Ethiopia has registered a slight dip in the amount of Foreign Direct Investment for 2017, but still was able to absorb half of all $7.6 billion investment for East Africa.
According to World Investment Report of the United Nations Conference on Trade (UNCTAD), FDI flows to Africa slumped to $42 billion in 2017, a 21 per cent decline from 2016 with weak oil prices and harmful ongoing macroeconomic effects singled as causes of the lower funding. But on a consoling note, even all of global FDI has slowed in the last year. Read more. Source | The Exchange
Kenya’s economic growth is pegged on its ability to create wealth and employment opportunities, while at the same time expanding access to public services. The country has over the last two decades invested heavily in infrastructure development with both the government and the private sector rolling out mega projects in roads, power generation and ramping up local assembly and production. Read more. Source | Business Daily
Kenya has been recognized for many things, among them tourism, infrastructure, agriculture exports and investments. International investors are eyeing the country for investments, with some taking time to run exhibitions displaying some of the possible investment opportunities that could be pursued. Read more. Source | The Exchange
Cut flower business last year shrugged off prolonged electioneering to post a record Sh82.2 billion export earnings representing a 20 per cent rise from Sh70.8 billion in 2016.The all-time high earnings were attributed to the sale of 159,961 metric tonnes compared to 133,668 tonnes shipped to European markets in 2016.
Kenya Flower Council (KFC) said the labour-intensive subsector witnessed heavy investments in new farms and expansion driven by tax incentives for key imported inputs. Read more. Source | Daily Nation
East African countries could lead the world in growth in consumption of tea during the next decade, even as they occupy top positions in exports of the commodity. Estimates by the Food and Agricultural Organisation show that Rwanda will lead in growth at nine per cent followed by Uganda at five per cent and Kenya at 4.4 per cent. Read more. Source | East African
AGOA 101 Kenya. The USAID Hub helps East African businesses take advantage of the African Growth and Opportunity Act (AGOA). AGOA allows for duty-free export of over 6,000 products. This guide outlines the step-by-step process that Kenyan businesses should take to export to the United States of America (U.S.A.) duty-free through AGOA and gives a general overview for the export of all AGOA products from Kenya. It provides additional information on the export of four high-demand, high-value sectors, namely textiles and apparel; coffee; nuts and oil crops; and cut flowers. Although exporting can be a challenging process, it can also be profitable for the individual or company that successfully complies with the steps. Exporters must follow two sets of requirements:
1. Kenyan laws and regulations that govern the export process, and
2. Laws and regulations that govern the destination country’s imports, in this case, the U.S.A.
Regulations also vary according to the product being exported; exporters must research to ensure that their product meets the necessary requirements for export.
This guide assumes that the exporter or potential exporter has already conducted the necessary market research, and is ready to export. Before proceeding, exporters must identify the correct tariff code and its eligibility for dutyfree export under AGOA. This status can be established by referring to https://agoa.info/about-agoa/products. Insert the product name, search for the correct tariff code, and confirm its AGOA status - denoted by the letter “D” in the AGOA indicator column. Exporters should familiarize themselves with U.S.A. industry standards and product specific regulations that may require additional documentation and procedures.
Feed the Future, part of USAID has announced that 228 applications were received, mostly from Africa, for the global Fall Armyworm Tech Prize. The Prize aims to find digital solutions to identify, track and protect crops from the pest, which has devastated agricultural produce across the continent.
Over 80% of the entries came from Africa with the five countries with the highest number of entries being Uganda 52, Nigeria 25, USA 23, Ghana 22 and Kenya 21. Read more. Source | The Exchange
US conglomerate Seaboard Corporation has embarked on an intensive campaign aimed at winning shareholders to unlock its quest to take control of Kenyan miller Unga Group #ticker:UNGA.
Seaboard Corporation has placed a bid to buy the Nairobi Securities Exchange-listed firm at the price of Sh40 per share and is required to win the support of investors controlling at least 75 per cent of Unga Group for the deal to sail through. Read more. Source | Daily Nation
US firms are among exhibitors set to debut in the seventh edition of the International Flower Trade Expo (Iftex) in Nairobi, thanks to the impending launch of direct flights to US in October.
Iftex says the merchants want to take advantage of the flights by Kenya Airways to New York to cut the long process of getting produce through Amsterdam.The expo to be held next month comes at a time Kenya is trying to diversify its market from Europe to Asian countries seen as a potential market for cut flowers. Read more. Source | Business Daily