Tanzania hits US, EU non-tariff barriers that have replaced tariffs

TARIFF barriers against African exports have fallen, but European and American non-tariff barriers, exacting high standards of compliance, have replaced them, blocking products and produce, Tanzanian deputy trade minister Gregory Teu told the National Assembly.

"American markets are open, but the standards that our products have to meet are too high for our producers to meet," Mr Teu said in his response to a question from parliamentarian Rita Mlaki who asked what was being done to exploit the two markets under the African Growth and Opportunity Act (AGOA) and Everything but Arms (EBA) arrangements.

Mr Teu said the shilling would appreciate if the country increased exports with increased production for local consumption and surplus for foreign markets, reported the Tanzanian Daily News.

He said the government, through the Exports Processing Zones Authority (EPZA), was pursuing strategies to promote exports by local and foreign investors, but said the markets are practically inaccessible due to the stringent standards set.

Tanzanian exports are chiefly coffee, cotton, sisal, tea, tobacco, cashew nuts and pyrethrum, and have increased from TZS410 billion (US$260.9 million) in 2007 to more than TZS1 trillion last year.

Mr Teu concurred with the questioner that the shilling will appreciate if the country increased exports through increased production for local consumption and surplus for foreign markets. He said the government, through the Exports Processing Zones Authority (EPZA), is executing a number of strategies to promote exports by local and foreign investors.

The Export Processing Zones Authority (EPZA) has since its inception in 2002 attracted 54 companies under export processing zones and special economic zones arrangement.