Pakistan has knocked out Uganda as Kenya’s leading export market.
Government data in the Kenya Tea Industry Performance Highlights for December 2017 show Pakistan was the leading export destination for Kenyan tea with a volume of 153.68 million kilogrammes, equivalent to 36.97 per cent of the total volumes of tea exported.
Data by the Kenya National Bureau of Statistics show the value of exports to the world’s sixth most populous country was the highest among major export destinations raking in Sh63.92 billion, a 59.3 per cent increase from the value reported in 2016.
This is Sh13.94 billion more than what Kenya got from sales to Uganda which has traditionally been the largest destination for Kenyan goods.
Despite registering a 7.99 per cent increase to Sh49.98 billion in 2017, exports to the neighbouring country including lime, cement and fabricated construction materials (other than glass and clay) have been on a gradual decline since hitting record highs of Sh75.95 billion in 2011.
Us third largest market
The data show sales to Tanzania dropped by 11.87 per cent to Sh22.72 billion over the review period signaling a general decline in intra-regional trade between EAC states.
The Extra-ordinary Council on Trade, Industry, Finance and Investment sitting in Arusha through the Trade and Investment Report 2016 observed the decline in Kenya’s exports to its neighbouring countries was as a result of partner states industrialising faster. “The decline in Kenya exports was attributed to falling exports resulting from partner states increasing their manufacturing capacity for products like cement, iron and steel products,” the report stated.
Influx
Data by the state statistician shows US was the third largest export market with sales growing 8.9 per cent to Sh46.94 billion. Netherlands and UK followed with exports amounting to Sh41.28 billion and Sh38.27 billion. The Kenya Association of Manufacturers has cited an influx of goods from China, India and Japan as a thorn in intra-EAC trade.