•In 2022, Kenya exported $95.1M (Sh12.8billion) to Ethiopia mainly Palm Oil $12.4M (Sh1.7billion), Metal Stoppers $7.95M (Sh1.1billion) and Yeast $6.92M (Sh934million).
•This compares to just $26.6m (Sh3.6billion) that Ethiopia exported to Kenya in the period mainly comprising dried legumes $6.26M (Sh845million), dried vegetables $5.01M (Sh675million) and corn $2.68M (Sh362million).
Image: HANDOUT
Kenya and Ethiopia have renewed the push to streamline the bottlenecks that are hampering trade growth between the two states
A delegation of the National Assembly to the Kenya-Ethiopia Trade and Investment Mission held in Addis Ababa, Ethiopia, has rooted for speedy removal of bottlenecks hampering cross-border trade between both Nations.
Kenya and Ethiopia have engaged in bilateral trade across multiple sectors, including agriculture, manufacturing, energy, and services with the balance of trade hugely in favour of Kenya.
In 2022, Kenya exported $95.1M (Sh12.8billion) to Ethiopia mainly Palm Oil $12.4M (Sh1.7billion), Metal Stoppers $7.95M (Sh1.1billion) and Yeast $6.92M (Sh934million).
This compares to just $26.6m (Sh3.6billion) that Ethiopia exported to Kenya in the period mainly comprising dried legumes $6.26M (Sh845million), dried vegetables $5.01M (Sh675million) and corn $2.68M (Sh362million).
According to Observatory of Economic Complexity (OEC) a platform focused on the geography and dynamics of economic activities, during the last 27 years the exports of Kenya to Ethiopia have increased at an annualized rate of 4 percent, from $33M (Sh4.5billion) in 1995 to $95.1M (Sh12.8billion) in 2022.
Ethiopia on the other hand recorded an increased at an annualised rate of 23.7 percent, from $85.8k (Sh11.6million) in 1995 to $26.6M (Sh3.6billion) in 2022.
The delegation led by Suna West Member of Parliament Peter Masara, noted that Kenya and Ethiopia enjoy long-standing history of cultural affinity and diplomatic relations, which need to be nurtured and strengthened particularly in the realm of trade and investment.
"The economic potential between our two nations is vast, and it is our collective responsibility to harness it for the benefit of our people," said Masara.
The delegation comprising Masara, Kangema MP, Peter Kihungi and his Ganze counterpart, Kazungu Tungule, attended the conference on the invitation of the Kenya Association of Manufacturers (KAM), which had convened the meeting alongside Addis Chamber of Commerce and Sectoral Associations.
During a separate meeting with Kenyan Ambassador to Ethiopia, George Orina, the Kenyan legislators rooted for deeper collaboration between the Kenyan investors based in Ethiopia, as well as with other stakeholders to identify key policy gaps that need legislation to boost the Kenya-Ethiopia cross-border trade.
Kihungi noted that there was need for more of such deliberative forums between Kenyan and Ethiopian stakeholders to streamline policies and align critical standardization gaps for easier trade.
Tungule rooted for more initiatives to boost inclusive economic growth that benefits all segments of society, through such targeted legislative interventions as the promotion of small and medium-sized enterprises (SMEs) and the creation of conducive conditions for entrepreneurship and innovation.
Speakers at the conference said there was a need to fast track the conclusion of the Mutual Recognition Agreement to ensure that products that are tested and certified in one country, do not need to undergo the process again in the other country.
They noted that this calls for building of mutual trust between the two countries, in addition to the removal of non-tariff barriers to ease trade.
During the Meeting Kenyan investors also undertook exhibitions showcasing some of their products.