Kenya pushes for tariff-free macadamia, tea, and coffee exports to China

KENYA – Kenya is pushing for duty-free access to China for its tea, coffee, and macadamia nuts.

President William Ruto made the case during his recent state visit to China, saying the current tariffs are hurting Kenya’s export potential.

Speaking at a diaspora Town Hall meeting in Beijing, Ruto said, “Chinese companies admit that Kenyan tea and coffee are premium, but today, they are subject to tariffs, and that is what impedes their export.”

He added that Kenya hopes to negotiate a deal similar to the African Growth and Opportunity Act (AGOA) that allows duty-free and quota-free access to the United States market.

“That way we can export more to China and export better products,” Ruto said.

Kenya’s push for better trade terms comes at a time when its agricultural exports to China are showing strong growth. Avocado exports, for example, have risen sharply.

In 2023, Kenya exported 4,324.1 tonnes of avocado to China, compared to just 443.6 tonnes in 2022, according to Chinese customs data. This increase followed the start of avocado exports to China in August 2022 after long negotiations.

Macadamia nuts are also becoming a key product for China. Kenya is now the third-largest producer of macadamia globally, behind South Africa and Australia.

Chinese buyers have shown strong demand for raw, in-shell Kenyan macadamia, signaling an opportunity for Kenyan farmers if trade barriers are lowered.

Broader talks with China

President Ruto also discussed other important matters with Chinese President Xi Jinping. These included China’s continued investment in Kenya’s infrastructure, partnerships with the Global South, and peace and security issues in the region.

China has helped finance and build several major projects in Kenya, such as the Standard Gauge Railway, the Nairobi Expressway, Lamu Port, and the Kipevu Oil Terminal.

During the visit, Kenya signed a multi-billion-shilling agreement with China, though full details have not been disclosed yet. The agreement is expected to strengthen trade and cooperation between the two countries.

Kenya adjusts rules for nuts and oil crops imports

Back home, another major development is expected to support Kenya’s nuts and oil crops sector. From April 17, 2025, businesses operating in Export Processing Zones (EPZ) and Special Economic Zones (SEZ) no longer pay import levies on nuts and oil crops brought in from East African Community (EAC) member states.

The Agriculture and Food Authority (AFA) confirmed the changes, stating that the updated rules can be found on the KenTrade Trade Facilitation Platform. “This move will reduce production costs and make fresh produce processing more competitive in both local and international markets,” said the Director General of AFA.

In 2021, Kenya spent KES 115 billion (USD 885.27 million) on edible oil imports alone. Officials believe that removing the levies will help businesses lower their costs and encourage more trade within the region.

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