Non-Tariff Barriers

Complaint

Complaint number

NTB-001-040  

NTB Type

2.3. Issues related to the rules of origin  

Complaint

Tanzania denial of preferential market access for Apple Juice and Strawberry manufactured in Kenya while citing reasons that the products are not originating from Kenya. URT delayed the shipment instead of facilitating clearance as is required by the protocal and the EAC Rules of Origin then follow the process of reporting the matter to the secretariat for action/guidance.  

Status note

The RMC noted that the Verification report was considered and approved by the Committee on Customs and the SCTIFI in May and June 2023 respectively. The verification recommendations have been implemented whereby the qualified products have been granted preferential treatment. The SCTIFI noted that the products that qualify for preferential treatment can be allowed to access the market as the two Partner States consult bilaterally on the two products that do not qualify. Hence the NTB is resolved  

Progress update note

1. On 02May 2022, URT Focal Point reported that: Based with conclusion from Verification report done from 15-27 July 2019, concluded that, Juices manufactured using fruit concentrated sourced locally qualify for preferential treatment under Rule 4 (1) (a). On juices manufactured using non originating concentrate the team had divergent views on how to calculate the weight of non originating material (concentrate) while considering the provision of Rule 6(1)(a). I suggest our officers (Tanzania Revenue Authority) based in Nairobi to visit the industry to verify and advise accordingly.
2. On 14 June 2022, EAC Secretariat reported that:
URT cited reasons that the products are not originating from Kenya.
The verification was done in 2019 and the two parties did not agree on the application of Rule 6 of the EAC Rules of Origin. The matter was referred to the Committee of Customs. It will be considered by the next Customs Committee in October 2022.
3.The Committee on Customs considered the matter and agreed that the two Partner States include it among the list of items to be verified in the planned bilateral verification scheduled on 15th December 2022.
4.TRA/KRA undertook a verification and it was agreed that juices manufactured by Kevian Kenya Limited and Delmonte Kenya Limited except for Grape Juice, Apple Juice, Cranberry Apple Juice Blend, and Grape Blackberry Blend qualify for preferential tariff treatment under Rule 4(1) (a) and (b) of the EAC Rules of Origin, 2015. The Report has been forwarded t the Committee on Customs for consideration.
5. The RMC noted that the Verification report was considered and approved by the Committee on Customs in May 2023. The verification recommendations had been implemented whereby the qualified products were granted preferential treatment. The report of the Customs Committee would be considered by SCTIFI in June 2023  

Policy or regulatory NTB

No 

Location

Tanzania: URT TRA (Government institution)  

Reporting Country or Region

Kenya  

Country specific trade issue

No  

Date of incident

2021-10-14  

Status

Resolved  

Date of resolution

2023-05-16  

Product Description

Apple Juice

Computer-assisted translation

• English
• Arabic
• French
• Portuguese

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Total value

0  

Date reported

2021-11-01 22:38  

Modified

2023-07-08 12:07