Lower cargo transit fees, Uganda asks Tanzania

Shapu

JF-Expert Member
Jan 17, 2008
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Kuna hii story ya mwaka jana lakini i am interested on this:

"While Rwandan trucks transiting through the central corridor (Dar es Salaam Port) each pay $150 (Shs535,000), other East African member states such as Uganda are charged $500 (Shs1.7 million) per truck for goods in transit. This, traders, have decried several times."

Nini motive?

By FREDERIC MUSISI


Kampala. State minister for Transport Aggrey Bagiire, last week on Thursday asked his Tanzanian counterpart to harmonise the preferential treatment his country offers to transit goods as a way of encouraging the use of the Central Corridor, Uganda’s alternative access to the sea.

Mr Bagiire, while signing a Memorandum of Understanding (MoU) on reviving inland transport on Lake Victoria and development of a railway as part of the Central Corridor, to implore Tanzania to reduce the high road user charges.
Currently, trucks from Uganda are charged $500 (Shs1.7m) each yet Uganda charges only $40 (Shs140,000) per truck from Tanzania.

The exorbitant cargo transit fees, Mr Bagiire said, were discouraging the use of the port of Dar ss Salaam by Ugandan traders since it increases the cost of transportation.

According to a statement issued by the Ministry of Foreign Affairs, which coordinated signing of the MoU, Mr Bagiire asked Tanzania to “consider revising the rates downwards” to attract more traders to use the route.

Dar es Salaam is Tanzania’s principal port with a rated capacity of 4.1 million down weight tonnage (dwt) dry cargo and six million dwt bulk liquid cargo.

Mr Bagiire signed the MoU on behalf of Uganda while Prof Makame Mbarawa, the Transport minister, signed on behalf of Tanzania in Dar-es-Salaam.

The signing was witnessed by the Charge D’Affairs at Uganda High Commission in Dar-es-Salaam, Oscar Edule, Uganda Railways Corporation (URC) managing director Charles Kateba, and other officials from the two countries.

The MoU also reinforces proposed plans by Tanzania to construct, as part of the ongoing construction of the country’s 300km Standard Gauge Railway from the Indian Ocean port of Dar es Salaam, a section to Port Mwanza port at Lake Victoria to link Uganda.

The strategy is now for Uganda to either start revamping Port Bell or start work on Greenfield Bukasa port in Wakiso district earlier-on estimated to cost Shs486b ($180m), to be able to sync with the railway line(s) from Tanzania as part of both the Southern and Central transport corridors, respectively.

Once this railway is realised shipment of cargo is expected to take between 10-11 hours to Port Bell in Kampala.

According to a statement issued by the ministry of Foreign Affairs, Prof Mbarawa described the agreement as a clear testimony that Uganda attaches to Dar-es-Salaam Port as a link in the Central Corridor connecting the two countries.

Source: Lower cargo transit fees, Uganda asks Tanzania
 
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