Home » Africa: In effort to increase trade and lower energy costs between both countries, Tanzania and Kenya set to construct a 600 kilometers natural gas pipeline

Africa: In effort to increase trade and lower energy costs between both countries, Tanzania and Kenya set to construct a 600 kilometers natural gas pipeline

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Tanzania

After bilateral talks in Dar es Salaam led by Tanzanian President Samia Hassan and Kenyan President William Ruto, during a two-day visit, both countries have agreed to fast-track construction of a natural gas pipeline designed to increased trade and lower energy costs between both countries.

According to Africa.com, the two countries have generally maintained positive ties in politics and trade but have occasional trade spats. Tanzania imposed a 25% import duty on Kenyan confections in 2020, saying the country used zero-rated industrial sugar imports to produce them. In another dispute, Kenya banned Tanzanian tour vans from accessing the Maasai Mara National Reserve, arguing that Tanzania had banned Kenyan operators from accessing the Serengeti National Park.

READ: Africa: TANZANIA, The Royal Tour Campaign comes To 18th Akwaaba Travel Market 2022 in Lagos

These differences were resolved when Tanzania’s Hassan visited Nairobi last year to meet with Kenyatta. There were 68 trade barriers identified between Tanzania and Kenya at the time, Hassan said, and 54 of those non-tariff barriers were resolved. Ministers in the trade and investment sector have been tasked with working to resolve the remaining 14 barriers, Hassan said. The projected natural gas pipeline would run for about 600 kilometers between Dar es Salaam and Mombasa. There is no projected completion date.

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