Transporters concerned with Zambia exclusive right

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Transporters concerned with Zambia exclusive right
Transporters concerned with Zambia exclusive right

Africa-PressTanzania. TRANSPORTERS in the country have asked the government to consult Zambian authorities to review some of its laws and regulations which grant exclusive rights to Zambian transporters to transport goods to and from Zambia.

They are of the opinion that if the Zambia laws are not eased they are likely to paralyse transportation sector in the country.

Tanzania Truck Owners Association (TATOA) Vice Chairperson Elias Lukumay said there is pressing need for the government to intervene into the matter so that business could continue as usual for the betterment of the two sides.

Zambia’s new law on Citizens Economic Empowerment (Transportation of Heavy and Bulk Commodities by Road) (Reservation) Regulations, Si No. 35 of 2021 (the “Reservation Regulations”) was signed on 30 April 2021, pursuant to section 21 of the Citizens Economic Empowerment Act No. 9 of 2006 (the “CEEA”). Section 21 of the CEEA empowers the President, via Statutory Instrument, to reserve specific areas of commerce, trade, and industry for targeted citizens, citizen empowered companies, citizen influenced companies and citizen owned companies.

The new law and its regulations says it is a requirement that at least 50 per cent of commodity being transported from Zambia to another country must be transported by a local road transporter i.e., either by a citizen empowered company, citizen owned company, citizen influenced company, or by a targeted citizen.

Mr Lukumay said the decision is likely to affect businesses at Dar es Salaam port and asked the government to resolve the matter. He said according to the new rules, its is required that 50 per cent of the cargo hauled to and through Zambia, must be done by Zambian citizens only while other 30 per cent are to go by railway through Tanzania Zambia Railway Authority and only 20 per cent will be left for foreign trucks including those owned by Tanzanian companies. “This has serious consequences on transportation sector value chain. For example two million litres of oil every day are transported to or through Zambia from Dar port everyday, where many direct and indirect jobs are created,” said Lukumay.

Mr, Lukumay said Zambia is the second country in receiving cargo cleared at Dar es Salaam port after the Democratic republic of Congo (DRC).

He said imposing such laws is not healthy for the business. During the press conference, the Tanzania Freight Forwarders Association (TAFFA), was represented by its executive secretary, Mr Elitunu Mallamia who requested the government to immediately respond on the matter.

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