Market Access
Preferential Market Access for Kenyan Products
Kenya is signatory to a number of multilateral and bilateral trade agreements as part of its trade policy.    Kenya is a member of the World Trade Organization (WTO) making her products access more than 90% of world markets at Most Favoured Nation (MFN) treatment.  In addition, Kenya is member to several trade arrangements and beneficiary to trade-enhancing schemes.

Regional Markets
Kenya is a member of the East African Community (EAC) comprising Kenya, Uganda and Tanzania with a population of more than 80 million people. In addition, it is also a member of the Common Market for Eastern and Southern Africa (COMESA) with a population of about 400 million people. Exports and imports within member countries enjoy preferential tariff rates Already, the EAC is operating under a Customs Union with common external tariff.  The COMESA is moving towards a Free Trade Arrangement (FTA) with more than one third of members, Kenya included, already having freed internal tariffs amongst each other under the FTA

ACP/EU Cotonua Partnership Agreements
The great majority of exports originating from Kenya to the European Union enjoy preferential market access to the EU market. Trade preferences include duty and quota-free entry of all agricultural products including coffee beans, tea, edible nuts, fresh and processed fruits and vegetables.  In addition, a wide range of manufactured products also enter the EU market duty and quota free.
African Growth and Opportunity Act (AGOA)
Kenya qualifies for duty free access to the United States of America (USA) market under the African Growth and Opportunity Act enacted by USA. Kenya's major products that qualify for export under AGOA include tea, coffee, edible nuts, other agricultural products, textiles and apparels and handicrafts, among others. The US is one of the most dynamic emerging export markets for Kenya. Already, leading trade promotion institutions in Kenya have made proactive moves to market Kenya as a preferred source of products for the US market

Generalised System of Preferences (GSP)
Under the GSP, a wide range of Kenya's manufactured products are entitled to preferential duty treatment in the developed markets of the United States of America, Japan, Canada, New Zealand, Australia, Switzerland, Norway, Sweden, Finland, Austria, and other European countries. The GSP scheme offers preferential market access to more than 3,000 items originating from beneficiary countries like Kenya. The scheme not only affords the beneficiaries preferential tariffs, but also gives them a non-quantitative restrictions market.

Kenya’s Investment Environment and Export Promotion Schemes

Kenya’s Investment Environment

Since the early 1990’s the Kenya Government has been running various schemes with the aim of encouraging investment and production for exports. The schemes offer both fiscal and infrastructural benefits to business community. The government continues to improve the investment environment. Some of the policy initiatives include:

  • Liberalising the exchange controls
  • Removing price controls
  • Freeing the shilling exchange rate to be market driven
  • Abolishing import licensing except for cases that impact directly on national security, health, environment etc.
  • Opening up of the capital markets to foreign participation
  • Generous Investment and capital allowance
  • Remission of duty and Value Added Tax (VAT)
  • Manufacture under Bond status
  • Export processing zones status
  • Double taxation agreements
  • Protection and promotion of investment agreements
  • Bilateral investment treaties
  • Multilateral Trade agreements

There are opportunities in the agricultural, industrial, and commercial sectors e.g. Horticulture, Agro-processing, Textiles and Apparels, Plastics and Pharmaceuticals, Tourism, Financial and other services

Kenya provides guarantees to local and foreign investors. These include guarantee against expropriation, repatriation of capital and profits. It is also a member of Multilateral Investment Guarantee Agency (MIGA).
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