Uganda –Kenya bilateral relationship spots for greater regional trade opportunities

Uganda –Kenya bilateral relationship spots for greater regional trade opportunities

Last year the Uganda National Chamber of Commerce and Industry (UNCCI) organized and hosted the Kenya-Uganda Business Forum at Kampala Serena Hotel to address trade relations between Kenya and Uganda. The programme which included bilateral talks co-Chaired by both Trade Ministers in the respective countries Hon. Amelia Kyambadde and Amb. Dr. Amina Mohamed aimed at ensuring improved business conditions for the private sector to work more effectively and conductively, through more meetings for Business and Government. The bi-national relationship coagulates and positions the countries for regional trade opportunities negotiated at government levels such as the recent Memorandums of Understanding signed by Qalaa Holdings with the Egyptian export council for chemicals & fertilizers; and Expo One, a company that manages and organises local and international trade fairs.

Karim Sadek addressing the media at the signing ceremony (4)Qalaa Holdings, the parent company of Rift Valley Railways (RVR) signed these Memorandums of Understanding and gave RVR a mandate as the official Inland transportation carrier for Egyptian Exporters of chemicals & fertilizers, and also promote its services at local and international trade exhibitions. While addressing journalists at a press briefing during the signing, Qalaa Holdings Managing Director for Transportation and Logistics Mr. Karim Sadek noted Egypt and East Africa would mutually benefit from the agreements signed. “We look forward to seeing these MoUs transform into official agreements in the near future as we truly believe that they will be a win-win proposition for both Egyptian exporters and Rift Valley Railways. Our competitive, reliable and volume driven pricing for inland transport will help open up new markets for Egyptian exporters in East Africa.” “RVR’s move into a contract-based revenue model, with incentives to clients based on higher volumes, will set a precedent that can be applied to other countries that trade with Kenya and Uganda,” added Sadek.

At the moment, RVR is the most efficient, cost-effective and environmentally-friendly mode of transporting goods in East Africa. The railway offers a unique door-to-door transportation and customs-clearance service through its subsidiary East Africa Rail and Handling (EARH) that can help exporters tap into new markets and grow the volume of intra-regional trade.

RVR is in the final stages of implementing a successful US$ 287 million capital investment and turnaround program that began in January 2012 to revitalize the railway. Since the start of the renewal program, the company has invested the above mentioned amount in modern rail operating technology, rebuilding infrastructure, expanding haulage capacity and developing modern rail operating skills in RVR’s 2,000 strong workforce. Today RVR is seeing improved safety and reliability, increased capacity and a significant improvement in the overall efficiency of the operation.

RVR’s Chairman Titus Naikuni said, “Becoming the official inland transportation carrier for an Egyptian export council is a significant step that will help lead the way to broadening and deepening trade and investment between Egypt and East Africa. We are also pleased to be entering into a cooperation agreement with a company like Expo One to develop larger volumes of trade and highlight the benefits of rail transport.”

 


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