Identifier
Created
Classification
Origin
07DARESSALAAM68
2007-01-16 03:30:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Dar Es Salaam
Cable title:  

TIFA: TANZANIA WANTS TO CONSULT WITH EAC PARTNERS

Tags:  ETRD ECON TZ 
pdf how-to read a cable
VZCZCXRO8191
PP RUEHBZ RUEHDU RUEHJO RUEHMR RUEHRN
DE RUEHDR #0068/01 0160330
ZNR UUUUU ZZH
P 160330Z JAN 07
FM AMEMBASSY DAR ES SALAAM
TO RUEHC/SECSTATE WASHDC PRIORITY 5346
INFO RUCNSAD/SOUTHERN AFRICAN DEVELOPMENT COMMUNITY PRIORITY
RUEHDS/AMEMBASSY ADDIS ABABA PRIORITY 3108
RUEHJB/AMEMBASSY BUJUMBURA PRIORITY 2460
RUEHKM/AMEMBASSY KAMPALA PRIORITY 2901
RUEHLGB/AMEMBASSY KIGALI PRIORITY 0892
RUEHNR/AMEMBASSY NAIROBI PRIORITY 0430
RUCPDOC/DEPT OF COMMERCE WASHDC PRIORITY
UNCLAS SECTION 01 OF 02 DAR ES SALAAM 000068 

SIPDIS

SENSITIVE
SIPDIS

DEPT AF/EPS FOR THASTINGS, AF/E FOR BYODER
ALSO FOR EB
DEPT PASS TO USTR FOR WJACKSON AND TO COMMERCE
ADDIS FOR AU MISSION

E.O. 12958: N/A
TAGS: ETRD ECON TZ
SUBJECT: TIFA: TANZANIA WANTS TO CONSULT WITH EAC PARTNERS

REF: A. STATE 01299


B. DAR ES SALAAM 1722

SUMMARY
--------
UNCLAS SECTION 01 OF 02 DAR ES SALAAM 000068

SIPDIS

SENSITIVE
SIPDIS

DEPT AF/EPS FOR THASTINGS, AF/E FOR BYODER
ALSO FOR EB
DEPT PASS TO USTR FOR WJACKSON AND TO COMMERCE
ADDIS FOR AU MISSION

E.O. 12958: N/A
TAGS: ETRD ECON TZ
SUBJECT: TIFA: TANZANIA WANTS TO CONSULT WITH EAC PARTNERS

REF: A. STATE 01299


B. DAR ES SALAAM 1722

SUMMARY
--------------

1. (SBU) Dr. Mrs. Stagomena Bamwenda, recently appointed
Permanent Secretary at the Ministry of Industry and Trade,
assured EconCouns January 10 that the Government of Tanzania
(GOT) is studying the proposed draft language of a Trade and
Investment Framework Agreement (TIFA) between the East
African Community (EAC) nations--Tanzania, Kenya and
Uganda--and the United States. Bamwenda indicated however,
that Tanzania is moving cautiously to be certain that the
full ramifications of the terms of the TIFA are clearly
understood, particularly in light of the ongoing expansion of
the EAC. Bamwenda suggested the Kenyan, Ugandan and
Tanzanian representatives may want meet on the sidelines of
the upcoming African Union trade meeting in Addis Ababa
(January 15 to 16) before holding discussions with the U.S.
delegation. End Summary.

Personnel Changes at the Ministry
--------------

2. (SBU) While Tanzania remains interested in principle in a
Trade and Investment Framework Agreement (TIFA) with the
United States, the appointment of a new Minister for Industry
and Trade, Basil Mramba, in October 2006 (Ref B) and the more
recent change in the Permanent Secretary position at the
Ministry of Industry and Trade, has resulted in a slowing of
the momentum toward signing a TIFA with the EAC countries as
exhibited by Tanzania's former Minister of Industry and Trade
(MIT),Nazir Karamagi. Dr. Stagomena Bamwenda, who was
appointed Permanent Secretary of MIT on December 17, 2006,
received and reviewed the draft TIFA text in early January,
following EconCouns discussions with the Director of Trade,
John Mhina, on December 28, 2006.

EAC Three Need to Consult First
--------------

3. (SBU) Bamwenda told EconCouns on January 10 that her
Ministry and other concerned GOT ministries need "more time"
to review the draft text to be certain that it would not
conflict with the GOT's obligations in other multilateral
organizations including the EAC, the Southern African
Development Community (SADC) and the World Trade Organization
(WTO). EconCouns explained that a TIFA would in no way
conflict with progress in the Doha Round or other WTO fora;
rather the TIFA Council meetings provide a concrete
opportunity to discuss and often make progress on WTO issues.
While Bamwenda acknowledged that she saw the value in such
an approach, she emphasized the importance of closely
studying the draft language of the TIFA text and of
consultations with the respective trade representatives of
Kenya and Uganda. "Perhaps Kenya and Uganda are farther
along in their internal discussions of a TIFA with the United
States," she noted. Bamwenda suggested the logical next step
would be for Tanzania, Kenya and Uganda to first meet and
discuss among themselves on the sidelines of the Addis Ababa
African Union (AU) meeting on either January 15 or 16.
"Following that meeting, we could perhaps seek out the U.S.
delegation if we have further questions or need
clarifications about the TIFA draft language," Bamwenda
suggested.

Comment
--------------

4. (SBU) Permanent Secretary Bamwenda was promoted to this
new position as MIT Permanent Secretary from her previous
post in the Deputy Permanent Secretary slot at the Ministry
of Planning and Economy. She is known as a thorough economic
technician, who played a key role in developing the "Business
Environment Strengthening for Tanzania" (BEST) program that
is serving as an investment climate guide for potential
domestic and foreign investors. Bamwenda will be attending
the January 15 to 16 meetings in Addis, although she could
not confirm that Minister Basil Mramba would also attend.
Post believes that Bamwenda will encourage her Kenyan and
Ugandan counterparts to first discuss the TIFA among
themselves in Addis before approaching or suggesting a
meeting with the U.S delegation. Bamwenda appeared sincerely

DAR ES SAL 00000068 002 OF 002


interested in what a TIFA could potentially offer, while also
exercising caution that the terms of the draft TIFA text be
thoroughly understood before Tanzania makes any commitment.
RETZER