CS says one stop border posts a boost to intra-EAC trade

East African Community Cabinet Secretary Rebecca Miano. [Elvis Ogina, Standard]

The East African Community Cabinet Secretary Rebecca Miano has told the Senate that One Stop Border Post (OSBP) projects have transformed the way business is conducted in the region.

Ms Miano who appeared before the Senate National Cohesion and Integration Committee chaired by Mohammed Chute (Marsabit Senator) in Nairobi yesterday said that the OSBP projects have ensured ultra-modern facilities at the borders.

She told the committee that there is efficiency at the borders with clearance of a cargo truck reduced from approximately three days to between 30 minutes and 3 hours.

"Similarly cargo going through has increased with borders like Malaba, Busia and Namanga performing exceedingly well, in terms of clearance of persons this has reduced to a maximum of 5 minutes per person, there is an elaborate expeditious joint performance of controls by border regulatory agencies of adjoining states at each One Stop Border Post facility," she said.

The CS noted that there is enhanced cross border cooperation under coordinated border management and enhanced peaceful coexistence.

However, she said there are challenges in the establishment of OSBPs in the region.

Miano noted that the financial outlay for establishment of OSBPs is colossal as one facility costs approximately Sh1 billion.

She admitted that mobilisation of financial resources is a big challenge and the construction of present OSBPs was funded by development partners.

The CS said harmonisation and ratification of legal framework by EAC member states desiring to establish OSBPs to accede to the principle of extraterritoriality must be anchored in law.

"One Stop Border Posts operations including maintenance require colossal financial resources. On average the operations and maintenance budget for one OSBP is Sh40 million per year," she said.

She revealed that to address various challenges the government continues to avail budget for establishment and maintenance of the critical infrastructure besides continuing to source additional funds from development partners.

Miano told the committee that the OSBPs are central to economic interests with the Kenya's share of intra-EAC trade exports dominating the region citing 2014 to 2018 where the country's share of intra-EAC trade was on average worth Sh205 billion.

The CS said the intra-EAC trade in which Kenya is leading is majorly facilitated by Lunga Lunga-Horohoro, Taveta-Holili, Namanga, Busia, Malaba and Isibania-Sirari OSBPs with need to continuously upgrade them to international standards in line with strategic objectives of The Plan and the World Trade Organisation.

"The EAC partner states agreed to construct Juxtaposed Border Posts since it requires a dedicated facility in each country with a common control zone, each serving one direction of traffic in this regard Kenya established OSBP facilities at seven points of entry," said Miano.

She noted that Taveta-Holili OSBP was constructed with support from TradeMark Africa and commissioned at the Heads of State level on February 27, 2016 while the Lunga Lunga-Horohoro OSBP was established with support from World Bank and It has been operational since September 1, 2021 awaiting official commissioning.

Miano said that the Namanga OSBP established with support from Africa Development Bank was commissioned on December 1, 2018 at Heads of State level while Isibania-Sirari OSBP established with support from World Bank has been operational since March 3, 2023 on pilot basis awaiting official commissioning.

She noted that the Busia OSBP was established with support from World Bank and TradeMark Africa and was commissioned at Heads of State level on February 24, 2018 while the Malaba OSBP was established with support from World Bank and has been operational since 2017 on pilot basis awaiting official commissioning.

"The Moyale OSBP established through bilateral agreement between Kenya and Ethiopia was established with support from Africa Development Bank was commissioned on December 9, 2020 while Suam OSBP in Trans Nzoia county is under construction," said Miano.

She said that new OSBPs have been proposed to be established at Ilasit-Tarakea, Lwakhakha, Lokiriama/Moroto, Rhamu, Illeret, Nakodok and Todonyang while more will be established at other points of entry to deepen regional and bilateral relations between EAC member states.