Tanzania and Malawi Resolve Trade Dispute, Pave Way for Deeper Regional Integration

(3 Minutes Read)

In a pivotal move toward advancing regional economic integration, Tanzania and Malawi have amicably resolved a trade dispute that had disrupted bilateral commerce since March 2025. The breakthrough followed high-level diplomatic talks in Dar es Salaam and culminated in a communique signed on 3 May by Tanzania’s Minister of Foreign Affairs and East African Cooperation, Mahmoud Thabit Kombo, and Malawi’s Minister of Foreign Affairs, Nancy Gladys Tembo.

The agreement reflects both countries’ renewed commitment to strengthening trade ties and fostering economic cooperation. As part of the deal, they agreed to lift all trade restrictions with immediate effect and expedite the legal procedures needed to implement the Simplified Trade Regime Agreement (STRA) by 30 May 2025. The STRA aims to simplify cross-border trade, especially for small-scale traders, within the Southern African Development Community (SADC), reinforcing broader efforts toward inclusive regional growth.

Malawi welcomed Tanzania’s decision to revoke an import ban on Malawian plant and plant products, which had been imposed on 23 April in retaliation for Malawi’s earlier restrictions on Tanzanian agricultural goods. In response, Malawi pledged to issue an administrative directive to enable the swift resumption of bilateral trade, restoring commercial flows between the two nations.

The trade row had escalated in April when Tanzania extended its restrictions to South Africa after Pretoria banned imports of Tanzania’s agricultural products. However, Tanzanian Agriculture Minister Hussein Bashe announced on 25 April that all such bans were suspended retroactively from 23 April. The suspension was formalised on 26 April after diplomatic outreach by Malawi and South Africa aimed at encouraging regional cooperation.

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This episode underscores the intricate link between trade policy and regional diplomacy in Southern Africa. It also highlights the pressing need for institutional mechanisms capable of resolving trade disputes swiftly and constructively. The shared commitment to fast-tracking the STRA further demonstrates both countries’ support for a rules-based trade environment aligned with the goals of the African Continental Free Trade Area (AfCFTA).

The successful resolution of the dispute marks a positive turning point in Tanzania-Malawi relations and sets a constructive precedent for resolving similar conflicts through dialogue and legal frameworks, rather than prolonged retaliatory measures.