Rwandan leather dealers seek AfCFTA access
Rwandan dealers in hides and skins are seeking access to the African Continental Free Trade Area (AfCFTA) to expand their market, as the East African Community (EAC) market is insufficient.
Jean D'Amour Kamayirese, representing the Kigali Leather Cluster, noted that over 100 tonnes of hides and skins are currently unsold due to limited demand within the EAC.
Current regulations restrict trade of hides and skins outside the EAC, with an 80% tax on exports beyond the region. Prices for cow hides have dropped from Rwf 1,500 ( $1.10) per kilogram in 2015 to between Rwf 100 and Rwf 200 ($0.08 to $0.15), while goat and sheep skins have decreased from Rwf 3,000 ($2.20) to between Rwf 500 and Rwf 600 ($0.37 to $0.44).
Kamayirese highlighted the need for more local tannery factories, as Rwanda exports raw hides and skins but imports finished products, increasing costs for local leather producers. The AfCFTA, which aims to remove tariffs on 90% of goods, is seen as a potential solution to help expand market access. The East African Business Council has called for government support to assist small traders in benefiting from AfCFTA opportunities.
