Kenya Trade Agreement With Eu

Although this practice is not exclusively submitted to the United Kingdom, the United Kingdom has made few real attempts to develop its partner`s capabilities. Such gestures were cosmetic in nature, such as the final assembly of automotive knock-down kits. The aim was to exploit Kenya`s cheap labour through a negligible technology transfer. Therefore, under these 648 tariff lines, industries should compete with them, without eu customs imports. The United Kingdom and Kenya have reached a decisive consensus on a new trade agreement, almost 55 days before the expiry of existing privileges, with London formally re-signing up to EU protocols. Cracks that led to the failure of the EPA agreement emerged at an EAC meeting convened on 5 July in Nairobi ahead of this month`s UN trade meeting in Nairobi. However, a 2015 Institute for Economic Affairs (IEA) report on EPAs found little to fear from the agreement, with the exception of the vagueness of how the EU will ensure that agricultural products entering East Africa are not subsidised. Kenya is part of a trading bloc called the East African Community (EAC), which includes Uganda, Rwanda, Tanzania, Burundi and South Sudan. The EAC is also working on a post-Brexit deal with the UK, but the talks are not going well. This is the second time Kenya has been between a rock and a hard place in the EU trade deal. The UK voted to leave the EU in 2016 and officially left the bloc in January this year.

It has a transitional period until 31 December 2020, during which it has signed new agreements to replace the agreements it had signed with countries under the EU bloc. The EPAs note that the EU will help the region to remove non-tariff barriers, such as strict measures to protect human, plant and animal health in the EU. The report, written by IEA business analyst Leon Ong`onge, found that the majority of these products are more intermediate than finished products. “In other words, we can already export duty-free and quota-free to the EU market without offering the EU similar market access conditions. If we signed the EPA, we would still get the same duty-free access, but in return we would have to open our markets to EU exports,” he said. The EU-EAC EPA covers trade in goods and development cooperation. It also contains a chapter on fisheries, which focuses on strengthening cooperation on sustainable use of resources. The agreement provides for continued negotiations on services and trade rules in the future.

From its own period of leave, when it has had the means and time, the United Kingdom will have to go on modern infrastructure, mainly defined by China. During its decades of relations with its former colony, Britain has mainly focused on importing agricultural raw materials for export after capital gains, several times more than the purchase price. There was a sigh of relief, especially from Kenyan flower exporters when the agreement was finally ratified, but concerns remain about what the agreement meant to the region. The agreement is in line with the common external tariff of the ABC. It prohibits unjustified or discriminatory restrictions on imports and exports.