The implementation of the African Continental Free Trade Area is set to increase real income for Tanzania by 10 percent in 2035, the East African Business Council points out.
The reduction in trade costs relating to Trade Facilitation, Non-Tariff Measures and Non-Tariff Barriers will also see real income boost for the other East African Community Member States.
Kenya, for instance, will experience real income boost by nearly 12 percent, topping the other six East African Community Member states.
Uganda will see an increase of 3.8 percent and Rwanda 3.6 percent according to the World Bank projections.
This was elaborated by the Chief Executive Officer of EABC John Bosco Karisa during the Private Sector Sensitization Workshop on African Continental Free Trade Area (AfCFTA) Agreement on Trade in Goods Protocol.
Taking place in Nairobi, Kenya the event is organized by the East African Business Council, GIZ- Support to East African Market-Driven and People-Cantered Integration Programme.
The EABC Goodwill Ambassador on Transport and Logistics, Auni Bhaiji said, the Implementation of AFCFTA is projected to increase Intra-African trade significantly, especially in manufacturing.
He explained that the share of intra-AfCFTA exports to total global exports for Tanzania will increase by 28 Percent, Uganda 29 Percent, Rwanda 33 Percent and Kenya again leading the pack with 43 percent.
EABC Board Director Mucai Kunyiha said the AfCFTA Agreement is a clear testimony that the African States have committed to doing more trade and investment among themselves by creating a market of 1.3 billion people with a combined gross domestic product (GDP) valued at USD 3.4 trillion.
The AfCFTA Agreement envisages boosting intra-African trade through the gradual elimination of tariffs on over 90 African goods and the removal of non-tariff barriers and trade restrictions on goods and services, respectively
The EAC exports of goods to other parts of the continent have a combined value of USD 7.9 billion.
That accounts for 42 percent of the total exports from EAC to the world which currently stands at USD 18.7 billion.
Top EAC exports to Africa included precious stones, coffee, tea, cement, animal fats, mineral oils, iron and steel, with an even greater potential to export vegetables, tea, rice, coffee, sugar, textile products, soap, sesame seeds, edible oils, tubers and milk.
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