China will charge zero-duty on up to 98.2pc of Kenyan products imported into the country has the two countries move to finalize their bilateral trade agreements.
While making the announcement, Industry, Trade and Investment Cabinet Secretary Lee Kinyanjui said Kenya and China entered the preliminary agreement which is now expected to open up Asia’s largest market for local producers duty-free.
“This early framework is a monumental progression that signifies China’s commitment to strengthening our trade ties further,” said Kinyanjui.
Kinyanjui said the move will also enable Kenya to diversify its exports to China especially in the agriculture sector which forms the base of goods China buys from Kenya.
“This development is expected to generate considerable employment opportunities and bring tangible benefits to our economy,” he added.
The agreement follows the decision by China to grant duty-free quota-free (DFQF) market access to for all goods originating from Africa’s Least Developed Countries (LDCs) which excludes Kenya as a developing country.
According to the Kenya National Bureau of Statistics (KNBS), Kenya exported goods valued at Ksh 26 billion against Chinese imports totaling Ksh 576 billion.
