Non-Tariff Barriers Challenge on Formation of Multilateral Trade Policy during the Covid-19 Crisis in the East African Trade Region

Abstract

COVID-19 disrupted trade worldwide, causing supply and demand chain disruptions. As a result, trade volume dropped dramatically in the first half of 2020, forcing countries to implement new policies to defend their economies. The study revealed new Non-tariff barriers caused by COVID-19 into the East African region that prevented cooperation and effective negotiations. Without this consensus, the trade will not be able to flow freely. Trade negotiations aim to achieve the mutual reduction of barriers to trade among countries to lead to improved access to markets and stimulate economic growth. The study used inductive reasoning and an empiricist approach using a constructivist ontology to explain challenges informing multilateral trade policies during the Covid-19 crisis in Africa. The research adopted Chatham house rules to encourage participation and discussion. The study examined the challenges faced by policymakers in implementing old and new policies during the COVID-19 period and evaluated the East African countries' capacity to adopt multilateral trade policies, multilateral trade agreements, and multilateral cooperation within regional trade agreements, despite East Africa mechanisms, including the East African Community Elimination of Non-Tariff Barriers Act, 2017. NTB elimination mechanisms have proven ineffective, owing primarily to member country's political and nationalistic policies. NTBs can be effectively eliminated through legally binding systems, such as the COMESA taxing protocol, but all these measures are dependent on member states' cooperation. NTBs are complex and recurring in nature; there is a need for further research into the implementation and complexities of NTBs.