East African Community, United Nations Industrial Development Organization team up for industrial development

By Zephania Ubwani | The Citizen, Tanzania

7 April 2015

The East African Community (EAC ) secretariat is collaborating with the United Nations Industrial Development Organization (Unido) to address challenges affecting industrial policies in the region.

The two bodies launched a programme on strengthening institutional capacities for industrial policy management, monitoring and evaluation to enhance competitiveness among the block’s member states.

The overall objective of the programme is to contribute to the strengthening of industrial capacities in EAC Partner States by addressing challenges that have constrained effective industrial policy development/generation, policy performance, monitoring and logic of policy hierarchies, at both national and regional level.

The programme is expected to enhance industrial competitiveness of the region through the evidence–based design and effective implementation of industrial policies and programmes as well as an increased transparency of information on industrial market opportunities for the private sector.

Speaking during the launching ceremony, the permanent secretary in the ministry of Industry and Trade Mr Uledi Mussa, noted that the launching of the programme was timely because all EAC Partner States had adopted some form of a vision which entails the transformation of their economies into middle income and industrialized status.

He commended the work done by the EAC Secretariat which has culminated in the launching of the programme. “Your tireless efforts are highly appreciated by the member countries of the bloc,” he said in Arusha on Wednesday.

Mr Uledi noted that the region had limited choices and focusing on industrial development was the only optimal option for poverty alleviation and solving the rampant unemployment facing the youth in the region.

He said that the importance of the industrial sector and especially manufacturing in the region as well as in individual Partner States was the ability to increase productivity, generate income, reduce poverty and provide opportunities for social inclusion. Mr Uledi disclosed that in the EAC region, the capacity and performance of the public sector that deals with industry related matters is generally low, and as a result, implementation of industry related policies and strategies had in some cases been inadequate.

They are also constrained by a number of factors, including poor governance and ineffective monitoring and evaluation framework.

Given the complex nature of an industrial development policy implementation process, the capacities of both, the EAC Secretariat as well as the key stakeholders in the Partner States require substantial enhancement and upgrading, remarked the Permanent Secretary.

On her part, the EAC deputy secretary general (productive and social sectors) Jesca Eriyo, said although the region had demonstrated progress in its integration efforts, it still faces immense challenges to upscale growth and therefore achieve middle income status.

She disclosed that in the Common Market Scorecard 2014, published in February 2014, the main challenges include; inadequate institutional, national and regional level capacity to domesticate regional policies and inappropriate legal and regulatory frameworks.

Other constraints are low technical standards and capacity; a weak private sector; differences in economic development; weak capacity of implementing agencies; inadequate safeguard measures and dispute settlement mechanisms; and disparities in intra-regional trade.

The EAC Senior Industrial Engineer, Ms Jennifer Gache, she noted that inadequate institutional, national and regional level capacity to domesticate regional policies, was especially notable in the public sector that deals with industry related matters leading to inadequate implementation of industry related policies and strategies.

The EAC deputy SG noted that the programme will among others equip government and private sector officials with skills and knowledge that will allow for the efficient design, implementation and monitoring of industrial policies and programmes.

The programme will also foster regional integration in the framework of the EAC-Regional Industrial Development Strategy and will take a multi-disciplinary approach involving EAC Secretariat, EAC Partner States and private sector by constituting a Steering Committee which will oversee the implementation of the programme, noted the deputy SG.

Mr Gerald Runyoro, who represented UNIDO, said the launch of the EAC-UNIDO Programme for Strengthening Institutional Capacities for Industrial Policy in the EAC was meant to mark a fundamental milestone on the path towards the achievement of the main objectives of the EAC Industrialization Policy and Strategy,2012-2032.

The Industrialization and Policy Strategy, 2012-2032 for the region was approved by the EAC Summit of Heads of State on 30th December 2011 during a session held at Bujumbura, Burundi.

He said enhancing capacities for industrial policy formulation and implementation, built on solid analytical evidence, was a vital preliminary condition for the achievement of all targets of the EAC Industrialization Policy and Strategy.