President William Ruto has unveiled an ambitious plan to expand Kenya’s coffee exports by securing new international markets, a move the government says could translate into better returns for thousands of coffee farmers across the country.
Speaking during the launch of the Coffee Revival Programme in Kirinyaga County on Monday, the President said his administration is aggressively pursuing new trade opportunities abroad while also encouraging more Kenyans to consume coffee locally.
Ruto noted that although domestic consumption remains important, the government’s focus is on opening larger export markets where Kenyan coffee can fetch better prices and increase foreign exchange earnings.
“As we enhance the internal market, we are focusing on exports because that is where we will sell in large numbers,” the President said.
For many coffee-growing families, especially in Central Kenya and other producing regions, access to new markets could mean improved incomes after years of fluctuating prices and challenges within the sector.
The Head of State revealed that Kenya is currently engaging several countries and regional trading blocs to remove trade barriers that have historically limited access for Kenyan coffee and other agricultural products.
Among those nations at the heart of the government’s export drive is South Africa. Ruto mentioned that the results from his state visit to the country have been positive following the agreement by the South African government to exempt agriculture goods from excise duty, an initiative that would enhance the competitiveness of Kenyan exports in the southern African region.
President Ruto also cited Belgium, which he noted as being the biggest consumers of Kenyan coffee. He mentioned that talks were underway to enhance trading relations between the two nations.
President Ruto noted that Kenya and the European Union were seeking to eliminate trade barriers through the Economic Partnership Agreement framework in the current year.
“Right now Belgium is the largest consumer of our coffee. I talked with them and agreed with the European Union through the Economic Partnership Programme that we signed. We agreed that barriers that blocked us from selling our goods to the EU, which includes 28 nations, are removed, and we agreed to remove the barriers by the end of this year,” Ruto said.
Beyond Europe, the President said he used his engagements during the recent G7 Summit in France to push for greater access to Asian markets.
Furthermore, Ruto disclosed that negotiations between the two nations involved ways of lowering duties placed on the Kenyan coffee while looking into the possibility of negotiating a free trade agreement.
In addition, discussions with the Indian and Italian governments are taking place to establish more trade agreements that will benefit Kenya through increased market access for its coffee products.
If the agreements succeed, there may be a huge increase in the demand for the coffee thus making the markets available and earning more money from the product.
The recent moves are in continuation of what has already been done by the government. This includes China’s decision earlier in the year to offer free duty on Kenyan agricultural products.
Moreover, the Kenyan government is working towards increasing the domestic demand for its coffee products. The President stated that over 1,000 youths have already been trained as coffee ambassadors to promote a coffee-drinking culture within the country.
In addition, the Kenya Industrial Estates were told to facilitate the distribution of the products across the nation where the aim is to make coffee an integral part of life in Kenyan households thus creating more demand for locally grown beans.
The Coffee Revival Programme forms part of the government’s broader strategy to rejuvenate the sector and improve the livelihoods of farmers who depend on coffee as their main source of income.