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East African community dialogue calls for stronger regional action to boost industrialisation

20 February, 2026
East African community dialogue calls for stronger regional action to boost industrialisation

Kigali, Rwanda, 20 February 2026 (ECA) - The East African Community (EAC) convened a two‑day Multisectoral Dialogue in Kigali to address persistent barriers affecting regional trade and to accelerate the implementation of the Customs Union and Common Market protocols. The meeting brought together senior government officials, technical experts, and private sector leaders from all eight Partner States to discuss practical steps that will translate regional legal frameworks into real economic gains.

In his keynote address, Mr. Andrew Mold, Director of the United Nations Economic Commission for Africa (ECA) in Eastern Africa, delivered a presentation titled “Contemporary Challenges to Achieving the Objectives of the EAC Industrialisation Strategy 2012–2032 – Still Running up that Hill?” He noted that although the region has outlined a clear vision for building “a modern, competitive, and dynamic manufacturing sector,” it remains off‑track in meeting several long‑term development goals.

The EAC Industrialisation Strategy (2012–2032) sets bold targets, including increasing manufactured exports to 60% of total merchandise trade and raising local value addition from 8.6% to 40% over the next decade. However, Mr. Mold highlighted some of the challenges  to attaining these targets, noting that “in recent years, manufacturing across the region has either been  stagnating or declining as a percentage of GDP.” He noted that approximately 60% of the region’s manufacturing output is concentrated in food and beverages, with alcoholic beverages alone accounting for at much as a third of this total. As a result, unmet demand is increasingly being filled by external producers.

Indicative of these competitive pressures, Mr. Mold further observed that the combined share of imports from China and India has grown to about 35% of the region’s total imports— despite the existence of the EAC Common External Tariff. He urged the development of strategies  to recapture the regional market to reduce the widening gap between domestic demand and local production. Citing Kenya as an example, he noted that the country sends 45% of its exports to African markets compared to 21% to Europe, resulting in a strong US$1.2 billion trade surplus with the continent.

“The goal of the market recapture approach is to transform the EAC into a seamless, inclusive, and competitive market capable of unlocking the region’s full industrial potential,” he said.

Building a Resilient Regional Market

The Dialogue was attended by Rwanda’s Minister of Trade and Industry, Mr. Prudence Sebahizi, and EAC Secretary General Ms. Veronica Nduva. Minister Sebahizi reaffirmed Rwanda’s commitment to reducing logistics costs and strengthening digital systems to ensure that trade moves “at the speed of business.”

Participants emphasized the need for harmonised regulations, stronger political will, and coordinated infrastructure investments to unlock regional value chains and enhance competitiveness.

The Dialogue concluded with a call for the EAC Council of Ministers to adopt stronger enforcement mechanisms and accelerate the operationalisation of regional trade remedies to safeguard local industries and promote fair competition across the bloc.

Issued by:
Communications Section
Economic Commission for Africa
PO Box 3001
Addis Ababa
Ethiopia
Tel: +251 11 551 5826
E-mail: eca-info@un.org