Improving the Border Agency Cooperation
Among the OIC Member States for Facilitating Trade
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4.2.
Case Uganda
Highlights:
Recently-established One-Stop Border Post (OSBP) at the Uganda-Kenya border makes
cross-border trade and travel faster, more reliable and cost-effective.
Uganda and countries of the East African Community (EAC) have reduced the complexity
of cross-border trade and logistics by harmonising regulations concerning food and
agricultural products, simplifying certificates of origin and by establishing a trade
helpdesk.
The World Customs Organisation supports Uganda and other EAC countries in launching a
regional Authorised Economic Operator Program (AEO)
4.2.1.
Setting the scene for iBAC in Uganda
Economic and trade overview
In the past decades the Ugandan economy has experienced a positive development. While the
global economic downturn of 2008 hit the economy through exports, it is among one of the
strongest in Africa. The GDP is currently 24.7 BUSD (2015, official exchange rate). The growth
rate has remained at 4-5 % during the past three years. The GDP per capita remains at a
relatively low level of 2,000 USD per capita. However, the level is similar to other non-oil
producing countries in the OIC African region.
The economic outlook for Uganda looks promising due to its relative stability, a number of
positive developments and investments, and due to the fact that the country has been able to
sustain GDP per capita growth despite the population growth rate (3,2 % in 2015), which is
one of the highest in the world. As a consequence, the median age of the Ugandan population is
only 15.6 years, which makes the population the second youngest in the world. In fact, the
Ugandan population is expected to exceed 100 million by 2050, which would make it more
populous than e.g. Turkey, Japan or any Western European country.
Such a tremendous growth calls for massive investments in the infrastructure and
developments in the economy. A lot of promise comes from the recent discovery of oil and
natural gas, which currently remain unutilized. The country is rich in other natural resources
too, such as copper and gold, but particularly its fertile soil, regular waterfall and abundant
water resources provide excellent conditions for agriculture.
Overview of the regional trade facilitation agenda
The Customs Management Act of the East African Community (EAC) Customs Union sets the
basis for customs operations in Uganda. The East African Community comprises Uganda,
Kenya, Tanzania, Rwanda, Burundi and South Sudan (since April 2016). The Customs
Management Act provides the baseline for cooperation of the respective authorities in customs
matters – including trade facilitation issues, standards, plant and animal health, human health,
statistics and security – in the six member countries.
Over the past two years, customs administrations of Rwanda, Uganda and Kenya have
successfully strengthened their collaboration, especially regarding cross-border movement of