CTI_Newsletter_147 - Confederation of Tanzania Industries

Monthly Newsletter of the Confederation of Tanzania Industriesof transport, and all ports in order toreduce transport costs for passengersand cargo destined to the lake zone.Hon. Kandoro also pointed to theimplementation of the East AfricanCommon Market Protocol as anotherchallenge to be faced by the outreachmembers in doing their businesses.The Common Market would seeall products from Kenya enteringTanzania duty free and vice versa.He pointed out that the arrangementwould increase competition forproducts made in Tanzania. In orderto compete with Kenyan productswhose industrial sector was verydeveloped, he urged the Mwanzabusiness community to invest insimplified modern technology to addvalue to their products and sell themcompetitively to capture a large EastAfrican market share. He urged thebusiness community to work veryhard and to be innovative in order tomaintain the market which they werecurrently enjoying.In closing hisremarks, Hon.Kandoro accepted therequest by outreachmembers to havei n s t i t u t i o n a l i s e dmeetings with himto discuss economicand businessdevelopments in theregion. He directedofficials from theOutreach to sittogether with officialsfrom the regionalgovernment to workon the modalities and set the dates.New outlook of Mwanza CityCTI Chairman Mr. Felix G. N. Mosha (right) in a group photograph inside the Mwanza Outreach offices with Mr. ChristopherM. Gachuma, Mwanza Outreach Chairman 2nd left, Mr. Kiran Patel, Vice Chairman (left) and Mr. Thomas Kimbunga,Director of Membership Services and Communication at the Secretariat.The Voice of Industry6www.cti.co.tz

Monthly Newsletter of the Confederation of Tanzania Industriesnumber of metres packed in a container as it can varybased on the width of the fabrics and the weight persquare metre. Another tax evasion loophole is falseclassification. For example, importers classify khangaas printed fabrics which attract a lower rate of importduty under the EAC CET. It is also a well known factin the market that some companies operating in theEPZ divert the imported fabrics to the domestic marketwithout paying any taxes.The combined effect of the dumping, subsidies and taxevasion on imported textiles has made it very difficultfor the textile industry in Tanzania to operate profitably.The stated policy of the Tanzanian government for thetextile sector is to maximize the production of valueadded products such as yarn, fabrics and garments madeout of cotton grown in the country. During 2008/09,the country could not find export markets for thecotton lint due to the effects of the global recession. Itis even more imperative in the current hostile globalenvironment that the government takes remedial actionto ensure that it consumes more cotton domestically.CTI proposes the following measures to prevent thetotal collapse of the textile sector.The trade policy instrument that should be used is toimpose specific rates of import duty in addition to thecurrent ad-valorem rates applied in the EAC CommonExternal Tariffs. The specific rate should be charged ona per kilogram basis by ensuring that all imports areweighed at the point of entry. In order to arrive at theappropriate specific rates, we propose that the averageinternational indicative prices of US $ 4 per kilogram beused for all unbleached and bleached fabrics. Likewise,the indicative price of printed and dyed fabrics shouldbe US $ 6 per kilogram. The tariff rates on textilescovered under Chapters 50-52, 54-55, 58 and 60 of theEAC CET should be amended as follows: grey/bleachedfabrics 25% or USS $ 1 per kilogramme, whichever ishigher; dyed/ printed fabrics 25% or US $ 1.50 perkilogramme, whichever is higher; khanga, kitenge, kikoi50% or US $ 3 per kilogramme, whichever is higher. Theproposed measures will help the textile industry counterthe onslaught of subsidised and dumped exports fromexporters based in Asian countries. They would alsohelp to curb rampant tax evasion on imported fabrics.The Voice of Industry9www.cti.co.tz

Monthly Newsletter of the Confederation of Tanzania IndustriesT R A D E F A I R S & E X H I B I T I O N SAfrica-Middle East RegionalMicrocredit Summit ExhibitionThe Association of MicrofinanceInstitutions in Kenya (AMFI) andthe Microcredit Summit Campaign,are inviting members to participate inthe Africa Middle East Micro CreditSummit (AMEMRS) exhibitionwhich will be held at the KenyattaInternational Conference Centre,Nairobi from 7 th – 10 th April,2010.Members who wish to participateare kindly requested to contactMr. Anthony Njue, Exhibition &Events Organisers Ltd. At Anthony@eeoevents.com; Tel: 0202043016;0202300592; Mob: +254-712864169for details.(Ref. No. 2010-147-01)KISF 2010The Arabian Exposition and the KenyaNational Chamber of Commerce &Industries are together organisingKenya International Shopping Fair(KISF 2010) at Kenyatta InternationalConference Centre in Nairobi, Kenyafrom 21 st – 25 th April, 2010. The eventwill provide an appropriate forum forthe business companies to display anddemonstrate their latest products andservices, offering excellent opportunityfor access to COMESSA countriesmarket with 407 million consumers.Interested members, please contactMs. Monica Fernandes, BusinessDevelopment Manager, at monica@info.kncci.co, Tel: 9714 2035088; Fax:971 4 2035060.(Ref. No. 2010-147-02)ZITF 2010The Zimbabwe International TradeFair Company invites membersto participate in the ZimbabweInternational Trade Fair that will beheld from 20 th to 24 th April 2010 atBulawayo, Zimbabwe. The first twodays 20 th -21 st will be dedicated tobusiness to business trade visitors only.A business conference, networking andmatchmaking sessions will be the mainfeatures of the first two days.The deadline for registration is 31 stMarch 2010. Members can registerthrough zitf@zitf.co.zw Tel: (+263-9)884911-5; FAX: (+263-9) 884921.(Ref. No. 2010-147-03)RESALE 2010Members are invited to participate inthe Resale 2010 Trade Fair for usedmachinery and equipment that will beheld from 21 st to 23 rd April 2010 atKarlsruhe, Germany. RESALE reflectsthe global market for used machineryin every sector- from metal working toconstruction machinery.Interested members who wish to attendshould contact info@resale-germany.com and Tel: +49 (0) 724470750.(Ref. No. 2010-147-04)Leather and Textile ProductsExhibitionThe Ministry of Industry, Trade andMarketing in collaboration with theBoard of External Trade will organiseexhibition of leather and textiles productsat the Dar es Salaam International TradeFair grounds (Sabasaba grounds) inMay, 2010. Members are requested toprepare for the exhibitions.(Ref. No. 2010-147-05)HKTDC Food ExpoSuccessful food business from all overthe world will gather in Hong Kong forthe 21 st HKTDC Food Expo on 12 th –16 th August 2010. The exhibition willbe held at Hong Kong Convention andExhibition Centre.The Food Expo will include a seriesof sharing sessions by food experts.For more information please contact:exhibitions@hktdc.org ; Tel: (852) 25844333; Fax: (852) 2824 0026.(Ref. No. 2010-147-06)Damascus International FairThe Syrian Ministry of Trade andEconomy will conduct the DamascusInternational Fair scheduled to takeplace from 14 th to 23 rd July, 2010 at theDamascus International Fair Ground.Members are strongly encouraged toparticipate.For more information about the fair,please visit www.peife.gov.sy(Ref. No. 2010-147-07)13 TH KITE 2010The Arabian Exposition, Dubai inconjunction with Kenya NationalChamber of Commerce & Industryinvite members to participate in 13 thKenya International Trade Exhibitionon various industry sectors coveringa wide range of products and services.The exhibition will be held at KenyataInternational Conference Centre inNairobi, Kenya.The Exhibition will provide anappropriate forum for the businesscommunity to display and demonstratethe latest products and services in orderto avail the opportunities of tradeinvestments including new joint venturetie ups. The leading manufacturers andexporters from all over the world areexpected to showcase their latest rangeof products and services.For details please contact info@jkacci.org ; josh@africanexpos.com ; Mob:0723-341143.(Ref. No. 2010-147-08)The Voice of Industry10www.cti.co.tz

Monthly Newsletter of the Confederation of Tanzania IndustriesThe Voice of Industry12www.cti.co.tz