The Kenyan government has welcomed has welcomed the decision by the United States House of Representatives, which passed a Bill to extend the Africa Growth and Opportunity Act (AGOA) for three years.
In a statement by the Cabinet Secretary for Investments, Trade and Industry, Lee Kinyanjui, the move is a critical milestone in US-Africa trade relations.
He also added that the step is a major boost for Kenyan businesses exporting to the US market, enhancing trade opportunities and market access.
CS Kinyanjui stated that Kenya’s textile and apparel industries operating within the Export Processing Zones (EPZs), will be the biggest beneficiaries of the three-year extension. Kinyanjui noted that the industries employ over 80,000 people directly and an additional 250,000 indirectly.
“The uncertainty that had previously engulfed the sector will now give way to renewed confidence and expansion,” the CS said, asserting that his Ministry will now aim at growing exports of additional products beyond textiles, under the AGOA frame work.
He stated that this will help create and stabilize jobs, generate wealth and encourage further investment in export-oriented industries.
“As a Ministry, we aim to grow exports of additional products under the AGOA framework beyond textiles, ensuring that Kenya fully leverages this opportunity to create jobs and generate wealth,” Kinyanjui said.
The CS also revealed plans to engage in discussions with the United States, on bilateral trade agreements that will cover key sectors and bolster Kenya-US trade partnership.
“We are in discussions on a bilateral trade agreement that will cover other key sectors and further cement Kenya’s long-standing partnership with the United States,” the statement said.
The extension of AGOA is a result of recent high-level engagements between Kenya and the United States. President William Ruto’s visit to Washington, D.C. saw Kenya advocate for expanded access to the U.S. market, which was among the top issues discussed.
“During the recent visit by H.E. President William Ruto to Washington, D.C., Kenya’s request for enhanced market access to the US was discussed,” the ministry said.
