In the past two weeks, Kenya has taken advantage of a pilot program by the Africa Continental Free Trade Area which aims to facilitate and increase trade across Africa. The East African country shipped its first batches of locally made car batteries and tea to Ghana, 21 months after the AfCFTA pact was launched. The countries are among eight taking part in this trial phase. Associated Battery Manufacturers Limited in Nairobi exported its first locally made batteries to Ghana a few weeks ago. Finance manager Nixon Paloma said the company, which specializes in automotive and solar batteries, had been trading with other East and Southern Africa regional blocs, but this is the first trade with the West African region. Paloma said that getting preferential tariff rates is one of the main benefits of trading under this pilot phase. “For now, for example in Ghana, we are supposed to get 2 percent every year. So, the duty will be lowered at the rate of 2 percent each year until it goes to zero. So, in 10 years’ time, we will be exporting goods to Ghana without any tariffs,” Paloma said.
SOURCE: VOA