What the UK-Kenya trade deal means for EAC member states

The East African Community member states have up to five years to join the UK-Kenya trade agreement due to be signed ahead of the Brexit transitional deadline. The new document has also shielded budgetary cuts that had been imposed on Trade Mark East Africa’s work in Kenya, allowing continued regional trade facilitation by the organization. Communication Consultant, Alex Owiti joins CNBC Africa for more.

Wed, 11 Nov 2020 12:58:09 GMT

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AI Generated Summary

The ongoing negotiations between Kenya and the UK aim to provide duty-free and quota-free access for goods, benefiting less developed member states.
Other East African countries have a five-year window to join the trade agreement, presenting an opportunity for harmonization of trade policies within the region.
The potential trade deal between Kenya and the UK could pose challenges for the customs union but also offers the chance for enhanced regional integration and economic growth post-Brexit.

The East African Community member states have up to five years to join the UK-Kenya trade agreement, which is set to be signed ahead of the Brexit transitional deadline. The deal not only shields budget cuts that had been imposed on Trade Mark East Africa's work in Kenya but also allows for continued regional trade facilitation by the organization. Communication consultant Alex Owiti sheds light on the implications of this agreement. According to sources, negotiations between Kenya and the UK are ongoing, with the expectation that the deal will be signed before the December 31st Brexit deadline. The agreement aims to provide duty-free and quota-free access for goods, benefiting member states that are less developed compared to Kenya, a middle-income country. Despite initial reluctance from other East African countries due to COVID-19 management and election cycles, they still have a five-year window to join and enjoy the same benefits as Kenya. This presents an opportunity for harmonization of trade policies within the region. The potential trade deal between Kenya and the UK could pose both challenges and benefits for the East African Community. While Kenya stands to lose its duty-free status if the transitional protocols expire, there is also concern that Nairobi's individual negotiations could undermine the customs union. However, there is optimism that the five-year opt-in period for other member states could lead to enhanced regional integration. The East African bloc still faces challenges in harmonizing trade policies and addressing non-tariff barriers. It is crucial for member states to work collaboratively to ensure a smooth trade flow and maximize the benefits of the UK-Kenya trade deal. The unique trade concessions obtained by Kenya could potentially create new barriers from other member states, but it is essential for the region to unite and capitalize on the opportunity at hand. By focusing on collaboration and mutual benefit, the East African Community can pave the way for increased regional integration and economic growth post-Brexit.