Evaluating Tanzania’s Overlapping regionalism, a comparison of trade relations between SADC & the EAC

This study evaluates Tanzania’s overlapping regionalism in the EAC and SADC by analyzing its Export Intensity Index, Revealed Comparative Advantage, and Trade Complementarity Index for the period 2013–2022. The findings reveal that Tanzania enjoys stronger trade ties and a broader comparative advantage in the EAC, particularly in key exports such as fertilizers and rice, compared to a narrower focus on gold within SADC. Gold dominates exports to both blocs but highlights a critical need for diversification. The analysis identifies milled rice as holding the greatest potential for export growth in both regions. These results inform policy recommendations emphasizing diversification beyond gold and leveraging Tanzania’s comparative advantage in high-potential products to align with AfCFTA objectives. Strengthening EAC-based strategies is proposed as a model for AfCFTA harmonization due to existing robust trade relations. This study underscores the importance of targeted export promotion to enhance Tanzania’s trade competitiveness within Africa. JEL Classification: F14, F15, F53.

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Publication Details

Journal
Tanzanian Economic Review
Published
2025-03-13
DOI
https://doi.org/10.56279/ter.v14i2.209
Primary Topic
Global trade and economics
Type
article
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article

Evaluating Tanzania’s Overlapping regionalism, a comparison of trade relations between SADC & the EAC

Aaron Ecel, Racheal Nakigudde, Edward Rubanga Udhec
Tanzanian Economic Review
Global trade and economics
article

Evaluating Tanzania’s Overlapping regionalism, a comparison of trade relations between SADC & the EAC

Aaron Ecel, Racheal Nakigudde, Edward Rubanga Udhec
article en

Abstract

This study evaluates Tanzania’s overlapping regionalism in the EAC and SADC by analyzing its Export Intensity Index, Revealed Comparative Advantage, and Trade Complementarity Index for the period 2013–2022. The findings reveal that Tanzania enjoys stronger trade ties and a broader comparative advantage in the EAC, particularly in key exports such as fertilizers and rice, compared to a narrower focus on gold within SADC. Gold dominates exports to both blocs but highlights a critical need for diversification. The analysis identifies milled rice as holding the greatest potential for export growth in both regions. These results inform policy recommendations emphasizing diversification beyond gold and leveraging Tanzania’s comparative advantage in high-potential products to align with AfCFTA objectives. Strengthening EAC-based strategies is proposed as a model for AfCFTA harmonization due to existing robust trade relations. This study underscores the importance of targeted export promotion to enhance Tanzania’s trade competitiveness within Africa. JEL Classification: F14, F15, F53.

Tanzanian Economic ReviewVol. 14(2)
Makerere University (UG)
Openalex Percentile: Top 94%
Global trade and economics
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