East African Community Opens up in 2010

David Muwanga (Busiweek)-- East African Community (EAC) Common Market Protocol that paved way for the free movement of goods, labour and capital becomes operational starting 1 July 2010.

To this effect the heads of State of the EAC member states have directed the council of ministers to oversee and approve institutional arrangements that will support the management of the common market. They also urged the partner states to ensure that the protocol is ratified quickly in order for it to become operational starting 1 July 2010. This was said by the EAC communications officer,Richard Owora.

He said the leaders took note of the progress in the consolidation of the East African Community Customs Union and approved the review of chapter 40 of the common external tariff (CET) by deleting the additional note on tyres that read, ‘For the purpose of HS Code 4011 20.00, tyres of a kind used on buses or lorries shall be having a rim size of 17 inches and above.’

They approved the review of the common external tariff and rules of origin but on condition that the council of Ministers report to the summit on decisions taken on any of the approved reviews.

During the summit held in Arusha, Tanzania on 20 November, they also directed the Council of Ministers to fast track the establishment of a monetary union following the coming into operation of the common market. He said the leaders commended the Common Market for Eastern and Southern Africa (COMESA)-East African Community (EAC)-Southern Africa Development Cooperation (SADC) tripartite taskforce on the preparation for the grand free trade area. The free trade area is expected to become operational by December 2010 after the proposal has been fine tuned at a conference to be held in March and later signed by the Presidents in April.

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