The 'Trading for Peace' Forum in Kasese and COMESA Simplified Trade Regime (STR)

(Participants on the last day of the COMESA USAID DFID and GOU "Trading for Peace" Forum)

While the First COMESA – EAC – SADC Tripartite Summit (with the theme: ‘Deepening Integration’) was going on at the Commonwealth Resort Munyonyo (Kampala), another kind of forum was taking place in Kasese, Western Uganda. Organised by COMESA, DFID (UK Department for International Development) and USAID (United States Agency for International Development) in partnership with the Government of Uganda, the ‘Trading for Peace’ Meetings at Hotel Margherita between Monday 20th to Thursday 23rd October 2008 provided insights about the future of trade between Uganda and DRC plus how trade reform can help stabilize the region. On Friday 24th October 2008, a trade fair was held at Bwera Primary Teachers’ College and brought together traders, officials and experts from different countries including Zambia, Burundi, Rwanda, DR Congo, USA, UK and Uganda. The forum on the first two days focused on the specific theme of “Timber Trade and Livelihoods”. It examined the mechanisms of forestry exports from DRC to Uganda; the way traders and officials bypass the law; the way local communities in the DRC make a living from this trade and possibilities for reforming the timber trade in a sustainable way which does not destroy livelihoods. A specific focus was to examine alternative ways of access to finance amongst populations dependent on the timber trade in order to reduce their dependence on powerful traders’ vested interests. The keynote presentations on Day One was made by Stuart Wilson, Forest Monitor UK; Victor Kasereka Siviri, ex head FEC Butembo; Hilary Sunman of DFID – UK and Ir. Gustave Chishweka Lubala, Great Lakes Human Rights Program. Day Two started with the presentation of results from the written exercise of Day One before Group Discussions were reconvened (Dominic Johnson [Researcher Pole Institute Goma, Democratic Republic of Congo] chaired the theme for Security, Sophie Monnet [COMESA ‘Trading for Peace’ Project Coordinator] led the talk about Information while Stuart’s group talked about Environmental Protection).

Winnie Kizza MP Kasese commented, “Information should be discussed in detail…You must know what taxes you have to pay…Middlemen will try to get something out of you; taxes and people handling them should be clearly identified…”. When called upon to give concluding remarks she said, “I’m happy to be with you in Kasese…Yesterday, I told you that your security was guaranteed and I’m proud that I can see everybody happy. I don’t forget to thank the delegates…for the contributions…to make trade a better thing. Ministers are meeting in Munyonyo and tomorrow the Heads of State will concretize what the ministers have discussed…It’s by coming together that we will understand each other. If trade is to be profitable there must be…trust, peace and security. This Trade for Peace Forum is timely…Give this forum maximum support when you go back to your country. Kasese will always be open…”

In an interview with International Alert (Understanding Conflict, Building Peace) Nick Bates, a Political Analyst at DFID – UK, revealed that the next theme for probably January 2009 will be the needs for energy and where it can come from. There is a global imperative to manage forests. Congo Forest is the second largest in the world. These meetings should “empower societies in challenging government”. Nick’s conclusions on the discussions included the following points of action: Mutual mistrust – People being unaware of what’s happening on both sides, there is need to talk at several levels…Need for better information and its dissemination (Two key things that have come out of discussions); Consultation framework needed; Discussion framework for issues; Talk across borders…
“We need to collectively as stakeholders work out mechanisms for meeting. There is a strong case for meeting at localized levels e.g. in Kasese meeting with brothers in North Kivu, Arua and across the border. These need to continue.”
Day 3 witnessed the official opening of the COMESA Simplified Trade Regime (STR) Workshop. Helen Kenani [COMESA Senior Trade Expert] represented the Secretary General by chairing the deliberations alongside Davies Bamuleseyo [Principal Commercial Officer Ministry of Tourism, Trade and Industry (Uganda)]. The following day, the STR was reviewed with the well illustrated handbook “Making Cross Border Trade Simplified” and a way forward was discussed with the aim of making the STR operational at the Mpondwe/ Kasindi Border Post. Objectives of the forum included creating an open space for dialogue between officials related with trade and cross border traders; to disseminate the COMESA STR; to build networks for trade facilitation and information sharing eg people at Bwera go regularly to Mpondwe; to offer traders (35 each from Congo and Uganda) an occasion to promote their business whether traded commodities or services through a trade fair. Some participants wanted immigration officials and key stakeholders like URA officers to attend their forum so that their achievements are not derailed by their absence. So on the final day, Kisitu Asadu Kigozi (Customs Officer Mpondwe) showed up for a heated interchange. Traders most especially women complained that several payments are made; Ugandan traders are not allowed to trade freely in Congo, can’t be allowed beyond Kasindi; their personal effects are even taken when they are arrested after checks; sometimes COMESA Certificates of Origin are not even recognized. For the last grievance, Kisitu replied, “Customs has signatories from all COMESA countries…” Drafts to end the issue of common lists and bring integration to life were exchanged between the Congo and Ugandan contingents. National working groups would finalise work on these documents. The chairperson advised that customs officials shouldn’t be looked at as askaris and neither should traders be looked at as culprits. Each should view the other as a partner in trade. The entire programme was aimed at understanding the role of trade in peace-building and poverty reduction in the Great Lakes Region.

Can the Financial Services Industry Eradicate Poverty?

Robert Kiyosaki, the author of best selling wealth creation book “Rich Dad, Poor Dad” once advised that “If you want to be rich, listen to a rich person. “Cash Flow Quadrant”, “The Millionaire Mind” plus “Rich Dad’s Guide to Investing” are also valuable books that can help you get more from this life. But you might say that you have read all of them yet you are still unhappy. Don’t you think the financial services industry is the answer? Can’t they really eradicate poverty since they have finances? Well, if you give a man a fish, he will eat to his fill in one day but if you teach him how to fish, he will enjoy for the rest of his life span. It is better to teach the public how to raise fish (or capital or any other critically key resource for that matter). Today, Financial Service Providers will not only give you loans but also teach you how to eradicate poverty.

Dubbed “the Largest Financial Exhibition of the Year”, the three-day 9AM to 1 PM Standard Chartered Financial Literacy Week (Wednesday 24 to Friday 26 September 2008) at Imperiale Royale Hotel was a well attended Workshop. I’m still wondering why about three fellows were bounced on the first day simply because they were considered non members yet the workshop was open to the public. Early on Thursday – Day 2, I went to Level 4 of Karim’s new hotel while Sudhir Ruparelia, one of Uganda’s Richest was getting ready to open KISU, his grand Kabira International School Uganda somewhere in Bukoto (I wish I was there to listen to him) and only enjoyed the grandeur of the Royale interior decos plus refreshing lights. The receptionists are great but the room keepers need to be a little less uptight. Participating Corporates included - in no particular order - Standard Chartered Bank (of course), Diamond Trust Bank, Business Week Newspaper, Capital Markets Authority, Housing Finance, NSSF (They weren’t selling the Temangalo Land by the way), Tirupati Development (U) Ltd, Mama Tendo Foundation (Making early years count), Enterprise Uganda, Mortgage Association of Uganda, African Alliance (for Advisory Services, Asset Management, Corporate Finance, Private Equity, Securities Trading, Structured Finance, Unit Trusts, NTV and New Vision)

Scheduled talks on Wednesday were by Mr. Japheth Katto, CMA on “How the Capital Markets can Eradicate Poverty and increase Domestic Savings”. Mr Lawrence Mukiibi of St. Lawrence talked about the topic “Education: A Tool for Financial Empowerment”. His students are truly empowered.

Thursday had Mr. Gary A. Fitchett CA, Financial Specialist talking about where you go when the bank says “NO” while Mr. Charles Ocici, Enterprise Uganda put “How to Craft Lasting Business Partnerships” on the table and Mr. James Semakade, an Entrepreneur finished with how to “Transform your Business ideas into Market Realisation.

Friday, the third and last day had Pr. Michael Kyazze, Omega Healing Center preaching about “Business Principles to Prosperity; Prof. Peter Kasenene, a Leadership guru talking about the topic “If you can define it, you can have it” and the Presentation Guru, that is if you ask me, Mr. Peter Kimbowa (PK), IFE Consult talking about “Financial Reliance: Discover newer heights” Other renown local speakers included Mr. Patrick Bitature, Simba Telecom (Business: A Life Skill for financial freedom); Mr. Jaamwa Chandi, NSSF (Savings: A Must for all to achieve Financial Independence) and Mr. Harshad Barot, Tirupati Group (Doing Business in Uganda with Indian Business Principles). You need to attend such financial workshops with a clear vision of what you want to gain from them. Otherwise you may come out as illiterate as you walked in. Besides, you could in addition ask Sudhir how to get money for a Range Rover like his sleek grey one.

DVDs of all the three sessions are available on sale (Probably at only 60,000 UgX). For more information, please call (256)312-277888, (256)772-212384 or (256)772-625757…

Intergovernmental Standing Committee on Shipping

(A representative from the Kenya Shippers Council [extreme left], Omar Kassim, Second Left [Uganda National Chamber of Commerce and Industry], Jad Johnsons Tabule [UCIFA Secretary General] and Lino Criel Icila [UCIFA Member] listen attentively to John O. the Commercial Shipping Manager of KMA)

On Thursday 21st and Friday 22nd August 2008, ISCOS, Kenya Maritime Authority (For Safety and Reliability), and Kenya Shippers Council facilitated an Incoterms 2000 Awareness Workshop at the Ministry of Transport and Works Training School, Kyambogo. Distinguished institutions and companies represented were Uganda Clearing and Forwarding Association (UCIFA), Uganda Revenue Authority (URA), Mukwano Industries, Ministry of Works and Transport (MWT), Ministry of Tourism Trade and Industry (MTTI), Export Promotions Board (EPB), Uganda National Chamber of Commerce (UNCCI), Uganda Railways Corporation (URC) and the ISCOS Secretariat.

The ‘Introduction of Incoterms’ presentation was done by ISCOS while a representative from KMA presented the Benefits and Use of appropriate Incoterms 2000. The vision of Kenya Maritime Authority is “to have in place a dedicated and specialized regional organization to cater for an internationally competitive, safe, secure, economical and environmentally sound regional maritime transport practices”. Its Mission is to Facilitate and Complement efforts of the Member States to: Achieve competitive maritime freight rates; Safe and secure shipping services; Create a conducive environment for Private Sector investment in shipping; Endeavour to implement harmonized shipping policies; Coordinate maritime pollution issues; Encourage the Development of indigenous MTOs; Promote Gender Equality and Coordinate efforts to fight HIV – AIDS and other pandemics. “Incoterms” stands for “International Commercial Terms” devised by the International Chamber of Commerce (ICC). ICC was formed in 1919 to serve world business by promoting trade and investment, open markets for goods and services and the free flow of capital. Organisation has its headquarters in Paris, France. Initially, ICC represented private sector in Belgium, Britain, France, Italy and the United States. The membership has expanded over the years to represent worldwide business organizations in around 130 countries. There are 13 commonly used incoterms – rules of trade logistics that describe the responsibility of the buyers and sellers in delivery of physical goods. In essence, they are definitions and guidelines for sales contracts. They essentially address fundamental issues of cost and risk allocation in total logistics.
For more on the ‘Importance of Incoterms 2000’, contact John Mwanza, ISCOS Secretariat Director of Shipping and Liaison, Telephone: +254 41 470644, +254 722 207940, +254 20 2352936; Fax: +254 41 470643, or Email: iscos@ikenya.com. His personal contacts are Telephone: +254 722 502718, +254 736 758893 or Email: johnmwanza2008@yahoo.com. The ISCOS Secretariat Mail Box is 89112 (80100) Mombasa, Kenya.


“You will have a lead time if you take charge of the logistics …” –Mr. John O., Commercial Shipping Manager KMA gave the presentation.
Incoterms erase misunderstandings between the buyers and sellers. Incoterms focus on responsibilities. They deal with insurance of risks between buyers and sellers.
After KMA’s presentation, Omar Kassim – UNCCI - filled the gaps by remarking, “… Yesterday, I was having an argument and need to concur that ICD means Inland Cargo Depot and not only a container depot because we find trucks and cargo in there … We need to know more about the Marine Clauses to help traders. They are very protective of the cargo carrier but not the buyer. Insurance should apply its role (in tackling the small risks on the high seas not only on land) … Terminologies such as ‘Inland Haulage’ and ‘On Carriage’ should be featured out.”

The Commercial Shipping Manager KMA responded to Omar’s inquiry by narrating how rules came about, “The Hague Vispy was spearheaded by ship owners. They always look for ways to protect themselves. They picked on terms where cargo owners could not be helped … Then came a different board. The cargo owners sat in Hamburg to discuss rules countries could adopt. They felt they did not need to sit down and pray in situations of natural disasters at sea hence the Hamburg Rules (favourable to cargo owners)

After lunch, comments were made by the Kenya Shippers Council before plenary discussions and a look at the way forward for shipping.

UCIFA Day 2008

Kargo PICTORIAL


(The March through Entebbe Town)


(UCIFA Employees shine in their corporate attire beautified by the new colour logo)


(The KACITA Spokesperson gives his speech)






Due to personal hesitation, I dearly missed the 2008 UCIFA Day at Entebbe's Libyan Hotel near Lake Victoria on 27th July but the Secretary General of the Kampala Branch got a number of good photos of what took place. [Above are a few of them]

The theme was "A Professional Link of Traders to Collectors". The Guest Speaker was Mr. Ocici of Enterprise Uganda. P.K.(the famous Peter Kimbowa) was there again to give an educative and inspiring presentation; he is like UCIFA's second nature now. KACITA Spokesman Issa Ssekito also said a word as he always does wherever he goes.

After the workshop, there was a march through Entebbe Town and then games and entertainment; the men played soccer while ladies tussled it out in netball...

Uganda’s Number One Software for Micro-Finance

Loan Performer (LPF) is a first-class management information system for Microfinance businesses. It is user friendly, affordable, efficient, cost effective, full of features and its support is excellent. Crystal Clear Software, a company on the 3rd Floor of King Fahd Plaza, Kampala Road intends to make LPF the standard for microfinance. LPF has been on the market for 10 years. Over 200 micro-finance organisations have obtained this software. Loan Performer has established itself as a secure, trustworthy and reliable micro-finance software. In 2003, it was rated “Best Value for money” by the Consultative Group to assist the poor (CGAP – World Bank); 2004 it won the prize for “Best Software Development” from Uganda Investment Authority (UIA); 2005 it was recognized as the “Number One Exporter of ICT exports” by Uganda Export Promotion board (UEPB) and also received the African SMME Award [for Small, Micro and Medium Enterprises] in the Information, Communication and Technology sector from the African Centre for Investment Analysis of the University of Stellenbosch, Capetown, South Africa. (Below are 21 benefits (@www.loanperformer.com):
It supports different micro-finance methodologies: Individual Lending, Village Banking as well as Solidarity Group Lending.
You can track shares, deposits and loans and it is integrated with a general ledger accounting module. LPF also has an assets module and a debtors/creditors module.
You can define up to 100 different Savings and 100 different loan Products
Group loans can be tracked at group level as well as member level.
You can use it in a centralized environment or on the counter in your branches.
The multi-language facility makes it possible for one user to work with an English interface while another has a French, Spanish or Russian interface, both working with the same database.
Loan Performer has user definable fields for clients and loans so that you can filter reports according to your own criteria.
You can analyse loans according to business sector, client type, loan fund, branch, location, business sector, geographical area (4 levels), credit officer, loan product, loan size, gender classes, loan cycle or your own user-definable categories.
LPF comes with more than 150 first class reports that can be exported to DBF, Excel and PDF format. It is complaint with CGAP’s reporting requirements.
The PMT tool (used in Uganda) is integrated in LPF
Interest on loans can be calculated either as flat rate or on declining balance, amortised or discounted, either all up-front or in equal installments.
Loans can be repaid in cash, by check, from the clients’ savings account or by bank transfer.
Loan Performer can import client data, savings transactions and financial transactions from file (TXT, XLS or DBF) making database conversion a lot easier
Loan Performer can produce loan contracts by linking it to MS Word.
Loan Performer can print notification letters for arrears and add penalties for defaulters automatically
Loan Performer’s General Ledger can produce Balance Sheets and Income and Expense Statements.
Loan Performer can be linked to an external accounting package and export financial transactions.
You can analyse your profitability/ costs by period, branch, savings or loan product or donor.
Loan Performer is password protected. It has 10 user-levels and each menu item can be disabled for each level. Each menu item can be re-labeled.
Loan Performer also comes with a cash module, making cash reconciliation a whole lot easier.
Loan Performer comes with an excellent windows help file

You are a (URA)… Developer of Uganda!

As you diligently pay your taxes (both local and customs), you are a developer of this country together with URA. Set up on 5 September 1991 under the Uganda Revenue Authority Statute (now Act) No. 6 of 1991, URA not only operates as the central body to assess, collect and account for Government Tax Revenue but also enforces related laws.
Its vision is to collect revenue that will fully finance the Ugandan Government’s recurrent and development expenditure by attaining a tax to GDP ratio of at least 24%.
Uganda Revenue Authority’s mission is to maximize central government tax revenue while optimizing resource utilization by ensuring a fair and equitable tax administration with a highly motivated and professional staff. Core values include excellence in service, superior customer care and respect for the individual.
The broad objective of URA is that they are charged with the responsibility of providing the foundation for development through revenue mobilization to: finance current and capital development activities; Increase the standard of living of all Ugandans and reduce poverty in addition to Increasing the ratio of revenue to GDP to a level at which Government can fund its own essential expenditure. During the 2008 PSFU (Private Sector Foundation Uganda) & MTN Trade Facilitation Exhibition at Lugogo on Friday 27 June, URA Commissioner Richard Kamajugo (AC-Trade) conveyed absent Commissioner General (CG) Allen Kagina’s remarks saying that today, URA contributes a very large percentage (above two thirds) of government’s expenditure.
Service delivery has been harmonized and organized into regions [central, eastern, northern & south western] each headed by a manager, one for customs and one for domestic taxes.
For further information about their services, please contact Public and Corporate Affairs Division on Telephone No. 0414 334416/7 or 0414 317012/5 (Toll Free 0800117000)

Government’s Gift to Exporters

Private Sector Foundation Uganda (PSFU) has since June 2005 been implementing the Second Private Sector Competitiveness Project (PSCP II). This is a 5 year World Bank – Government of Uganda project aimed at creating sustainable conditions for enterprise creation and growth. Under its three components – Developing infrastructure and financial services; Enhancing enterprise competitiveness; and Improving the business environment – the project’s various innovative activities are intended to increase value addition, support linkages between enterprises and improve skills for MSMEs. To make this happen, PSFU is working together with Uganda Investment Authority, Uganda Law Reform, Uganda Registration Services Bureau, Uganda National Bureau of Standards, and Ministry of Lands and Urban Development.
“A powerful, distinctive, and appealing national brand in case of the country or company brand, is one of the most valuable gift a government can give to its exporters. Today, branded exports are one of the most potent ways of building and sustaining company and subsequently national image.” The Business Branding Linkages (BBL) Programme is aimed at capturing more value from profit margins associated with branding and marketing.
The expected outcome is that our products will be differentiated from those of our competitors thus making it more difficult for them to compete for our customers. We expect to attract a higher price for our products. This will enable us to communicate with our products using consistent messages and build a positive image for our businesses and our nation.
How is the PSFU going to support this initiative? The program will identify sectors/ firms in the country suitable for branding or with potential to attract incremental benefits as a result of branding and assist them on a cost share basis by: (i) Hiring branding consultants to assist the firm/ sector undertake market analysis in international and regional markets and identify products, market segments where Ugandan producers could successfully penetrate. (ii) Developing branding strategies or campaign. (iii) Working with identified firms/ sectors to the creation of new brands/ sub brands and improve the quality and efficiency along the value chain in order for them to meet the required quality and quantity requirements. (iv) Providing support in respect of the brand related costs arising out of the recommended branding strategy i.e. advertising, marketing campaigns, design of materials/ packaging and creation of branding stories.
Eligibility is based on whether the applicant is privately-owned and is not fully or partially owned by Government; The applicant is carrying out business in the MSME sector with a potential for export to regional or international markets in any category apart from production of weapons, alcoholic beverages, tobacco and gambling; Companies are in compliance with tax and requirements; Cost share basis grants are up to a maximum of USD 100,000
© PSFU Exporters & Importers Directory 2008