Lack of product diversification was also blamed for the erosion in the Kenyan exports and ailing market competitiveness, the People Daily reported on Monday, July 23. “This has given rise to significant competition from other African countries, namely Rwanda, Ethiopia, Tanzania and Cote D’Ivoire, all which have gradually eaten into the market share,” the report read.
The report said Cote D’Ivoire had extensive marketing systems which gave it an edge to compete in the front which Kenya had taken lead for decades.“In some cases, Kenya is unable to comply with EU maximum residue levels of pesticides in, for instance, beans,” the report indicated.
Export shares to the UK stood at 26.7% in 2001 but have since dropped to 13.5% since 2016.
“Increased export competition from Rwanda, Ethiopia and Tanzania to the UK has significantly reduced Kenya’s export to the country by almost half in the last one decade,” the report continued to note. To increase the country’s shares in the trade, the report recommended that a competitive marketing system is adopted and also foster product diversification.
Among the country’s main exports include fresh roses, black tea and vegetables which are key foreign currency earners. Despite the decline in the exports, Kenya registered a 45% increase in preserved pineapples beating Germany which had 21.3%
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