By John Oyuke
It is now official. The East African Community (EAC) Common Market is finally here, ushering in a seamless regional market and four key freedoms to the estimated 130 million citizens of the region.
The treaty that comes into force today, sets the stage for free movement of persons, labour, services and the right of establishment and residence across the five partner States — Kenya, Tanzania, Uganda, Rwanda and Burundi.
It also marks the entry of the critical phase, when the EAC partner States, must begin to determine how free movement and establishment of companies and businesses should be effected.
Negotiations for the Common Market — a merger or a union of two or more territories to form one common territory in which there is free movement of goods, labour, services and capital — commenced in February 2008, and were successfully concluded in September last year, when the Multi Sectoral Council of Ministers adopted the Draft EAC Common Market Protocol.
Today, the Protocol is put into force by the respective partner States.
The treaty is the beginning of decisive steps by the EAC Council of Ministers, in determining what regional-based interventions should be undertaken to speed up the process of integration mainly through a legislations.
The heads of State from the East African Community. The EAC Common Market Protocol commences from today. [photo: COURTESY] |
EAC Secretary General, Juma Mwapachu, said although the conversion of the region into a single market begins today, the ride is likely to be complex and long.
He said unlike the Customs Union, which had a ‘big bang’ start with the Common External Tariff and zero rating of Customs duty in respect of intra-regional trade, effecting the Common Market, was complex.
"Indeed, the process itself is complex in terms of what is required to be undertaken at the levels of the Partner States and, in certain respects, at the level of the EAC itself," Mwapachu added.
"Some people think that on July 1 all borders will collapse, allowing free movement of goods, yet there is a lot that will still need to be done," he said on Tuesday. He explained that the amendments to individual laws could take longer periods.
"This week will be a show of commitment by member states, but full implementation and removal of barriers may be realised around 2015," said Kingi.
While the latest move is notable and that to most ordinary citizens of the EAC Partner States July 1, infers the free movement in the region, national passports and the East African passport travel documents minus visas would still be required.
This free movement will, however, be further facilitated when all the Partner States introduce Third Generation (Machine Readable) identity cards. Only Rwanda has such an ID in use.
Kenya is about to introduce one in July this year. Tanzania and Uganda are in the process of introducing such IDs as well. Burundi has stated it would be in a position to follow later. Currently Rwanda and Kenya are leading the elimination of work permits, at a bilateral level, between them.
In the case of Rwanda, the elimination of work permits is extended to citizens of EAC Partner States.
An important element in the process of elimination of work permits, wholly or partially, is the conclusion of the Mutual Recognition of Academic and Professional Qualifications.
The EAC, through its institution, the Inter-University Council of East Africa, has reached an advanced stage in setting up a mechanism through quality assurance that will form the basis for determining such mutual recognition.
A related issue is mutual recognition of accreditation of higher education institutions, which would remove the regulatory requirement of tertiary education institutions moving across borders applying for fresh accreditation.
The EAC is also working towards the harmonisation of social security benefits to support the free movement of labour. Negotiation is already at an advanced stage in this area.