Kenya wants to expand its exports to the US beyond textiles. An opportunity has been provided with the renewals of African Growth and Opportunity Act (AGOA). The US Congress has renewed the 15-year old AGOA, which grants duty free access to imports sourced from countries in Africa.

Kenya currently exports less than 10 products to the US, out of the 6,400 which have been listed under trade promotion laws. Most of Kenya’s exports are textiles produced in the export processing zones. Kenya was among the first countries to qualify for export under AGOA in 2001 and since then textiles and apparel have dominated the composition of exports to the US. Apparel exports under AGOA tripled from 2001 to 2006. Under AGOA Kenya has increased employment, provided extra income to urban and rural workers and boosted its economy.

But bilateral trade has been in favor of the US, as Kenya imports more. US exports to Kenya have generally been manufactured high value goods such as aircraft parts, machinery, electronic equipment, pharmaceuticals, organic chemicals, plastics, and fertilizers. Kenya’s exports to the US are relatively lower priced goods and commodities such as tea, textiles, apparels, handcrafts, and processed nuts.