Ethiopia has kicked off the New Year with promising trade reports, recording a 62 per cent increase in its exports to the US. The country majorly exports textiles and garment products to the US and has invested a significant amount of money in infrastructure development such as industrial parks to boost the manufacturing industry. Read more. Source | The Exchange
Diego Dieudonné Twahirwa, a 30 year old Rwandan entrepreneur has been nominated for the Young Entrepreneur Awards at 2018 World Forum for Export Development 2018 (WEDF 2018).
The award is an initiative of the International Trade Centre (ITC) youth and trade programme, which aims at connecting young social entrepreneurs to markets. The programme also supports social entrepreneurship to help achieve the United Nations Sustainable Development Goals on quality education and inclusive and sustainable economic growth. Read more. Source | New Times
The USAID East Africa Trade and Investment Hub based in Kenya has been facilitating companies in East Africa to access markets in the US. This month, the Hub has supported nine firms from Ethiopia and Madagascar at the International Food Technologists (IFT) Expo in Chicago, U.S.A. The expo included food ingredient, equipment, processing, technology and packaging suppliers, bringing together approximately 1,200 exhibitors and 23,000 attendees interested in the science of food. Read more. Source | The Exchange
Uganda’s effort to grow shea nut as an export commodity have been boosted by four new standards that will be used at the local, regional and international market. The cosmetics standards that have been developed by Uganda National Bureau of Standards and Uganda Export Promotions Board (UEPB)include pure shea nut butter cosmetics (DUS 1931:2017), lip balm (DUS 1932: 2017); lip shine (DUS 1933: 2017) and after shave (DUS 1934:2017) plus the already developed shea nut butter food products standards. Read more. Source | Daily Monitor
In 2017, 37 per cent of Kenya’s exports went to an African country, down from 40 per cent the previous year. This caused a near flat growth in export earnings, particularly from East Africa which accounts for more than half of Africa’s total trade with Kenya.These declining trade levels have spurred interest in the establishment of policies and structures that can boost intra-Africa trade. Read more. Source | Business Daily
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
Ethiopian Airlines had made it clear in the early days of February 2018 that it seeks to launch directs flight to Chicago this year to bridge the gap of travelers between the two continents. The Ethiopian has been on scintillating form, fending off its competitors in Africa and establishing its brand as the top-notch airline in the continent. Kenya Airways, among other airline companies have not been able to keep the pace of the competition in the aviation industry giving the Ethiopian too much credit and accolades for its hard work. Read more. Source | The Exchange
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.
AfCFTA is a statement by Africans saying that they want to take control, own and have a view of their own economic relationships, and as a continent, have slightly more power regarding their trade. Countries want to exploit these benefits to grow faster and create jobs.
AGOA, for instance, was opened to 49 countries, and though 35 tried to take advantage of it, only seven are benefiting. The AfCFTA will help with these negotiations and tell our international partners that they need to bring more to the table, not less. Read more. Source | East African