Rwanda granted six month duty free on sugar importation.
The east African trade ministerial council has granted Rwanda a six month duty free on foreign sugar importation.
Rwanda has been facing sugar shortages exemplified by last year sugar price scandal that raised prices to 1200rfw per kilo and 50.000rfw for whole sale buyers, however the government of Rwanda took quick response to the rising prices that resulted into a reduction to 800rfw on one kilogram and 33.500 per suck of sugar.
According to the Arusha based blog, Bloomberg.net Rwanda is expected to import 38,000 metric tons of sugar in that period of six month
The only sugar processing plant in Rwanda â€˜kabuye sugar factoryâ€™ has capacity to produce at least 12 thousand tonnes of sugar per month which are not enough to feed the needed market of at least 50 thousand tonnes monthly.
Rwanda last year 2011 during the EAC meeting requested its East African Community (EAC) counterparts to consider ignoring import taxes imposed on sugar from outside the block as an encouragement to increase supply and stabilise prices in the local market and on products produced in the EAC countries.