What's next for Tanzania maize after Kenya ban?

Last week, Kenya issued an immediate ban on maize imports from Tanzania and Uganda, citing high levels of mycotoxins that exceed safety limits. Lawrence Mlaki, an Economic Analysis and Financial Consultant, discussed the implications of the ban on Tanzanian maize exports. Maize, a crucial crop in Tanzania, is not only a staple for the population but also a significant source of export revenue. Tanzania is the largest maize producer in East Africa, with nearly 3.5 million people involved in its cultivation. In 2019, the value of maize exports from Tanzania was approximately $59.9 million. The ban by Kenya, one of the major export markets for Tanzanian maize, poses challenges for the country's agricultural sector. About 70% of Tanzania's national food reserve consists of maize, with around 20-25% of exports traditionally going to Kenya and Uganda. The sudden ban raises concerns about the livelihoods of Tanzanian farmers and the broader regional trade relationships. Mlaki criticized Kenya for not following proper protocols in implementing the ban, stating that the issue was not formally communicated to the Tanzanian government. He highlighted the potential negative impact on trade relations within the East African Community (EAC) if such actions continue without mutual agreement. While some regions in Tanzania, like Tanga, may still find ways to export maize to Kenya through alternate routes, the overall disruption in trade is a cause for alarm. Traders who had already purchased maize from farmers may face challenges in fulfilling their delivery orders to Kenya. The ban serves as a wake-up call for both countries to prioritize adherence to EAC trade protocols and resolve disputes diplomatically. Mlaki emphasized the need for a swift and diplomatic resolution to prevent further disruptions in the vital maize trade between Tanzania and Kenya. Furthermore, with the African Continental Free Trade Area (AfCFTA) recently launched, Tanzania is evaluating its participation in the agreement. While the country has not yet signed the agreement, officials are monitoring the implications carefully to ensure it aligns with the country's economic interests. The ban on maize imports from Tanzania and Uganda underscores the complex interdependence between East African nations and the importance of clear communication and adherence to trade agreements to avoid future disruptions.