Rebecca Miano, Kenya’s Trade Cabinet Secretary, and Tanzania’s Deputy Minister of Foreign Affairs and East Africa Cooperation Stephen Byabato sealed the deal in Kisumu during a meeting focused on resolving longstanding trade barriers.

The barriers have historically impeded the export of vital commodities such as tea, spirits, and timber.

Officials anticipate that the removal of the trade barriers will facilitate smoother trade between the two nations, thereby promoting economic expansion.

The eighth bilateral meeting, a continuation of the efforts to strengthen trade ties following the commitment made by President William Ruto and his Tanzanian counterpart Samia Suluhu, addressed 14 key issues.

“The objective of the meeting was to address issues that hinder trade between the two countries,” CS Miano and Minister Byabato said in a joint communique.

The officials further agreed on holistic harmonization of levies, fees, charges, and other conditions affecting trade between the two countries.

Kenya and Tanzania are members of the East African Community (EAC), which aims to promote regional integration and facilitate trade among member states.

Both countries are also part of the Common Market for Eastern and Southern Africa (COMESA) and other regional trade agreements, which can influence trade volumes and patterns.

The officials will reconvene in Tanzania in July 2024 to evaluate the progress of the agreement.

– Kenya, Tanzania trade volumes –

According to the Observatory of Economic Complexity (OEC) – an online platform that focuses on the geography and dynamics of economic activities around the world, Kenya and Tanzania enjoyed a strong trade relationship in 2022.

Kenya exported goods worth approximately Sh418 billion to Tanzania.

The main Kenyan exports were soap (Sh52.6 billion), coated flat-rolled iron (Sh30.5 billion), and packaged medications (Sh28.8 billion).

Notably, Kenya’s exports to Tanzania have grown steadily over the past decades, with an average annual increase of nearly 7 percent since 1995.

On the other hand, Tanzania exported goods valued at roughly Sh482 billion to Kenya in 2022.

Their main exports included corn (Sh118 billion), petroleum gas (Sh36 billion), and kraft paper (Sh32.4 billion).

Similar to Kenya, Tanzania’s exports to Kenya have also seen significant growth over the years, averaging over 11 percent annually since 1995.