Kenya's farm industry praises duty-free access

Stakeholders in Kenya's agricultural sector have welcomed China's zero-tariff policy, set to take effect on Friday, saying it will spur one of the country's key industries.

Speaking at a symposium in Kenya's capital Nairobi on Monday, government officials, agricultural agencies and business groups described the offer as a milestone that will strengthen the competitiveness of Kenyan products in the Chinese market.

Erick Rutto, president of the Kenya National Chamber of Commerce and Industry, said that the policy will not only enhance the appeal of Kenyan products in China but also expand exports to the world's second-largest economy.

"Since we opened a new office in China, we have managed to create new markets and exported goods worth $5.8 million," Rutto said, adding that the chamber plans to double bilateral trade within the next 10 years.

He also expressed hope that Chinese authorities would fast-track certification for Kenya's meat products, especially beef, mutton and goat, to help diversify exports to China.

Ernest Muthomi, CEO of the Avocado Society of Kenya, said the policy marks a key milestone for exporters and farmers of avocados, one of the country's major agricultural products.

He said that avocado exports to China have already achieved several milestones, beginning with frozen shipments of the fruit in 2019 and followed by the launch of fresh exports in August 2022 after the two countries reached sanitary inspection agreements.

Muthomi proposed establishing a joint China-Kenya avocado committee under the zero-tariff framework to help farmers and exporters make full use of the opportunity and address challenges.

Florence Jelagat, assistant director at Kenya's Coffee Directorate, said the policy will greatly benefit small-scale farmers by offering better prices and increasing coffee exports to China.

"There is a lot of demand for Kenyan coffee in China, especially value-added coffee, because of the many roasteries and cafes that are emerging there," she said.

Challenges resolved

James Ngugi, deputy director for promotion and marketing at the Tea Board of Kenya, said earlier challenges related to residue levels of rare earth metals have been resolved through collaboration with Chinese standards bodies.

With the remaining 15 percent tariff now set to be removed, tea exports to China are poised to increase, Ngugi said.

The board has received delegations of Chinese tea investors interested in setting up manufacturing plants in Kenya, and has partnered with several Chinese universities to train local producers to meet Chinese market preferences, he added.

"That growing interest is set to accelerate now that the duties are removed," he said. "We are looking at exporting at least 15 million kilograms of tea by 2030."

Clement Tulezi, CEO of the Kenya Flower Council, said the zero-tariff offer has opened the door for the sector to diversify its exports.

"Kenya is a global leader in flower exports, supplying roughly one in six flowers sold globally. Yet in China — a market estimated at more than $20 billion — Kenyan flowers account for less than 2 percent of our exports," he said.

"This clearly shows the scale of the untapped potential and opportunity."