DRC Overtakes Kenya and Uganda as Tanzania’s Leading Export Market
Tanzania’s trade landscape is witnessing a significant shift as the Democratic Republic of Congo (DRC) has emerged as the country’s leading export market, surpassing traditional trade partners Kenya and Uganda.
This development, driven by changing dynamics in the East African Community (EAC), comes amidst ongoing trade disputes over tariffs and non-tariff barriers (NTBs).
According to the latest report from the Bank of Tanzania (BoT), the DRC accounted for 4.4% of Tanzania’s exports in the 2022/2023 fiscal year, up from 3.7% in previous years. In contrast, Tanzania’s exports to Kenya and Uganda have declined, now accounting for 4.1%, down from 4.7% and 4.6%, respectively.
This shift marks the DRC’s growing importance in Tanzania’s export portfolio, with its entry into the EAC in 2022 further solidifying trade ties between the two nations.
The report also highlights that Tanzania’s major exports to EAC countries consist of cereals, particularly rice and maize, as well as iron and steel, fertilizers, and cement. Imports into Tanzania from EAC countries mainly include soap, detergents, pharmaceutical products, sugar, and other household goods.
Tanzania’s overall export growth to the Southern African Development Community (SADC) region has also been notable. Exports increased to $1.61 billion in 2022/2023, with gold being the top export, primarily destined for South Africa.
Amid these shifts, the EAC member states are working to harmonize levies and fees on essential goods and services, particularly in the transport and agriculture sectors, to further promote intra-regional trade.
As part of the bloc’s revised four-band common External Tariff (CET) structure, new import duties are being applied to streamline trade costs across the region.
Source: The East Africa
