Uk Kenya Trade Agreement

To avoid doubt, media reports indicate that the deal between Britain and Kenya has sparked trade tensions in the East African region, with Nairobi`s efforts to negotiate alone risk undermining the EAC`s customs union. The other EAC members are working to conclude a temporary trade agreement with the UK before starting block negotiations in 2021. The trade deal will allow Kenyan exporters of fresh flowers and other vegetables to continue to access the UK market on a duty-free and quota-free basis, just as they did when the UK was in the European Union. This Agreement also recognizes the importance of the whole region and the Agreement is open to other members of the East African Community. The sixth bilateral trade deal will allow British and Kenyan companies to expand already £1.4 billion ($1.8 billion) a year. Second, Britain and Kenya`s proposal will soon be against China`s headwinds. Like the Siamese twins, Sino-Kenyan trade relations are linked in highly critical economic sectors, where there is little room for maneuver for Britain. China has probably become Kenya`s largest trading partner and accounts for 17.2% of the country`s total trade. “Whether it`s tea, horticulture, pharmaceuticals or vehicles, trade between our countries continues to grow.

Prior to Brexit, the UK had made a strong commitment to trade deals in Africa, with the public development finance institution CDC Group pledging £2 billion in African investment in 2020 and 2021, while the UK-Africa Investment Summit was held in London last January. The previous Cotonou agreement has been criticised for failing to improve local industrial growth and Kenyan officials say the deal with Britain is improving this situation by allowing the export of locally made products from materials purchased outside Kenya. We will use this agreement as a catalyst to deepen our mutual prosperity, in addition to other areas of cooperation, in our strategic partnership with Kenya, which encompasses security, sustainable development, climate change and cultural pillars. While Kenya was walking bilaterally, Nairobi officials argued that the EAC`s Customs Union Protocol contains provisions allowing members to negotiate a trade agreement with an external body as long as it does not violate the protocol. This trade agreement will build on the historic relationship between Britain and Kenya and will be the perfect springboard to increase our trade in the future. Kenya will open its markets during more than 25 years of transition, including a seven-year moratorium, which it argues will help local industries compete. During this period, at least 17% of Kenyan exports to Britain will not be liberalised, meaning that most agricultural products sold in the UK will be protected from inappropriate tariffs. Negotiations for a trade deal with Kenya are over today The subject has raised concerns among many organizations that will write directly to Trade Minister Liz Truss, said Ruth Bergan, senior adviser to the Trade Justice Movement.

“If wrong deals are reached now, it could affect our ability to fight climate change, meet our commitments under the Sustainable Development Goals and ensure a robust response to the Covid-19 pandemic.” A message published on Tuesday evening said the two sides had agreed on a common basis on important trade issues with a view to an agreement that will enter into force from 2021, after the UK leaves the European Union`s transitional clauses. . . .

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