The United Kingdom has lobbied the East African Community (EAC) to reduce the duties it imposes on whisky in exchange for lowering phytosanitary checks on the region’s exports to the UK.

In a major move, the UK has already reduced inspection rates for Kenyan snow peas, slashing the rate from 10 percent to five percent of total consignments.

This move is expected to cut costs for exporters and boost the competitiveness of Kenyan snow peas in the UK market.

In return, Kenya has reduced the tax on UK-made alcoholic beverages from 35 percent to 25 percent as a reciprocal gesture.

The UK Ambassador to Kenya, Neil Wigan, confirmed that discussions with EAC officials are ongoing to facilitate a broader tax reduction on whisky imports given that Kenya operates under the EAC customs that imposes a duty on goods coming outside of the region under the Common External Tariff (CET).

“We have sent a letter to the EAC regarding this because we also want to sign a trade deal with the region,” Wigan said.

The UK is also set to begin negotiations with other EAC member states to secure duty- and quota-free access to the UK market.

This move is seen as part of a broader strategy to ensure UK goods gain easier entry into the EAC, which comprises eight member states.

However, some EAC countries have previously opposed Kenya’s special trade deal with the European Union, arguing it could open the door for Europe to dump goods in the region.

Kenya, operating under the EAC customs union, adheres to the CET which mandates that any duty imposed on goods from outside the region must be agreed upon by all member states.

gandae@businessdayafrica.org