By 
Implementation of the Regional Customs Transit Guarantees (RCTG) scheme, together with its associated opportunities and challenges were among the topics discussed at the 2023 insurance conference.
RCTG is a customs transit regime designed to facilitate the movement of transit goods under customs in the Common Market for Eastern and Southern Africa (COMESA) region.
Among the topics presented at the just ended insurance conference which took place in Chongwe was on the RCTG scheme that was presented by Klapton Reinsurance Limited Sureties Underwriter, Lottie Mulenga.
Among the opportunities raised by Mulenga in his presentation was the reduction of time in transit, therefore increasing productivity.
Read more: Insurers gather, explore ways to make sector contribute to economic growth, social change
He mentioned larger connected market and the programme being a great tool for exchange programmes as other opportunities arising from the RCTG implementation.
“Other opportunities are that duplication of user fees (duty) will be cut off, this is good for the consumers and there will also be free movement of people (labour) will attract: facilitate the movement of expertise.
“It will also attract investment opportunities- bigger and better considering the coverage of the countries in that particular Regional Economic Community (REC) while encouraging the development of well synergised technology that will enable proper tracking of goods,” Mulenga stated.
Similarly, Mulenga highlighted the challenges associated with implementation of the RCTG such as lack of infrastructure and technology.
He also anticipated that corruption and possible smuggling of goods was likely to be experienced considering the overlapping membership.
Mulenga explained that this was because one country could belong to more than one regional group, implying that implementation of certain policies would be tricky.
He noted that most tend to pledge allegiance to what seemed to serve and benefit the country better.
“This means certain policies that will not favour a particular country will not be enforced by the disadvantaged country,” he noted.
Another challenge observed was revenue loss on member countries that ratified the treaty.
According to Mulenga, this would contradict implementation, looking at how much revenue would be lost, especially for transit countries and land-linked countries.
WARNING! All rights reserved. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without prior express permission from ZAMBIA MONITOR.
Comments