Tanzania sets sights on boosting border trade opportunities
What you need to know:
- The OSBP concept which consolidates border control services from neighbouring countries at a single location has been lauded for its potential to streamline customs processes, reduce delays, and lower costs for traders.
Dar es Salaam. Tanzania is ramping up efforts to unlock the untapped potential of border trade with its East African Community (EAC) neighbours, it has been stated.
The government has outlined plans to empower councils in border regions to create favourable conditions for trade and integration, enabling citizens to benefit from EAC opportunities.
Deputy Minister for Foreign Affairs and East African Cooperation responsible for EAC Affairs, Mr Dennis Londo, highlighted these intentions during his visit to the Horohoro/Lungalunga One-Stop Border Post (OSBP) in the Tanga Region on Friday, December 20, 2024.
“The EAC offers numerous untapped opportunities for the benefit of our traders. I urge councils to devise deliberate strategies to support traders, particularly small-scale traders, in adding value to their products to ensure they can be sold without restrictions in member countries,” he said.
The OSBP concept which consolidates border control services from neighbouring countries at a single location has been lauded for its potential to streamline customs processes, reduce delays, and lower costs for traders.
However, challenges persist, including inadequate infrastructure, bureaucratic red tape, and limited awareness among traders about how to leverage these centres effectively.
Tanzania shares borders with several EAC countries, including Kenya, Uganda, Rwanda, and Burundi, making border trade a significant contributor to regional integration and economic growth.
However, many traders, especially small-scale business operators, remain unable to exploit these opportunities fully due to barriers such as a lack of knowledge about cross-border trade policies and limited access to capital.
One trader at the Horohoro border, Ms Halima Said, shared her perspective on the potential impact of improved border trade facilities.
“We see the government’s efforts, and the OSBP has helped reduce delays. But we still face challenges like high transportation costs and inadequate support for small traders,” she told The Citizen.
“If more resources and training are provided, it could transform our businesses and livelihoods,” she added.
Recognising these hurdles, the government has pledged to address operational challenges and enhance infrastructure at border points.
Deputy Minister Londo assured stakeholders that the government is committed to creating a conducive environment for trade by improving the efficiency of OSBPs and addressing traders' concerns.
“Border trade is a critical lifeline for many communities. By streamlining operations and tackling challenges, we can boost the economy and transform lives,” Mr Londo said.
During his visit, Mr Londo met with Tanga Regional Commissioner, Dr Batilda Buriani, and representatives from the Mkinga District Commissioner, business associations, and customs agents to discuss strategies for enhancing cross-border trade.
The OSBP at Horohoro is just one of several such centres established along Tanzania’s borders.
These centres aim to ease trade flows by combining services such as customs, immigration, and health inspections into a single operation.
With proper management and adequate support, they have the potential to transform border communities by creating jobs, reducing poverty, and fostering economic integration.