July 3, 2024

Kenya responds after US reportedly introduces new demands before signing free trade deal

3 min read
Kenya responds after US introduces new demands before signing free trade deal

US introduces new demands on the ongoing negotiations before signing a trade deal with Kenya according to media reports

US introduces new demands on the ongoing negotiations before signing a trade deal with Kenya according to media reports.

On Sunday, July 23, Trade Principal Secretary (PS) Alfred K’Ombudo refuted media claims that the United States had put out fresh conditions before finalizing a free trade agreement that has been in talks since 2020.

His remarks come in response to a Sunday Nation article that said the US delegation, which was led by Trade Representative Katherine Tai, was pressuring the Kenyan government to implement economic and social reforms before reaching an agreement.

According to the newspaper, the US negotiating team wanted Kenya to withdraw the Family Protection Bill, which was introduced by Peter Kaluma, a member of parliament for Homa Bay Town and sought to forbid the funding, recruiting, and promotion of LGBTQ organizations.

Other conditions being pushed include combating corruption and developing transparent licencing and regulatory systems according to the Daily. 

The PS remarked that the reporting did not accurately reflect the events of the three-day negotiations that started on Monday, July 17.

“The negotiations are proceeding on schedule, and with a high degree of convergence across several chapters,” K’ Ombudo stated.

He further stated that the trade negotiations were not one-way as reported but it was a deal between two equals.

The Principal Secretary in a statement that was endorsed by his Foreign Affairs counterpart Korir Sing’oei, added that the negotiations had added new promising sectors such as digital trade.

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The free trade deal seeks to do away with the Africa Growth and Opportunity Act (AGOA) which allows Kenya to export goods to the US duty-free. 

The free trade deal, expected to be signed by April 2024, focuses on non-tariff partnerships, which will boost labour and production standards in Kenya. 

On her visit to Kenya, Tai promised to enhance economic integration and expansion in the East African Community (EAC).

“Cooperation makes us stronger, and I look forward to our continued, dynamic work as a council,” Tai announced while chairing the U.S.-East African Community Trade and Investment Framework Agreement Council.

According to the US Department of State, the country is the largest destination for Kenya’s exports and the seventh largest source of its imports.

The main exports to the US include apparel, coffee, and tea.

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