Kenya wants China to remove tariffs on coffee, tea, avocados as trade imbalance persists

Kenya wants China to remove tariffs on coffee, tea, avocados as trade imbalance persists

During the discussions, he highlighted that China currently imposes steep tariffs on Kenyan produce, including 8 per cent on non-roasted coffee, 20 per cent on roasted coffee, 15 per cent on tea, and up to 20 per cent on avocados.

Kenya is seeking the removal of high tariffs and the approval of pending export protocols for its coffee, tea, and avocados, with Agriculture CS Mutahi Kagwe highlighting the impact on farmers’ livelihoods and the country’s persistent trade imbalance with China.

Kagwe met senior officials from China’s General Administration of Customs (GACC), including Vice Minister Wang Jun and directors responsible for duty collection and animal and plant quarantine.

During the discussions, he highlighted that China currently imposes steep tariffs on Kenyan produce, including 8 per cent on non-roasted coffee, 20 per cent on roasted coffee, 15 per cent on tea, and up to 20 per cent on avocados.

The meeting focused on clearing long-delayed protocols for Kenyan coffee, tea, avocados, mangoes, dried fruits, and livestock products.

Kagwe emphasised that Kenya has completed the technical submissions required for export, with the Kenya Plant Health Inspectorate Service (KEPHIS) confirming readiness for protocols covering fresh mangoes, dried chillies, green grams, dried fruits, and plant-based medicinal materials.

Final approval from GACC is still pending, preventing large-scale shipments from commencing.

He also highlighted Kenya’s desire for deeper collaboration in agricultural research, value chain upgrading, laboratory strengthening, and the exchange of technical staff.

Kagwe stressed the importance of clearing pending livestock export applications, some of which have been under review for over two years, noting that the entry of Kenyan meat into China would represent a historic milestone for farmers and processors.

Kagwe underscored that Kenya-China trade remains heavily skewed, with Kenya importing approximately $4.5 billion (approximately Sh583.9 billion) worth of goods in 2024 while exporting only $290 million (approximately Sh37.6 billion), mostly raw agricultural commodities.

He said the trade deficit is unsustainable and called for urgent measures, including tariff elimination and rapid sanitary and phytosanitary (SPS) clearance, to expand market access for Kenyan farmers.

Kenya and China are in the process of finalising a bilateral trade framework that would eliminate tariffs on major Kenyan agricultural exports, but the final signatures and operationalisation have been delayed, causing concern among local farmers and exporters.

The discussions follow a bilateral agreement reached between Presidents William Ruto and Xi Jinping in Beijing, which called for zero tariffs on major Kenyan agricultural exports.

Kagwe stressed the need to translate policy commitments into real volumes, container movement, and expanded access for rural producers, noting that Kenya is fully prepared and aligned with technical requirements, awaiting China’s final approvals.

"When the President was in Kenya, they developed a very robust trading agreement which we in the Ministry of Agriculture would like to take advantage of, " he stated.

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