By Ivyn Kipruto
Kenya’s export sector is set for renewed growth following the United States of America (USA) approval of a three-year extension of the African Growth and Opportunity Act (AGOA).
Lee Kinyanjui, Cabinet Secretary in the Ministry of Investments, Trade and Industry said that the move is expected to stabilize trade relations and unlock new economic opportunities for the country.
“The extension offers a major boost to Kenya’s textile and apparel industry, particularly firms operating within Export Processing Zones (EPZs),” Kinyanjui said in a statement.
He observed that beyond safeguarding existing jobs, the extension creates room for diversification of exports beyond textiles.
Kenya, he added, plans to focus on promoting value-added products and expanding the export market to maximize gains from preferential access to the US market.
Kinyanjui noted that Kenya is in talks with the US government on a bilateral trade agreement that would cover additional sectors and provide a more predictable framework for exporters and investors.
“With the AGOA extension now in place, attention is shifting to implementation, private sector support, and ensuring that more Kenyan products benefit from duty-free access to the US market,” he added.
Currently, Kenya’s major exports to the US include textiles and apparel, coffee, tea, horticultural products, and tourism services.
Kenya's EPZs that produce clothes that are exported to the US currently employ more than 80,000 workers directly and support an additional 250,000 jobs indirectly.
The decision ends months of uncertainty that had slowed investment and expansion in the sector.
Kenya pledges to continue working with stakeholders to fully leverage the opportunity and position Kenya as a competitive export hub in the region.
