New KCC has initiated talks with the Azim Milk Company of Oman in a deal that would see Kenya’s milk export increase by Sh100 million per annum.
The deal is to supply lactose-free milk to Oman for an initial five years.
Kenyan exports to United Arab Emirates (UAE) are worth Sh34.1 billion ($300 million) while Dubai exports goods worth Sh227.3 ($2 billion) to Kenya. This signals a bilateral trade imbalance between Kenya and the UAE.
According to Jaswinder Bedi, chairperson of Kenya Export Promotion and Branding Agency (Keproba) Board of Directors, Kenya must increase exports to the UAE to create a more favourable trade balance.
“The agreement between Azim and New KCC is just one of the opportunities we expect this year.
“More deals are coming, especially because now that we have had several fruitful Business-to-Business engagements taking place for vegetables, fruits, nuts, tea, coffee, meat, dairy and flowers,” said Dr Wilfred Marube, Keproba’s chief executive officer.
Speaking at the Dubai Expo President Uhuru Kenyatta directed the Kenyan officials to be at the forefront in facilitating trade to give the country a comparative advantage as an investment destination of choice.
There is high untapped export potential for Kenyan products like cut flowers, textile and leather products, meat and meat products, fishery products, among others in the United Arab Emirates and Gulf region.
Kenya is a major exporter of fresh-cut flowers across the world and has been eyeing the UAE and other Gulf markets.
The export volume of cut flowers from Kenya increased to 210 thousand metric tonnes in December 2021 from 173 thousand metric tonnes in the previous year.
“As Kenya is seen as a hub in Africa, Dubai has positioned itself as a hub in the Gulf Cooperation Council, excelling in a wide range of economic activities including logistics, and is a key strategic partner supporting Kenya in delivery of flowers, coffee and other export products,” said Kiprono Kittony, the chairman of the Nairobi Securities Exchange #ticker:NSE . emwenda@ke.nationmedia.com
