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Afri can finance ministers meeting in the Ugandan capital of Kampala on Sunday said reforms in taxation, infrastructure and other bottlenecks" must be addressed if Africa is to compete in international trade.

The ministers meeting to discuss ways of overcoming existing unfair international trade practices against African products in markets in developed countries, ruled that problems inherent on the continent itself, including the absence of economic integration must be solved first.

In a move from earlier international fora where bureaucrats concentrated on heaping blame for Africas trade woos on unfair international trade arrangements, the ministers meeting in Kampala dwelt on the bottlenecks" within the African economies themselves which they said should be addressed.

In a statement at the end of their meeting Sunday, the ministers said: Actions at the multilateral level are crucial; however African countries will also need to adopt dynamic trade policies and remove domestic bottlenecks.

"We believe that an integrated continental market offers the best hope for Africa to build its manufacturing sector and diversify its economy away from primary products," the statement said.

It is disappointing to note however that intra-African trade remains a small part of Africas total trade, accounting for only 10,5% of total exports and 10,1% of imports. We also believe that we need to encourage South to South trade," they added, referring to trade with other developing regions of the world.

The ministers have been meeting in a lake-side beach hotel, 10 miles south of Kampala in the conference organised by the Addis Ababa-based United Nations Economic Commission for Africa (ECA).

ECA Secretary General AK Amoako told reporters Saturday night that the African house must be put in order by setting up institutions that would allow us to compete in international trade."

The ministers said funding for new technologies, improvements in training and provision of cash for potential export-oriented entrepreneurs, transport and communications, removal of customs barriers, restructuring taxation and encouraging regional trade blocks were necessary if Africa, the worlds poorest continent, were to be able to compete in international trade.

Delays at customs points are a major obstacle to trade in Africa. By creating free trade areas and customs unions, large internal continental markets can be created that can be used to achieve economies of scale and help build competitive industries meant for world markets," the statement said. - Sapa-dpa

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