The East African Community (EAC) and the East African Business Council (EABC) have intensified efforts to resolve 27 outstanding non-tariff barriers (NTBs) that have persisted despite a June 30, 2026, deadline set by regional Heads of State. On August 3, 2026, EABC executive director Ahmed Farah met with EAC Secretary-General Ambassador Stephen Mbundi in Arusha to strengthen operational collaboration and expand private sector participation in the bloc’s agenda.
EABC and EAC Coordinate to Remove 27 Persistent East African Trade Barriers
The 27 reported NTBs, which surfaced between 2023 and June 2026, remain unresolved due to bilateral disputes, protectionist domestic policies and inconsistent national enforcement. According to Rebecca Kadaga, Uganda’s EAC Affairs minister and chairperson of the Council of Ministers, these barriers prohibit the free movement of goods and services, which she described as the crux of the EAC Common Market Protocol.
Economic Impact and Trade Disparities
The persistence of these trade barriers carries a significant financial burden. The EAC Secretariat estimates that NTBs cost partner states between 1.7 percent and 2.8 percent of GDP annually, while the EABC estimates the region loses roughly $10 billion every year in lost opportunities. These challenges are reflected in the region’s trade patterns; while intra-EAC trade grew 15 percent to reach $4.8 billion in the third quarter of 2025, it still accounts for only about 15 percent of the bloc’s total trade.
By comparison, trade with the rest of Africa reached $10.1 billion, or 32.2 percent of total trade, indicating that regional flows remain more outward-oriented than focused on the common market. Furthermore, the speed of resolution has slowed; the EAC Secretariat’s 2025 Non-Tariff Barrier Resolution and Impact Analysis Report indicates the average time to resolve an NTB rose from 76 days in 2021 to 274 days in 2024.
Specific Barriers and Regional Friction
Many of the outstanding barriers involve discriminatory fees, levies, and the non-recognition of calibration certificates from partner states. Specific examples of regional trade friction include:
- Tanzania: The Tanzania Dairy Board imposes a 1.75 percent Free on Board value charge on Kenyan dairy produce, including powdered milk, ice cream and yoghurt.
- Rwanda: A 39 percent excise duty has been introduced on juice products manufactured in Kenya.
- Uganda: Kenyan-manufactured furniture is subject to a 20 percent excise duty.
- Kenya: An additional five percent levy is charged on fish.
Logistics and transit are also heavily impacted. Transporters have reported roughly 100 roadblocks on the stretch between Juba and Nemule on the Uganda-South Sudan border. Dr. Caroline Karugu, Kenya’s Principal Secretary at the EAC ministry, noted that the Northern Corridor faces 22 to 27 police checkpoints. She stated that arbitrary stops can cost an estimated Ksh13,000 ($100) per stop.
Strategic Roadmap for Resolution
To combat these issues, the EAC Secretariat and EABC are aligning regional integration with commercial realities. Ambassador Mbundi confirmed the Secretariat will participate in CEO Dialogues and co-organize an upcoming Investment Forum to engage directly with private enterprise on trade and investment priorities. Mr. Farah briefed the Secretary-General on preparations for the East Africa CEO & Investment Forum in Nairobi, Kenya.
The Council of Ministers is scheduled to evaluate the impact in partner states during the first week of August to determine compliance with the June deadline. Legal frameworks available to address these disputes include the EAC NTB Act of 2017, the Tripartite NTB Reporting Mechanism, and AfCFTA dispute settlement procedures.
