There won’t be any more speculations about why Ugandans cannot easily sell their sugar in Tanzania – President John Pombe Magufuli has explained it all.
“We came to realise that sugar products which were entering the country from Uganda were not manufactured in Uganda, but elsewhere despite being labelled as manufactured in Uganda,” Magufuli said.
This explanation was presented during a joint press conference involving President Yoweri Museveni and President Magufuli in Dar es Salaam last week.
“Tanzania is not a dumping place. There is enough amount of imported sugar in Tanzania,” Magufuli said, adding that his government was informed of smuggling of sugar products to Tanzania from Uganda.
“This is why we issued an embargo to stop the illegal activities,” he said as Museveni carefully listened.
Ugandan traders had repeatedly complained that their sugar cargo was being denied entry into Tanzania.
Bitter still, Tanzania government had imposed a 25% import duty on sugar from Uganda, contrary to the 0% rate recommendation by the EAC Community Common Market Protocol.
Magufuli said his government was no longer interested in sugar importation business from neighbouring countries, citing that there was a huge sugar stock in Tanzanian market.