Shumuk seeks removal of EAC trade barriers to create more jobs for youth

Shumuk Aluminium Industries has pledged to create more jobs for young people across the East African Community (EAC) if non-tariff barriers are removed to allow the free movement of goods and services within the eight-member regional bloc.

Andrew Nangai, the Personal Assistant to the company’s chairman, Mukesh Shukla, made the remarks in an interview with Bbeg Media on the sidelines of the Parliamentary Week on advancing the EAC agenda through legislative dialogue at Parliament.

“We plan to create more jobs for our people across the region. However, we ask our leaders at different levels to resolve pending issues such as non-tariff barriers that continue to affect trade within the East African Community,” Nangai said.

He said the EAC, with a population of about 343.5 million people, still faces serious challenges of unemployment and poverty, with young people carrying the greatest burden.

Nangai cited World Bank data showing that young people account for about 60 per cent of Africa’s unemployed population.

He said many young people are first-time job seekers with little or no work experience, limited professional networks, and education systems that do not adequately prepare them for the demands of the labour market.

He also referred to trading economics data for 2025, which puts Uganda’s unemployment rate at 2.7%, Burundi’s at 0.9%, Kenya’s at 5.4%, Rwanda’s at 11% and Djibouti’s at 26%.

Nangai said Shumuk intends to continue expanding across the region as part of its contribution to reducing unemployment and creating productive opportunities for young people.

He said the company has already invested heavily in aluminium manufacturing, household products, property management, an inland container depot, and an engineering workshop in Uganda. He added that the company plans to make similar investments in other East African Community member states once non-tariff barriers are removed.

The company has also diversified into auctioning general merchandise, tours and travel, foreign exchange services, steel works in Kigali, and mineral exports.

Nangai said demand for the company’s aluminium products continues to grow across the region. He added that political goodwill from East African leaders is essential for the full implementation of the EAC Common Market, Customs Union and Free Trade Area protocols.

However, the company continues to face major challenges.

In Uganda, Shumuk is involved in an ongoing legal dispute with Bank of Baroda, which has affected some of its business operations while the matter remains before the courts.

In Rwanda, the company is also facing financial difficulties after being ordered to pay more than Shs16.4 billion in outstanding loan facilities, placing additional pressure on its operations.

Despite these challenges, Nangai said the company remains optimistic that deeper East African integration will strengthen regional trade, create more employment opportunities, increase foreign exchange earnings and expand the supply of aluminium products across the region.

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