US Becomes Second Biggest Buyer of Kenyan Products

WORKERS

The United States of America has overtaken the Netherlands to become the second-largest market for Kenya's exports in the eight months to August, turning the spotlight on Nairobi's policy of looking East.

American consumers bought Sh26.9 billion worth of Kenyan goods in the period to September ahead of Netherland's Sh25.3 billion, according to the Kenya National Bureau of Statistics (KNBS) data.

Uganda remains the top buyer of Kenya-made goods, but the US has climbed to the second spot from position three last year and position five in 2013.

Washington imports from Kenya include coffee, titanium ores and textiles which accounted for 79 per cent of the country's total exports to America last year under a duty-free trade pact – the African Growth and Opportunity Act (Agoa).

Read more: US Becomes Second Biggest Buyer of Kenyan Products

Kenya Lays Foundation for Strong Growth in a Challenging Environment

World Bank

Kenya's economy is expected to grow at 5.4 percent in 2015, recording an improvement over the 2014 growth rate of 5.3 percent, says a new World Bank Group economic report released today. The growth rate in 2016 is projected to be 5.7 percent.

The Kenya Economic Update (KEU) attributes the growth to government investment in infrastructure and strong consumer demand.

"Kenya has the potential to become one of the best performing economies in Sub Sahara Africa and also among middle income countries," says Diarietou Gaye, the Bank's Country Director for Kenya. "Managing the challenges emerging from the current global economic environment will enable the government to deliver on the promise of a more prosperous future for Kenyans."

Read more: Kenya Lays Foundation for Strong Growth in a Challenging Environment

Kenya, US Partner in Setting Up Cold Chain Infrastructure for Trade

IMG 9559

The U.S and Kenya governments are speeding up the development of cold chain facilities in the country as demand for perishable exports-imports between the two countries increase.

Coming hot in the heels of a 10-year African Growth Opportunity Act (AGOA) extension, the Ministry of Industrialisation and US Department of Commerce have launched the Cold Chain Assessment Initiative.

The launch follows discussions by the US Department of Commerce and the EAC member states under the tutelage of the on-going US-EAC Commercial Dialogue.

Industrialisation Cabinet Secretary Adan Mohamed welcomed the move terming it a vindication of the deepening US-Africa trade and a positive signal that will leverage Kenya's plan to double its exports in the US market.

Read more: Kenya, US Partner in Setting Up Cold Chain Infrastructure for Trade

KEBS Tasked to Probe Radioactive Material Claims

IMG 9779

The Government has given the Kenya Bureau of Standards (KEBS) one week to investigate claims that some cars imported into the country from Japan could be having radioactive materials.

Industrialisation Cabinet Secretary Adan Mohammed said he had appointed a team of investigators and was expected to furnish him with the findings within a week. He was speaking yesterday on a day when standards agencies all over the world marked the World Standards Day. This directive comes a month after a Japanese firm contracted by KEBS to inspect vehicle imports was blacklisted from conducting radiation inspection due to shoddy work.

Japan Harbor Transportation Association (JHTA) in a notice dated August 27, 2015 cancelled the licences of Quality Inspection Services Inc Japan (QISJ) and another firm for poor inspection of radioactive substances in used vehicles.

Mr Mohammed also directed that all goods coming into the country be inspected at the point of departure and not at the port of Mombasa. This is to avoid cases in which counterfeit products come into the country. The CS noted that except in areas where there are no inspection agencies, cases of counterfeit products will be brought at the doors of inspection agencies.

Read more: KEBS Tasked to Probe Radioactive Material Claims

New Ferry Puts Kenya on Map of Emerging Ship-Building Nations

FERRY

A local firm Wednesday celebrated completing the assembly of a ferry in Mombasa, putting Kenya on the map of emerging ship-building countries in the region.

Southern Engineering Company (Seco) partnered with a Germany-based company – Damen Shipyards – in the project that took eight months.

Some parts of the ferry (Mv Albert 1) were made in Kenya while others were imported from Germany and India in a ship that cost $3 million (Sh310 million). It will be delivered to Uganda National Roads Authority (UNRA) by end of November.

"This is a milestone for us and prove that there is nothing we cannot do in Kenya," said Seco general manager Omri Cohen during the pre-launch ceremony at the company premises near Mbaraki Wharf, 500 metres across Kenya Ferry Services (KFS).

Read more: New Ferry Puts Kenya on Map of Emerging Ship-Building Nations

University Organizes Conference on Business Growth in Africa

SME conference

Kenya will this month host another high-level international conference on business acceleration in Africa.

The three-day conference, set for October 27, has been organized by Mount Kenya University (MKU) and Germany's Leipzig University.

The conference, whose theme is "New concepts for business acceleration for Africa" will be held at Kenyatta International Convention Centre. The event will bring together SMEs, academicians, regulators, industry players, policy makers, financial institutions, entrepreneurs and investors from across Africa, Europe and US.

Read more: University Organizes Conference on Business Growth in Africa

Kenya to Roll out Special Economic Zones in First Quarter of 2016

EPZ

The government plans to roll out Special Economic Zones (SEZs) which will enjoy lower taxes to boost Kenya's investment profile.

The designated trading zones will be established in the first quarter of 2016, the Industrialisation ministry has said.

They are expected to help investors cut down on key cost drivers such as transport, with the hope that surplus funds would go towards value addition.

The focus of the new policy on SEZs is that goods be produced closer to raw material sources and investors handed preferential terms on matters such as licensing.

"The ministry plans to roll out the Special Economic Zones in the first quarter of next year," the Industrialisation ministry said last week following a business forum between Kenya and Tanzania.

Read more: Kenya to Roll out Special Economic Zones in First Quarter of 2016

BAT Opens Sh152m Warehouse with Eye on Exports Growth

BAT

Cigarette maker British American Tobacco (BAT) has opened a Sh152 million warehouse expected to increase its storage capacity for exports.

Managing director Keith Gretton said the Cut Rag Tobacco Store would create additional space to increase storage capacity by 300 million kilogrammes, an equivalent of 280 40-foot containers of semi-processed tobacco.

"We export 70 per cent of our manufactured products to 16 foreign countries within East and Central Africa region and we want to become the supplier of choice and an exporting hub," said Mr Gretton during the opening of the facility at BAT headquarters in Nairobi on Wednesday.

Read more: BAT Opens Sh152m Warehouse with Eye on Exports Growth

Chai Sacco, Nairobi County launch youth business mentorship project

Youth

Chai Sacco and Nairobi City County have launched an empowerment program to train 200 Nairobi youth groups in financial management.

Speaking Friday at the official opening, Chai Sacco Chairman Boniface Ayub said that the first phase of the recruitment campaign had attracted over 400 youth groups.

Only half of the 400 youth groups qualified for the three-month mentorship programme after vetting.

"Our youth haven't been adequately exposed to financial training to enable them fully exploit the opportunities provided by the private and public sectors. With this in mind, we hope to train these groups on financial management and investment, saving, developing business plans, basic marketing skills and also through their monthly or weekly contributions offer cheap financing to grow their businesses," he said.

Read more: Chai Sacco, Nairobi County launch youth business mentorship project

New Office to Make Doing Business in Kenya Easier

DEAL

In September, the government passed a law that will change the manner in which business registration is carried out. The law has established a business registration service that will streamline the incorporation of companies, partnerships and firms.

It intends to provide for effective administration of the laws pertaining to companies, partnerships and other businesses in relation to incorporation, registration, operation and management.

The Business Registration Service is a State corporation that shall be headquartered in Nairobi but shall have other branches in counties. This is unlike before where incorporations and registrations were carried out in Nairobi only, greatly inconveniencing those who were not based in the capital city.

Read more: New Office to Make Doing Business in Kenya Easier

Contacts

  • Social Security House, Block A, 17th, 23rd Floor
  • P.O. Box 30418-00100, Nairobi, Kenya
  • Telephone: +254 20-2731531
  • Fax: +254 20-2731511
  • Email: This email address is being protected from spambots. You need JavaScript enabled to view it. 
    This email address is being protected from spambots. You need JavaScript enabled to view it. 

Ministry of Industrialization And Enterprise Development Facebook   Ministry of Industrialization And Enterprise Development Facebook Twitter   Ministry of Industrialization And Enterprise Development Google-plus   Ministry of Industrialization And Enterprise Development Youtube

Newsletter Subscription

Subscribe to our quarterly newsletter for updates

© 2017 Ministry of Industry, Trade and Cooperatives