China remains Kenya’s top import source despite Western shift

KENYA- Trade data from the Kenya National Bureau of Statistics (KNBS) shows China retained its position as Kenya’s top import source in Q1 2024, with goods worth KES 126.1 billion (US$983.2 million) imported from the Asian country. 

However, the value of imported goods declined from KES 134.1 billion (US$1.043 billion) imported from China in Q4 2023. 

India was the second largest import source in the reported quarter, with KES 72 billion (US$560.3 million) worth of goods imported. UAE was the third largest import source in Q1 2024, with goods worth KES 67 billion (US$521.4) imported from the Middle East country. 

Malaysia and the US closed the top five list with goods worth KES 42.8 billion (US$333 million) and KES 41.1 billion (US$319.8 million) imported, respectively, in Q1 2024.  

Total trade volume in the reported quarter was KES 981 billion (US$7.6 billion), a 19.4% increase compared to the same quarter last year. Total exports and imports increased by 28% and 16% respectively. Kenya’s total earnings from exports increased from KES 258.7 billion (US$2.01 billion) in Q4 2023 to KES 297.9 billion (US$2.32 billion) in the reported quarter.  

However, KNBS also revealed that the trade deficit worsened in Q1 2024 to KES 386.1 billion (US$3 billion) from KES 357 billion (US$2.8 billion) in the same quarter in the previous year. 

Africa remains Kenya’s biggest export market, with earnings increasing from KES 112.4 billion (US$874.7 million) in the same quarter last year to KES 113.9 billion (US$886.4 million) in Q1 2024. 

Kenya has recently exacerbated efforts towards broadening its export market, looking Westwards. KNBS revealed exports to Europe increased from KES 56.1 billion (US$436.5 million) in Q1 2023 to KES 75.9 billion in Q1 2024 (US$590.6 million), a testament to this paradigm shift.  

On July 1, the East African country announced the EU-Kenya Economic Partnership Agreement (EPA) will take effect after nearly ten years of negotiations. The deal would open up the Kenyan market for duty free goods from the EU and provide unrestricted access of Kenyan goods to the bloc.  

The government also announced it had started talks with the US to form a similar trade agreement. 

Liked this article? Subscribe to Food Business Africa News, our regular email newsletters with the latest news insights from Africa and the World’s food and agro industry. HERE