Kenya enforced a ban on the importation of cooking gas from Tanzania in April after it had banned wheat flour from its neighbour citing low safety and quality standards.
After appeals by Tanzania were rejected, it also imposed a ban on Kenyan milk and cigarettes, affecting both economies.
The lift of restrictions by both countries was announced on Sunday following discussions between President John Magufuli and President Uhuru Kenyatta, Kenyan foreign affairs minister Augustine Mahiga announced.
The United Republic of Tanzania will lift restrictions on milk and milk products and cigarettes manufactured in Kenya with immediate effect. The Republic of Kenya and the United Republic of Tanzania will lift any other restrictions that affect products and services exchanged between the two countries, he said.
The two countries also agreed to form a joint committee to address other trading issues affecting them.
Late last month, Tanzania’s Permanent Secretary at the Industry and Trade ministry, Adolf Mkenda had called on Kenya to lift the ban on cooking gas after it had agreed to do so during a East African Community meeting