There has been uproar from regional transporters following the decision of South Sudan to slam entry fees amounting to USD 160 onto each and every foreign vehicle crossing into its border.
And yes. This applies to even cars from the East African Community Member States a regional block into which Juba was recently allowed to join.
In response to that, the Arusha-based, East African Business Council has written to the Ministry of Industrialization, Trade and Enterprise Development of South Sudan to uplift the notice.
The Notice Number MFA/COM/32 requires all vehicles entering South Sudan to pay an upfront annual fee of USD 100. Then there should be a further USD 30 for every entry and exit per vehicle.
The new charges are supposed to go into effect from the 1st of March, 2022.
As it was noted, the ‘new vehicle entry digital border security control tag,’ will increase the cost of doing cross border business especially transportation and logistics, as far as experts are concerned.
According to the EABC the new charges will also well hinder the efforts being made by the region to recover from devastating effects of COVID-19.
In 2019, South Sudan goods export to other EAC Partner States reached USD. 6.8 million while imports hit USD. 225.9.
“These charges contravene the spirit of EAC customs union and impede the ease of doing business in South Sudan and make products manufactured in the EAC bloc for export to South Sudan uncompetitive and more expensive!”East African Business Council – Arusha
Eliminating tariff and non-tariff barriers and other charges of equivalent effects underpins the faster growth and resilience of intra-EAC trade amid the pandemic.