Agricultural Trade Dispute: Starting April 23rd (Wednesday), Tanzania is going to stop importing various types of agricultural products.
A trade dispute has broken out between Tanzania, Malawi and South Africa on April 23nd, the products banned by Malawi include flour, rice, gingerpale and red green bananas and lastly, maize this time to Malawi and bananas to South Africa.
It is an embargo to stop Tanzania from exporting flour, rice and ginger bananas to Malawi or Malawi or bananas to South Africa.
In Tanzania, there is intense discontent after a unilateral Ban by Malawi. Tanzanian trade people have all along depended on the Malawian market. Said Agriculture Minister Hussein Bashe
“For the past five years, the Tanzanian Government has been working hard to get market access for our bananas in South Africa.
It is a great pity that what Tanzania did not want to happen could not be staved off.
The situation that developed is similar to those long drawn out struggles which occurred from when Tanzania started exporting avocados, and it was only after we imposed reciprocal trade restrictions on foreign companies that things began to improve.” Minister Bashe pointed out.
He went on to say that huge efforts have been launched in diplomatic channels, but to no result.
The Ministry of Agriculture is now thinking about what measures to take in retaliation
“If Malawi and South Africa don’t remove these bans by next Wednesday, then the Tanzanian Government will implement ban upon all importation of agricultural and agro-based imports from these two countries.
All those agricultural products from Malawi and South Africa which used to pass through Tanzanian territory, and indeed the Port of Dar es Salaam, will be suspended for the time being.” He gave further notice of the autumn roundup.
As for the decision itself, Tanzanian fertiliser sales to Malawi will also be stopped to protect the interests of Tanzania’s agricultural sector.
Tanzania ‘s Minister for Agriculture has given strong advice to transporters involved in the cross-border trade of agricultural products: until Malawi and South Africa reconsider, they are requested to hold off any further shipments to these countries.
Also, Tanzanian trade people who have placed orders to buy apples, oranges and agricultural goods from South Africa, are requested to hold off on having those goods delivered because until South Africa reopens its markets to Tanzanian bananas, these imports will not be allowed into Tanzania.
“As Minister, I would like to stress that all attempts to link up with Malawi’s Minister of Agriculture have been made from our side.
But we are yet to receive a reply. These measures are to safeguard our farmers, tradesmen, and our position of just trade In short,
Tanzania will not put up with unequal market access that puts its people on the short end,” Minister Bashe told reporters.
This trade conflict raises important questions about the African Continental Free Trade Area (AFCTA).
The trade barriers to which these countries subscribe directly contravene the core philosophy of AFCTA, which is moving towards some sort of pan-African single market driven by free trade in Africa.
Of the 55 member states of the African Union, 54 have ratified AfCTA, with Eritrea alone yet to sign.