EU-Kenya trade deal set to transform Kenyan apparel exports

A press statement from the European Commission earlier this month highlighted that the agreement is expected to boost bilateral trade in goods, increase investment flows, and strengthen ties between reliable partners. This pact, concluded in June 2023 and signed by both parties on December 18, 2023, is the most ambitious deal negotiated with an African country in terms of sustainability.

Kenya exported apparel worth $110.905 million, of which shipments to North American nations accounted for $103.735 million, or 93.53 per cent. In contrast, the share of exports to Europe (including both EU members and non-members) was just 2.83 per cent, with the remainder sent to Asia-Pacific, Central and South America, and the Middle East, according to Fibre2Fashion's market insight tool TexPro.

Last year, Kenya’s apparel exports totalled $319.594 million. Of this, shipments to North America were valued at $296.323 million (92.72 per cent), exports to Africa at $9.613 million (3.01 per cent), Europe at $7.765 million (2.43 per cent), Asia-Pacific at $3.592 million (1.12 per cent), Central and South America at $1.591 million (0.50 per cent), and the Middle East at $0.707 million (0.22 per cent).

In 2023, all European nations collectively imported $222.813 billion worth of apparel. Of this, African nations contributed 4.42 per cent. The majority of imports, over 93 per cent, came from Asia-Pacific, Europe, and the Middle East. In the first quarter of this year, Europe’s apparel imports totalled $53.401 billion. Among the top four regions, the inbound shipments were valued at $26.652 billion (49.91 per cent) from Asia-Pacific, $19.589 billion (36.68 per cent) from Europe, $4.322 billion (8.09 per cent) from the Middle East, and $2.461 billion (4.61 per cent) from Africa, according to TexPro.

Fibre2Fashion News Desk (KUL)