Diversification of Kenya's Export Markets

Strategic Objective 2: To Develop and Diversify Kenya’s Export Markets

Under this strategic Objective, the Agency seeks to widen Kenya’s export markets in addition to the traditional ones. This includes access to traditional markets by Kenyan export products that the Country has never exported to such markets before. In the year under review, the Agency achieved the following:

a) Market Research

Through a number of criteria including gravity model, export performance, strategic location in accessing neighboring markets, existence of Kenyan Embassies in the market, existence of preferential trade arrangements and prioritization of the market in the Integrated National Export Development and Promotion Strategy, twenty two (22) markets were prioritized as summarized below.

In this period, market researches were conducted in Rwanda and Burundi. The market survey report reveals export opportunities and Kenya’s comparative advantage in exporting to Rwanda and Burundi. The report further highlights challenges that the Kenyan exporters face or are likely to face in exporting to Rwanda and Burundi and provide recommendations and strategies for entry into these markets.

b) Organize, Coordinate, and Participate in Trade Promotion Activities.

The Agency developed the Kenya Export Market Development Programme (KEMDP) 2020. This is a calendar of trade promotional events across the world in which Kenyan exporters could be interested in participating. 800 copies of the calendar were printed and disseminated to exporters and other stakeholders.

In the period under review, the Agency organized, coordinated and participated in the following trade promotional events:

Fruit Logistica 2020 in Germany (31 st – 11 th February 2020

The trade mission sought to deepen Kenya’s trade relations and enhance market linkages with Germany and the European Union. The event brought together a record number of over 3,300 exhibitors as well as more than 72,000 trade visitors from all over the world. 48 companies were recruited and participated at the Fruit Logistica 2020. Publicity was conducted through a video on Destination Kenya, a press release on Kenya’s participation, Digital Media Support, Media Meet-and-greet and Story Pitching leading to generation of Public Relations (PR) value worth Kshs.1.5 million. In the year 2019 Kenya’s exports to Germany amounted to Kshs. 11.3 billion representing 1.1% growth from Kshs.11.2 billion registered in 2018.

Trade Mission and Participation at the Russia Africa Economic Forum in Sochi, Russia, (October 23rd – 24th, 2019)

Business deals worth USD 26.75 million was secured by the Kenyan exporters of tea, coffee, and horticultural products during the Russia Africa Economic forum in Sochi, Russia. In the year 2019 Kenya’s exports to Russia amounted to Kshs. 6.3 billion representing 26.0% decline from Kshs. 8.6 billion in 2018.

Cross Border Trade Promotion Bazaar in Moyale:

The Kenya Export Promotion and Branding Agency conducted a pre-event planning meeting in Ethiopia in February 2020 with critical stakeholders for a buy in and support from the Ethiopia National Chamber of Commerce. During the meeting, a concept was developed to conduct the first Kenya – Ethiopia Cross border trade Bazaar and Trade facilitation Forum in Moyale. The forum was a strategy to enhance market penetration, deepen and maximize Kenyan goods and services exposure in the Ethiopian market following a study conducted in 2015 where numerous products and services were profiled for the target market.

In addition, matchmaking meetings were held with 8 Ethiopian distributors dealing in Pharmaceuticals, Cosmetics, Detergents, Cleaning Materials, Household Chemicals and Products, Stationery, Textiles and Furniture Products with a view of establishing contacts for ease distribution of Kenya products in Ethiopia.

The Trade promotion Bazaar could not be conducted due to interruptions occasioned by the emergence of Covid-19 in the Country. In the year 2019 Kenya’s exports to Germany amounted to Kshs. 6.5 billion representing 2.6 % growth from Kshs. 6.3 billion in 2018.

1 st China-Africa Economic Forum in Changsha, China

11 products were showcased during the first China-Africa Economic and Trade Expo in Changsha, China. One trial export order for six (6) 20- foot containers of leather worth Kshs. 15 million was secured during the expo. An MOU was signed between KEPROBA and Funfree International Trade Co. Ltd to open a Distribution Centre for Kenyan Flowers in Changsha.

Direct flights were launched from Nairobi to Changsha with the inaugural fight touching down at the JKIA on 12th June 2019. An MOU signed Between KEPROBA and the Shanghai GreeChain Information Science and Technology Limited to promote Kenya’s exportable products in China on both online and physical platforms.

A Memorandum of Understanding between KEPROBA and China-Africa E-Commerce Co. Ltd was signed to establish an Online Country Exhibition Centre that will promote Kenyan goods and services. In the year under review, the Agency successfully participated in Beijing Expo 2019. In the year 2019 Kenya’s exports to China amounted to Kshs. 15.1 billion representing 35.9% growth from Kshs.11.1 billion in 2018.

World Expo 2020 Dubai

Kenya expressed intention and secured a pavilion in the upcoming EXPO Dubai 2020. The theme of the Expo is “Connecting Minds, Creating the Future”. Kenya will exhibit under the opportunity district of the Expo. Kenya’s content curation was submitted to the content curation team of the Expo organizing committee.

The Expo was launched in the country in a high level breakfast forum on 10th December 2019 to sensitize stakeholders about the Expo and the opportunities in the Tourism, Trade and Investment, Small Medium Enterprise, Education, Agriculture, Trade of Services i.e., Finance, Information technology and communication, for Kenya’s participation. In the year 2019 Kenya’s exports to United Arab Emirates amounted to Kshs. 38.7 billion representing 10.5% growth from Kshs. 35.0 billion registered in 2018.