President William Ruto on Thursday evening hosted apparel industry stakeholders at State House, Nairobi, following the expiry of the African Growth and Opportunity Act (AGOA), which has thrown the sector into uncertainty.
The 25-year-old trade pact, which expired on September 30, had granted Kenya and other Sub-Saharan African countries duty-free access to the US market for more than 1,800 products. It has been instrumental in creating over 50,000 jobs in Kenya and boosting foreign exchange earnings.
Ruto briefed industry players on his recent discussions with US Secretary of State Marco Rubio in Washington DC, noting that Kenya is pushing not just for AGOA’s extension but also for a long-term trade framework that ensures predictability for local manufacturers.
“This will go a long way in strengthening our apparel industry, which remains vital to our economy and the livelihoods of thousands of families,” Ruto said.
He assured stakeholders that operations in the sector would continue without disruption as talks with Washington proceed. His meeting comes amid concerns from apparel firms, some of which have already hinted at scaling down operations and exploring alternative markets if the deal is not renewed quickly.
Trade Cabinet Secretary Lee Kinyanjui has also expressed optimism, saying Kenya is actively engaging the US to secure a favourable outcome for the industry.
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