measures to reduce the cost of power to through: reforms in the energy / power sector to reduce power loss, permitting industries to generate their own power and supply excess to the national grid, and introducing energy efficiency and conservation measures in industries. To this end, EAC and EABC should organise a regional conference on “Competitive Energy Supply for sustainable Growth of Manufacturing in East Africa” to facilitate a consultative dialogue with all relevant stakeholders on measures to be adopted to enhance energy access and reduce power tariff for the manufacturing sector.
    7. The emerging industrialising countries such as Brazil, Russia, India, China and South Africa (BRICS) present EAC with immense opportunities for trade and industrial co-operation. The EAC should formulate a regional strategy for engagement with BRICS, with a view to leveraging and attracting Chinese investors, and positioning the region as ideal location for investors who have relocated from China due to rising labour costs.
    8. The EAC to enact a Community Law on anti-counterfeits and illicit trade and put in place an effective enforcement mechanism in order to deter imports, production, sales, and distribution of counterfeit and illicit goods in the East Africa market.
    9. The 2nd Manufacturing Business Summit to be held in September 2017, in Nairobi, Kenya at a date to be communicated. The EAC and EABC calls upon development partners and EAC Partner States to support convening of the 2nd Manufacturing Business Summit.

 

ADOPTED THIS DAY OF 2ND SEPTEMBER 2015 AT SPEKE RESORT, MUNYONYO IN KAMPALA, UGANDA

More Articles ...


East African Community
EAC Close
Afrika Mashariki Road
P.O. Box 1096
Arusha
United Republic of Tanzania

Tel: +255 (0)27 216 2100
Fax: +255 (0)27 216 2190
Email: eac@eachq.org