Effect of the Common External Tariff on Trade Facilitation at Namanga Border Station in Kenya
DOI:
https://doi.org/10.70619/vol5iss11pp12-22-687Keywords:
Namanga Border, Common External Tariff, Trade FacilitationAbstract
Trade facilitation reforms have been a key component of the overall tax reform package, for widening of facilitation base. Despite these reforms, traders crossing our borders encounter a range of obstacles. The general objective will be to determine the effect of the common external tariff on trade facilitation at the Namanga border station in Kenya. The study was anchored on the New Trade Theory and the Customs Union Theory. This study used an explanatory research design. The target population was 204 managers of clearing and forwarding agents and KRA customs officers in the Namanga border station in Kenya. Following data collection and analysis, 167 respondents correctly completed and submitted their questionnaires, representing an 81.9% response rate. The study found that common external tariff has a positive and significant effect on trade facilitation (β = 0.218, p = 0.019). Based on the findings, policymakers should strengthen tariff harmonization within the East African Community (EAC) by ensuring consistent implementation and minimizing exemptions that create discrepancies. Future studies could examine how artificial intelligence and blockchain could further enhance trade facilitation.
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