1 CHAPTER ONE 1.0 INTRODUCTION 1.1 Background of the Study There are many individuals engaged in informal trade across borders of different countries across the world. On balance, and depending on the circumstances motivating traders to evade restrictions, it may even be welfare-enhancing for people on both sides of a border. Informal cross-border trade: a spectre of Africa’s economic integration..... 1 1.2. It has also been argued that the practice gives an unfair competitive advantage to informal sector traders over formal businesses as the former do not fulfil their regulatory obligations or pay taxes and other fees. Informal Cross-Border Trade would benefit from closer regional cooperation and integrations. According to the United Na-tions Development Fund for Women (UNDFW), in the SADC region, women constitute about 70 percent of the informal cross border traders3. In the fight against the coronavirus, almost all African countries have now suspended international flights, introduced 14-day quarantines, and closed land borders. In this respect, cloth traders in north-east Ghana “collude with state agents to generate a de facto free-trade zone”(Chalfin, 2001: 219). We estimate informal cross border trade trade. Women in informal cross-border trade have welcomed the re-opening of the country`s border orders, as their livelihoods had taken a serious knock. Uganda started the Informal Cross border Trade Survey (ICBT) as a means of bridging the gap identified in the external trade statistics. In Africa it is estimated that about 41 percent of GDP is obtained from informal trade. Informal cross-border trade is an important component of a country’s informal sector as it has spill- over effects on trading countries, in particular the border towns. women informal cross-border traders (ICBTs) and micro, small and medium-sized enterprises (MSMEs) will build the capacity of women cross-border traders to comply with border formalities in the East African Community (Burundi, Kenya, Rwanda, Tanzania, Uganda) plus South Sudan. Researchers are encouraged to explore further the effects of a new political dispensation in Zimbabwe on informal cross-border trade as this study The Covid -19 pandemic negatively affected the day to day activities of women in Zimbabwe’s informal cross border operations. Pervasive informal cross-border trade in Africa can be attributed to high tariffs, and non-tariff barriers such as sanitary and phytosanitary measures, compliance to which can be costly. • We compare estimed figures with official ones. Poor skills, education and Sixteen women informal cross-border traders were interviewed in depth while two cross-border bus drivers and two customs officials provided key information, which was categorized and discussed along emerging themes. The informal cross border traders noted that it had become difficult to get credit lines. caused by informal cross-border trade, it should be considered as a real impediment of economic development. The study assesses the options presented for overcoming the challenges of Informal Cross Border Traders (ICBT) and in particular policies for extending the benefits of free trade to informal traders. Elegu, 10 November 2020: TradeMark East Africa, the regional trade facilitating agency has handed over Personal Protective Equipment (PPE) to Elegu One Stop Border Post (OSBP) frontline staff and informal cross border traders. Elegu, 10 November 2020: Regional trade facilitating agency TradeMark East Africa has today handed over Personal Protective Equipment (PPE) to Elegu One Stop Border Post (OSBP) frontline staff and informal cross border traders. Informal cross-border trade (ICBT) between sovereign states may be illegal, but it is not necessarily antisocial. January 2009; ... have the potential to encourage traders to switch from informal to formal trade. The results of the analysis show that the monthly profit generated by ICB traders is over ten Several studies suggest that for certain products and countries, the value of informal trade may meet or even exceed the value of formal trade. Elegu, 10 November 2020: Regional trade facilitating agency TradeMark East Africa has today handed over Personal Protective Equipment (PPE) to Elegu One Stop Border Post (OSBP) frontline staff and informal cross border traders. shipping manifests, informal cross border trade etc. This is an indication of its significance and relevance. in informal trade as there are also exclusive incentives that pull traders to remain in ICBT. Proposed solutions Many points have to be observed when conceiving appropriate approaches towards informal cross border trade. David Luke, Gerald Masila and Lily Sommer call for five urgent interventions to prevent irreversible damage to this vulnerable community . The delivery of PPEs at Elegu OSBP comes at the back of concentrated efforts undertaken by the government of Uganda and its […] Sixteen women informal cross-border traders were interviewed in depth while two cross-border bus drivers and two customs officials provided key information, which was categorized and discussed along emerging themes. WICBT Women Informal Cross-Border Traders . In an effort to execute the UN’s recommendation, the NSA began by undertaking the Informal Cross Border Trade Surveys. In this study, the views of 520 informal cross border traders, obtained using systematic sampling and snow ball techniques from four selected border posts in Botswana, were used to show how profitable ICBT is. There is need The shortage of ready finance hinders the expansion of ICBT activities. legal goods and services), which directly or indirectly escape from the regulatory framework set by the government, and avoid taxes and regulatory measures, hence go unrecorded into official national statistics. LUSAKA, October 16, 2013—Informal cross-border trade is a major feature of Africa’s economic and social landscape.In Zambia, thousands of traders cross the country’s borders every day bringing in revenues from informal trade of beans, maize … Border Agencies and Informal Traders at Elegu receive Personal Protective Equipment from TradeMark EA. 2. ICBT is a burgeoning part of the informal markets in Sub-Saharan Africa and its existence and persistence carry substantial socio-economic implications. West African Association for Cross-Border Trade, in Agro-forestry-pastoral and Fisheries Products – WACTAF (French: Association Ouest Africaine du Commerce Transfrontalier des produits Alimentaires, Agro-sylvo-pastoraux et Halieutiques as AOCTAH).ECOWAS ITRSP. Again variations were noted at border posts. 1. Africa’s informal cross-border traders have been hit hard by Covid-19. informal cross-border traders make significant contributions towards food security and satisfying other demands for goods that are scarce in the countries in which they operate. women informal cross border traders were trading as individuals mainly on a weekly basis. This paper provides a review of existing efforts to measure informal trade. Mainstream and integrate informal traders, migrant informal traders, in terms of municipal by-laws, where they trade on the street with their counterparts, local counterparts, and the restrictive immigration laws and policies. cross-border informal fish trade in Malawi and Zambia with neighbouring countries to understand the traders’ demography and also to uncover unfilled demand in the cross-border markets, quantify the amount of fish going informally and outline the factors influencing traders to use informal trade channels for policy support. Methodology As a result, traders resort to informal trade in an efforts to avoid these measures. : (+228) 91 30 08 14 / (00234) 802 478 2037 OU 802 371 9864 / (00225) 01 72 79 90 / 57 40 20 86 Therefore, it is necessary to explore alternative lending ways that are responsive to the unique demands of the informal cross border trade. Tel. Namibia Statistics Agency - Informal Cross Border Trade - ovember 2014 7 To Rwanda, Informal Cross Border Trade (ICBT) generally refers to imports and exports of legitimately produced goods and services (i.e. She noted: It is time to end the impunity with which women traders are treated at points of entry and departure simply because they want to live decent lives and educate their children Yet, the coexistence of ICBT with formal trade integration has not been officially recognised. The land borders which include Beitbridge, Plumtree, Chirundu, Victoria Falls and Forbes are set to be … Informal cross-border trade deprives authorities of much needed statistics, as well as revenues. majority of informal cross border traders are women. Informal Cross-Border Trade and Trade Facilitation Reform in Sub-Saharan Africa. Speaking to The Herald during an interface workshop at the Zimbabwe Women Bureau training centre, female cross border traders lamented that Covid -19 had impacted negatively on their livelihoods. Moreover, informal cross border trade is also crucial to understand wh,y the level of intra-Africa trade is low by world standards. informal cross-border traders and not be confined to the members of the association. • Urecorded figures represent 0.4% of GDP > informal traders face difficulties to acces finance. Study rationale ... informal traders from formalizing their activities. • We descovered that 155,000 tones of agricultural commodities are unrecorded. Informal cross border traders cited financial services as a critical problem. Moreover, limited access to capital is an important constraint for operators working in the informal sector. the Governments and the informal cross border traders for their commitment to ensuring that the research recommendations are implemented. The women were mainly middle-aged single parents who engaged in ICBT for survival. There are no official purposive efforts to put in place an appropriate environment to streamline the activities of informal cross‐border traders. Informal cross-border trade (ICBT) represents a prominent phenomenon in Africa. In the Western and Central parts of Africa, women constitute nearly 60 percent of informal traders. Informal cross border trade (ICBT) refers to commercial exchanges conducted across borders by individuals operating as unregistered sole traders. • Trade bariers should be removed to improve official figures. Informal trade is a deep-rooted socio-economic problem, its fighting is a Women compose up to 80% of all informal cross-border traders. Frequent border crossing is inefficient as it results in high operational costs and exposes women unduly to exploitation. 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