By Naome Namusoke/ KMA updates
The East African Legislative Assembly (EALA) has passed the East African Community (EAC) Customs Management (Amendment) Act, 2025, a key milestone in the region’s efforts to enhance trade facilitation, improve efficiency at border points, and strengthen regional economic integration. The Act now awaits assent by the EAC Heads of State before it becomes a binding regional law.
The East African Business Council (EABC), the umbrella body representing the private sector within the EAC, played an active role in the amendment process by collecting and submitting proposals from private sector players across member states. These proposals were analyzed and incorporated into the final version of the Act by the EALA Committee on Communications, Trade, and Investment (CTI), ensuring that the new law reflects the realities and needs of businesses operating across the region.
The amendments come at a time when intra-regional trade within the East African Community has continued to grow steadily. According to data from the EAC Secretariat, intra-EAC trade reached an estimated USD 11.7 billion in 2024, up from USD 9.8 billion in 2022, representing a growth rate of about 19%. Despite this progress, challenges such as customs delays, high transport costs, and non-tariff barriers continue to constrain full trade potential, limiting the region’s competitiveness in global markets.
The East African Community Customs Management (Amendment) Act, 2025, seeks to address these challenges through key reforms that align with international best practices and the region’s digital transformation agenda. Among the notable reforms are the deployment of customs officers across partner states at the first point of entry, which is expected to streamline clearance procedures and reduce duplication. The Act also provides for the recognition of electronic records and digital documentation, a shift that will modernize customs processes and cut down on paperwork, improving both transparency and efficiency.
Additionally, the new law strengthens provisions for risk management and trade facilitation, ensuring that compliant traders benefit from faster clearance processes. It also updates existing procedures related to bonded warehouses, exemptions, and customs valuation to enhance fairness and predictability in customs administration.
A significant feature of the amended Act is the introduction of duty waivers under specific circumstances to address production shortfalls within the region. This measure is expected to support local industries by enabling manufacturers to import essential inputs without facing cost barriers during periods of supply disruption. The law further enhances provisions supporting the implementation of the Single Customs Territory (SCT) and Special Economic Zones (SEZs), both of which are central to the EAC’s goal of promoting industrialization, investment, and value addition.
Once enacted, the law is anticipated to significantly reduce border clearance times, lower trade costs, and promote smoother movement of goods across partner states. Regional analysts estimate that full implementation of the amendments could reduce cargo dwell time at key entry points by up to 40% and lower logistics costs by about 15%, boosting the region’s attractiveness as a trade and investment destination.
The East African Business Council has applauded EALA for passing the amendments, noting that the reforms demonstrate the region’s commitment to fostering a more predictable and business-friendly environment. The EABC also emphasized that the private sector remains a key driver of regional integration and that continuous collaboration with policymakers will be essential to achieving the EAC’s vision of a fully integrated single market.
The East African Community Customs Management (Amendment) Act, 2025, once assented to by the Heads of State, will mark an important step toward harmonizing customs laws, accelerating the realization of the EAC Common Market, and strengthening the region’s collective position in global trade.
