UK Grants Duty-Free Access for Tanzania’s Horticultural Exports

The UK has extended duty-free market access for Tanzania’s horticultural products as part of its Developing Countries Trading Scheme (DCTS).

The DCTS was introduced by the UK government in June 2023. The aim of the DCTS is to promote sustainable growth in developing countries. It does this by using a more generous trade preferences scheme than with other trade partners.

The scheme also benefits UK businesses and consumers by lowering the import cost of thousands of products and emphasizes the UK’s commitment to enhancing trade with Tanzania.

Under the DCTS, Britain has granted duty-free access to exports from 65 countries, including Tanzania.

Lord Walney, the trade envoy at the UK Prime Minister’s Office, announced the extension at a business-to-business event organized by the Tanzania Horticultural Association (TAHA) on 28th May 2024. Seventeen horticultural exporters attended the event, including farmers and exporters of horticultural produce.

The event aimed at creating new partnerships & exploring investment opportunities in the horticulture sector under the DCTS.

David Concar, the UK High Commissioner, highlighted the UK’s effort to forge closer ties with Tanzania, brightening the prospects for the local horticultural industry.

Concar praised TAHA for its significant role in transforming the local horticultural industry, noting that its efforts have been instrumental in shaping a promising future for the sector.

For her part, Dr. Jacqueline Mkindi, the CEO of TAHA, commended Britain’s longstanding support in uplifting Tanzania’s horticulture industry. She highlighted the trade facilitation agency BEST Dialogue, which operated until June 2019, providing grants and capacity development services to Tanzanian private sector membership organizations.

Mkindi stated that BEST Dialogue empowered TAHA’s advocacy efforts, enabling the organization to champion policies and practices that favor the horticultural sub-sector’s growth.

TAHA’s chief development manager, Anthony Chamanga, reported a significant growth in the value of Tanzania’s horticultural exports, reaching USD 87 million over the past five years. Chamanga noted that this growth reflects the rising quality and demand for Tanzanian horticultural products, signaling a robust future for the industry.

In April 2024, the United Kingdom suspended its Global Tariff on cut flowers, reducing costs and easing access to the British market for the next two years.

The suspension permits unlimited quantities of flowers to enter the UK duty-free, even if they transit through third countries such as the Netherlands, a major flower auction center.

This development benefits East African growers who frequently use these intermediary locations. In 2023, Tanzania exported 1,100 tonnes of flowers valued at USD 62.31 million.