East Africa unlocks opportunities for small-scale traders at Taveta border

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Trade transactions with Tanzania through the Taveta–Holili One-Stop Border Post (OSBP) have reached record levels as micro, small, and medium enterprises (MSMEs) leverage trade facilitation measures under the East African Community (EAC) framework.

Kenya Revenue Authority (KRA) data shows that between July 2024 and December 2025, a total of 9,660 Simplified Certificates of Origin (SCOs) were issued to Kenyan traders exporting goods to Tanzania. 

The simplified certificates enable traders to enjoy import duty-free access for qualifying goods of value up to Sh250,000 under the EAC simplified trade regime. However, local taxes, including excise duty and VAT, are payable where applicable.

Records show that during the period, key exports from Kenya included margarine, cosmetics, spices, household utensils, mattresses, window glass, steel wire products, and other manufactured goods.

Similarly, Tanzania Revenue Authority (TRA) issued 465 Simplified Certificates of Origin to traders exporting goods into Kenya, with agricultural produce accounting for the majority of exports. The continuous growth in cross-border trade is clearly reflected in the surging cargo volumes at the Taveta One-Stop Border Post (OSBP). 

During the first half of the 2025-2026 financial year which was between July and December 2025), the facility processed 17,005 trucks, comprising 14,898 transit and 2,107 export vehicles. 

Commissioner of Customs and Border Control, Dr Lilian Nyawanda, noted that this represents a solid 7.57 per cent increase (1,197 additional trucks) compared to the 15,808 trucks cleared during the same period in the previous financial year. “Notably, this impressive six-month throughput already accounts for 54.7 per cent of the total truck traffic (31,041) recorded throughout the entire 2024-2025 financial year, signalling a robust and accelerating upward trend in regional commerce,” Nyawanda stated.

Market opportunities

Under the EAC Simplified Trade Regime, small-scale traders benefit from duty-free import and export privileges for consignments of value up to $2,000 (Sh250,000), provided they obtain a Simplified Certificate of Origin from the originating country. 

In a statement, Dr Nyawanda noted that the initiative has significantly reduced the cost of doing business, expanded market opportunities, and strengthened economic ties between border communities in Kenya and Tanzania.

She said KRA was encouraging residents and entrepreneurs in both countries to take full advantage of the incentives available under the EAC framework to grow their businesses and participate more actively in regional trade.

The authority also urges traders to use official entry/exit channels and comply with customs regulations, noting that smuggling exposes businesses to unnecessary risks and undermines fair trade practices.

Beyond revenue collection, KRA continues to play a critical role in trade facilitation by simplifying customs procedures, enhancing compliance systems, and promoting seamless movement of goods across borders.

Through the One-Stop Border Post initiative, she noted that traders benefit from faster clearance processes, reduced administrative burdens, and improved coordination among border agencies. 

“The days of border agencies working in isolation are behind us. We have moved beyond a whole-of-government approach to a whole-of-society approach, where government institutions, the private sector, clearing agents, and border communities work together to promote compliance, facilitate trade, and drive shared economic prosperity,” she said.

To strengthen this collaborative ecosystem, Nyawanda noted that KRA hosted a stakeholder engagement and team-building programme in Taveta. 

The biannual initiative brought together representatives of government agencies from Kenya and Tanzania and private stakeholders.

“Our goal is to strike the right balance between safeguarding our borders and facilitating legitimate trade and travel. By empowering small-scale traders, we are helping expand economic opportunities, create jobs, and accelerate regional integration. These traders are a vital engine of economic growth and prosperity within the East African Community,” she said.