Kenya loses UK market share in Rwanda, Dar

Kenya must raise its production standards and increase its marketing to counter the similar efforts of its neighbors who are fighting over the United Kingdom (UK) market, latest trade report and investments

According to the latest study from the Overseas Development Institute (ODI), exports to the United Kingdom from the rest of the world grew by 15% in eight years until 2017.

Kenya lost all of its top three "Kenya has lost competitiveness vis-à-vis other countries and this needs to be corrected by raising its standards, improving the marketing and image of brand of its products and diversifying, "said Dirk Wellem Te Velde. , Principal Investigator and Head of the Economic Development Group.

Data from the International Trade Center showed that the value of Kenya's exports to the United Kingdom decreased from 50.3 billion shillings in 2009 to 37.6 billion shillings in 2017

This trend is expected to decline further if the country does not address the challenges of infrastructure, diversity and standards to avoid increased competition.

The study shows that Kenya's share of UK imports fell by 16% in 2011 due to improved wages, marketing systems, diversity and compliance with standards .

"Lack of diversification has reduced Kenya 's competitiveness and caused significant competition from other African countries such as Rwanda, Ethiopia, Tanzania and the Pacific Coast. Ivory, all are gradually eating Kenya's market share in the UK, "said Mr Velde in the report.

He added that in some cases the country was unable to comply with residue limits in exports such as beans, and neighboring countries took advantage of them to gain share.

Kenya's three main exports to the United Kingdom are tea, roses and beans. But between 2012 and 2016, its total value of tea imported from the UK decreased by 0.9 percent while Rwanda rose by 20.6 percent.

During the same period, the value of fresh roses and buds in Kenya decreased by 2.3 percent; that of Ethiopia rose by 88.7 percent.

And while the value of fresh or chilled beans exported to the United Kingdom fell by 12.2%, Tanzania saw an increase of 12.2%