Tanzania bans export of sugar as shortage hits EA neighbours

TANZANIA HAS banned the export of sugar to protect its domestic stock, testing its commitment to open trade in the region as other East African Community states battle a biting sugar deficit.

The government has already directed all regional and district authorities in border areas to ensure that no sugar is transported out of the country.

The Tanzania Sugar Board (TSB) said that the shortage due to smuggling was to blame for the sharp price increases. In some areas a kilogramme of sugar is retailing at between Tsh2,200 ($1.35) and Tsh2,500 ($1.54) compared with Tsh1,500 ($1) a few weeks ago.

In Kenya, the price of sugar rose to Ksh200 ($2.2) per kilo, as retailers took advantage of supply shortages to raise prices of the commodity.

In Uganda and Burundi, a kilo of the commodity is going for Ush6,000 ($2.2) and Fr2,000 ($1.64) respectively.

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