kenya Country
Programme

Enabling Trade to
Power Economies.

Objectives

Increased Physical
Access to Markets

Enhanced Trade
Environment

Improved Business
Competitiveness

Between February 2011 to June 2017 the Kenya Country Programme supported:

  • Number of
    Projects
  • =28
  • Total Project
    Budget
  • =USD90

    Million

Value for . USD $21.4 returned for

Money . every USD $1 invested

General Country Results

Context and Challenge

Since its inception in 2011, the Kenya Country Program has been assisting the Government of Kenya and the private sector in implementing interventions to boost trade in the region. The interventions cut across the three TMEA strategic objectives, and aim to contribute to TMEA’s overall vision of promoting trade in the region.

Kenya is a major gateway to East Africa due to its geographical positioning and coastal line. It is also a regional hub for trade, finance, communication and transportation services. The Mombasa Port is a critical node for trade that acts as a mouth for the Northern Corridor reaching the neighboring countries of Uganda, Northern Tanzania, DR Congo, Ethiopia and South Sudan. While Kenya's ease of doing business has been gradually improving, research indicates that many businesses have not positioned themselves to take full advantage of emerging trade opportunities particularly in export.

Response

TradeMark East Africa is partnering with several bodies including the Kenya Revenue Authority, the Kenya National Highway Authority among others to undertake a number of projects from the period starting 2011, including the renovation of physical infrastructure and improvement of systems in order to boost regional trade in East Africa.

Evaluation results

16.5% TIME
REDUCTION

TradeMark East Africa set a goal make a 15% time reduction on transporting a container to/from an East African Port to Kigali or Bujumbura. After intervention, the initial target was exceeded, recording an overall reduction time of 16.5%.

6.5 Km Length of road
upgraded

Partnering with KENHA, TMEA completed upgrading 6.5 kilometers of the Port Reitz road to a dual carriageway. This has eased traffic congestion in the port and around Mombasa town, leading to lesser time taken to exit the Port of Mombasa and Mombasa town onto the Northern Corridor.

37$ returned
for every 1$

Implementation of the Integrated Customs Management System has recorded value for money at over 37$ returned for every 1$ invested

31 POLICIES
ADOPTED

Through TMEA support, KEPSA has lobbied for the adoption of 31 policies including but not limited to government legislation and business charters.

The circled statistic changed
to: 40% Increase in Tests

There is 40% increase in additional tests at the Kenya Bureau of Standards (KEBS) resulting in an increase in the number of SMEs products certified and improved their access to formal markets at both domestic and international levels. This has led to an increase in cross border trade and improved business competitiveness in the region. Attributable factor of 30% to TMEA support

758 FARMERS ARE
EAGAP CERTIFIED

758 farmers are certified compliant East African Good Agricultural Practice(EAGAP)

41 FARMERS ARE
GLOBAL GAP CERTIFIED

41 farmers are certified to GLOBAL GAP and are now accessing global markets

140 FARMER
GROUPS LINKAGES

140 farmer groups have established international market linkages for their produce

80%
REDUCTION

Kenya border crossing times have reduced by 80% against a target of 30% with user satisfaction at 70%

90% TIME
REDUCTION

Taveta/Holili (Outbound to Tanzania) has seen a time reduction of 90% from 23 hours in 2011 to 2 hours, 30 min in October 2016

79% TIME
REDUCTION

Busia Kenya into Busia Uganda – Time reduction of 79% from 14.5 hours in 2011 to 3 hours in June 2016

11.2 DAYS DOWN
TO 5.5 DAYS

Time to import through Mombasa Port reduced to 5.5 days as of April 2017 compared to 11.2 days in 2010

Projects

Strategic Objective 1: Increased Physical Access to Markets

1. One Stop Border Post at Taveta

This project is focused on improving the physical infrastructure at border crossings that will offer an alternative transportation route to northern Tanzania from Kenya. This project is also targeted at reducing the time it takes to transport goods to and from Mombasa, with the overall goal being to reduce trade costs in East Africa.

Project Value =

$4, 915, 302 – Taveta. $4, 007, 498 – Holili. IBM $600, 000

Implementation Period:

2011

Results:

The time it takes for outbound cargo (from Kenya to Tanzania) has been reduced from 22 hours in 2011 to 2 hours in October 2016. That translates to an overall time reduction of 90% in a span of 5 years.

2. One Stop Border Post at Busia

The time reduction at Busia is 79% as at June 2016 with a user satisfaction of 70%.

3. Port Reitz Road

TMEA is supporting the Kenya National Highways Authority (KeNHA) to expand access/offtake of the Kipevu West Container Terminal in order to increase capacity and efficiency at the northern corridor and the Port of Mombasa.

Project Value =

US$20 Million

Implementation Period:

2014 - 2016

Results:

6.5 km of the port Reitz road upgraded from single to dual carriageway

4. Mombasa Port

The time taken to import through the port of Mombasa has reduced to 5.5 days as of April 2017 compared 11.2 days in 2010. This marks a 51% reduction in the overall time spent.

Strategic Objective 2: Enhanced Trade Environment

1. Kenya Bureau of Standards Testing

The aim of this project is to help KEBS staff and producers improve their understanding of standards and requirements, increased number and range of criteria tested by the Bureau, as well and simplified and more transparent import/export procedures. This is for improvement of access to formal markets and an increase in cross border trade and improved business competitiveness in the region.

Trade Mark East Africa supported the Bureau in the following ways:

  • Reviewing the Standards Act
  • Developing a national quality policy
  • Helping pass the Technical Regulations Act
  • Upgrading testing equipment
  • Training KEBS staff

Project Value =

US$1,714,456

Implementation Period:

2011-2017

Results:

  • 20 additional tests (40% overall increase)
  • Improved testing sensitivity levels
  • Reduced testing turnaround time from 14 days to 1 day in 2 years
  • Testing cost reduced from US$800 to US$120

2. Support to Kenya Revenue Authority

Trade Mark East Africa is providing funding and technical support to the Kenya Revenue Authority (KRA) in order to improve the efficiency of customs processing, boost trade facilitation and improve working conditions.

Project Value =

US$13, 000, 000

Implementation Period:

2014 - 2017

Results:

3. SWIFTS Tea Directorate of Kenya and KNNCI

KNNCI Online Portal

  • Since its launch in April 2014, the portal has processed 239 as of June 2016.
  • Document processing for issuance of certificate of origin has reduced from 2 days in 2014 to 2 hours in 2016
  • The average processing cost has reduced from USD $88 in 2014 to $10 in 2016

Tea Directorate

  • Average time for export registration processing reduced from 5 days to 4 hours;
  • Average cost reduced from USD $65 to USD $10

4. NTBs

The cost for transporting a standard 40-foot container from Mombasa to Kigali in 2017 was approximately USD $4,800, down from USD $6,500 in 2011 generating a saving (at constant volumes) of approximately USD $7 million on the Mombasa-Kigali route alone

Strategic Objective 3: Improved Business Competitiveness

1. Fresh Produce Small Holders EAGAP Certification

Trade Mark East Africa seeks to support smallholder farmers in East Africa to ensure their products are compliant with market standards, thereby increasing their marketability in the region.

Project Value =

USD $697, 653

Implementation Period:

2012 - 2015

Results:

758 farmers certified EAGAP compliant

2. KEPSA

Through TMEA support, KEPSA has supported the adoption of 31 policies (including but not limited to government legislation, business charters) to improve the business regulatory environment.

TRADE MARK EAST AFRICA

TRADE MARK EAST AFRICA

Growing Prosperity Through Trade