Kenya trade principal harbours hopes of better trade relations with Tanzania

Kenya’s Trade Principal Secretary Chris Kiptoo

What you need to know:

“A lot has been said on the pertinent issues disrupting trade between Kenya and Tanzania. Kenya considers Tanzania as an important market for its goods and services, which has seen Tanzania become our second most treasured customer in East Africa and sixth in the world,” he said last week when unveiling their new strategy to revitalise exports, which have stagnated for some time.

Dar es Salaam. Kenya’s Trade Principal Secretary Chris Kiptoo has played down the current Kenya-Tanzania row and expressed optimism that cordial relations between the two longtime development allies would be restored soon.

“A lot has been said on the pertinent issues disrupting trade between Kenya and Tanzania. Kenya considers Tanzania as an important market for its goods and services, which has seen Tanzania become our second most treasured customer in East Africa and sixth in the world,” he said last week when unveiling their new strategy to revitalise exports, which have stagnated for some time.

In an exclusive interview with The Citizen last week, the permanent secretary in the Ministry of Foreign Affairs and East African Cooperation, Prof Adolf Mkenda, also downplayed claims that Tanzania was increasingly becoming hostile to her neighbour. 

"Some issues have already been resolved and I am optimistic that those remaining will also be settled amicably," he said in a telephone interview.

According to the PS, Tanzanian delegates will meet their Kenyan counterparts in Mombasa at the end of this month amid growing concerns over the ongoing "trade war".

Tanzania is still a key market for Kenyan manufactured goods and despite the seemingly shaky trade relations between the two, the country is likely to be high on the list of target export markets in the neighbouring country's new strategy.

The strategy dubbed National Export Development and Promotion Strategy aims at growing exports by 20 per cent by 2022. 

As Kenya seeks to expand exports through the new markets, the PS said the country would also foster closer ties with traditional markets, especially in East Africa.

Last year, Tanzania bought goods worth KSh34.8 billion (Sh805 billion) from Kenya and exported goods worth KSh12.8 billion (Sh299 billion) to Kenya, among them wheat and cooking gas.