Arusha. The East African Legislative Assembly (Eala) has passed a new bill that introduces a unified and transparent system for managing tax exemptions, overseen through a harmonised regional framework.
The East African Community (EAC) Customs Management (Amendment) Bill, 2025, marks a significant step towards strengthening regional integration and streamlining cross-border trade.
The updated law which was read for the third time and passed during the 1st Meeting of the 4th Session of the 5th Assembly, was adopted at Eala's headquarters in Arusha on Tuesday.
It was tabled following extensive scrutiny by the Committee on Communication, Trade and Investment. The amendments are part of ongoing efforts to harmonise and modernise customs operations across EAC partner states.
They aim to enhance the efficiency of trade procedures, reduce delays, and foster a more predictable business environment throughout the region, according to the chairperson of the Committee on Trade and Investment and a legislator from Rwanda, Ms Francine Rutizana.
“These amendments are designed to strengthen the management of advance rulings in line with evolving trade regulations, expand the governance of container freight stations and cross-border trade, and update penalties to reflect current regional standards,” she told the Assembly.
She added that the changes are expected to improve legal compliance, deter customs-related offences, and improve public understanding of customs laws through targeted awareness and translation initiatives.
First enacted in 2004, the EAC Customs Management Act established the legal framework for the Customs Union, Common External Tariff, and broader trade facilitation measures. Major revisions were last made in 2022.
The 2025 amendments were initiated by the EAC Council of Ministers following wide-ranging consultations with member states and stakeholders, including the East African Business Council (EABC).
The review process covered the 2004 principal Act and its previous amendments to identify gaps and ensure alignment with international commitments such as the World Trade Organisation (WTO) Trade Facilitation Agreement.
All seven EAC member states—Burundi, Kenya, Rwanda, South Sudan, Tanzania, Uganda, and the Democratic Republic of Congo—submitted input during the consultations, alongside representatives from the private sector.
The Committee carried out a comprehensive analysis and compiled a detailed report, which was debated and adopted during the second and third readings of the Bill.
“These reforms are expected to ease trade by simplifying inspections, cutting clearance delays, and improving transparency in cross-border transactions. Ultimately, this benefits both traders and investors across the region,” Ms Rutizana noted.
Among the key provisions are updated rules on advance rulings to reduce legal ambiguity for businesses, the formal inclusion of container freight stations within customs zones to improve logistics, and the introduction of stricter oversight mechanisms to ensure accountability in tax exemptions.
Public education campaigns, translations of the revised law, and stakeholder training are set to follow as part of the implementation plan.
The transition will be phased, in accordance with a schedule to be determined by EALA and the EAC Council of Ministers
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