The East African Community CET is a key instrument under the EAC Customs Protocol, designed to provide a unified tariff framework for imports from outside the region. This harmonization aims to create a level playing field for businesses within the EAC bloc. However, disparities caused by Stays of Applications (SOAs) and country-specific duty remissions have weakened its intended impact, distorting markets and creating unpredictability for businesses.

The revised EAC-CET, introduced in 2022, features a 4-band tariff structure with a maximum rate of 35%. This rate promotes value addition, supports regional industries, and safeguards locally produced goods. Analysis indicates that effective implementation of the CET could increase intra-EAC trade by $18.9 million and generate 6,781 jobs.

Despite its potential, the non-uniform application of the CET remains a challenge. Data from the 2024/25 financial year reveals 1,956 tariff lines under SOAs, with Uganda leading at 901, followed by Kenya, Rwanda, Tanzania, and Burundi. Sectors such as cotton, textiles, apparel, iron, steel, and agro-processing are the most affected.

Key recommendations include:

• Harmonizing private sector positions on the CET to ensure consistency.
• Building regional productive capacities to reduce dependency on imports.
• Promoting regional duty remission schemes to support manufacturers.
• Developing industrial infrastructure for value chains like leather to drive value addition.
• Enhancing awareness of the EAC-CET Version 2022 among stakeholders.
• Addressing the recurring application of SOAs, particularly in agro-processing and textile industries.
• Stronger public-private dialogues to address challenges and ensure a consistent application of the CET.

Uniform implementation is essential to safeguarding regional industries, boosting trade, attracting foreign investment, and fostering economic integration across East Africa.