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EXPORTERS FORUM 2010 EXPORTERS FORUM 2010 Kenyas Export Potential - - PowerPoint PPT Presentation

EXPORTERS FORUM 2010 EXPORTERS FORUM 2010 Kenyas Export Potential Presentation Presentation THE EXPORT PROMOTION COUNCIL P.O. BOX 40247 00100 NAIROBI NAIROBI TEL: +254 20 2228534-8 FAX: +254 20 2218013, 2228539 By Matanda


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SLIDE 1

“EXPORTERS FORUM 2010” EXPORTERS FORUM 2010

Kenya’s Export Potential Presentation

THE EXPORT PROMOTION COUNCIL P.O. BOX 40247 00100 NAIROBI

Presentation

NAIROBI TEL: +254 20 2228534-8 FAX: +254 20 2218013, 2228539 E-MAIL: chiefexe@epc.or.ke WEBSITE: www epckenya org

By Matanda Wabuyele. OGW Chief Executive

WEBSITE: www.epckenya.org

Export Promotion Council

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SLIDE 2

CONTENTS

  • Overview of Kenya’s Export Trade Pattern
  • Export Competitiveness
  • Export Competitiveness
  • Market and Product Prioritization
  • Policy Evolution
  • Challenges for the Export Sector
  • Proposed Measures to enhance Kenya’s Export

Performance

  • A Background of EPC

2

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SLIDE 3

Overview of Kenya’s Export Trade Pattern

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SLIDE 4

Overview of Kenya’s Export Scenario

Total exports in 2009 were at Kshs. 344.9 billion and accounted

for 0 03% of world’s total exports for 0.03% of world s total exports.

Exports grew by 13% on average between the period 2003 and

2007, attaining 26% growth between 2007 and 2008. In the 2008 – 2009 period there was a marginal increase in the value of 2009 period there was a marginal increase in the value of exports by 0.3%.

The export sector has contributed significantly to the growth of the

  • GDP. The 2009 GDP growth rate of 2.6% would have been worse

g had it not been for the impressive performance of the export sector.

….the export sector contributes 16.4% to the GDP hence a significant pillar in economic development

4

a significant pillar in economic development

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SLIDE 5

Kenya Balance of Trade 2003 - 2009

KENYA'S BALANCE OF TRADE 2003 - 2009 (Values in Kshs. Billions)

800.00 1000.00 200 00 400.00 600.00 h s . B illio n s

  • 200.00

0.00 200.00 V a lu e in K s

  • 600.00
  • 400.00

I t 281 84 364 21 443 09 521 48 605 12 770 65 788 10 2003 2004 2005 2006 2007 2008 2009 YEARS Imports 281.84 364.21 443.09 521.48 605.12 770.65 788.10 Exports 183.15 214.79 260.42 250.99 274.60 344.95 344.95 Trade balance

  • 98.69
  • 149.41
  • 182.67
  • 270.49
  • 330.51
  • 425.70
  • 443.15

5

..indicate increasing trade deficit calling for efforts to increase exports to reduce the trade deficit

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SLIDE 6

Proportion of Major Exports in 2009 demonstrates…..

PROPORTION OF KENYA'S EXPORT PRODUCTS-2009

All Other**, 38.27% Tea, 19.94% , % Articles of Plastics, 1.72% Cement, 2.25% Coffee, 4.44% Horticulture, 18.91% Essential Oils, 2.39% Soda Ash, 2.41% Iron and Steel, 2.63% Tobacco manufactures, 3.02% Apparels, 4.04% 3.02%

6

…the export basket is dominated by primary commodities

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SLIDE 7

Top 10 Export Products in 2009…

RANK PRODUCT Value in Ksh. Billions % of total export 1 Tea 68.77 19.94 2 Horticulture 65.22 18.91 3 Coffee 15.31 4.44 4 Apparels/clothing accessories 13.95 4.04 4 Apparels/clothing accessories 4.04 5 Tobacco/Tobacco manufactures 10.41 3.02 6 Iron and Steel 9.07 2.63 7 Soda Ash 8.31 2 41 7 Soda Ash 2.41 8 Essential Oils 8.23 2.39 9 Cement 7.77 2.25 5 92 Source: KNBS Economic Survey 2010 10 Articles of Plastics 5.92 1.72 All Other** 132.00 38.27 Total Exports 344.95 100.00

7

Source: KNBS Economic Survey 2010

…shows that horticulture and tea accounted for about 39% of Kenya’s commodity exports

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SLIDE 8

Major Destinations of Kenya's Exports by Region - 2009

KENYA'S EXPORT MARKETS BY REGION (2009)

REST OF EUROPE AMERICA ALL OTHER COUNTRIES 1.25% REST OF EUROPE 3.54% 5.05% MIDDLE EAST 5.60% COMESA 32.73% FAR EAST & AUSTRALIA 11.84% REST OF AFRICA

Traditional markets of COMESA and and EU acco nt for o er 58 % of e port

14.45% EUROPEAN UNION 25.54% 8

Traditional markets of COMESA and and EU account for over 58 % of export earnings hence there is need for export markets consolidation, expansion and diversification into other growth and emerging export markets

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SLIDE 9

Leading 10 Markets in 2009…

Country Value in Ksh. Billions % total exports 1 Uganda 46.24 13.40 2 United Kingdom 38 50 11 16 2 United Kingdom 38.50 11.16 3 Tanzania 30.09 8.72 4 Netherlands 26.33 7.63 5 U.S.A. 17.42 5.05 6 Pakistan 15.17 4.40 7 Sudan 12.76 3.70 8 Egypt 11.89 3.45 8 gypt 89 3 5 9

  • Dem. Rep. Congo

11.32 3.28 10 Somalia 11.21 3.25 All others 124.02 35.95

Source: CBS, Economic Survey, 2010

Total 344.95 100.00

9

… …shows that within top 10 Kenya’s export markets, African countries account for 40.2% of Kenya’s merchandise exports hence the need for market consolidation

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SLIDE 10

Kenya’s export markets spread indicates---

Group of countries Market share in Kenya’s exports Incremental Export Market y p p spread Top 10 markets 64.5%

  • T

20 k t 81 7% 17 2% Top 20 markets 81.7% 17.2% Top 30 markets 89.6% 7.9% T 40 k t 94 5% 4 9% Top 40 markets 94.5% 4.9% Top 50 markets 96.6% 2.1% Top 60 markets 97 9 % 1 3% Top 60 markets 97.9 % 1.3%

  • -Declining export spread with block of every 10 countries

E t bli h d f k t di ifi ti

10

  • --Establishes need for market diversification
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SLIDE 11

Summary Observations

There is predominance of : The traditional export markets of the COMESA and European Union which account for over 58% of the export earnings African countries (COMESA) in the top ten export destinations. NB: E t t Af i /COMESA i f t d d t i l di Exports to Africa/COMESA comprises manufactured products including; household goods, value added tea and coffee, plastics, etc Exports to EU are predominantly non-value added agricultural commodities Exports of horticultural produce to the EU are increasingly becoming value added (pre-packs, flower bouquets, etc) (p p , q , ) Major imports are capital and industrial goods indicating an expanding economy, through manufacturing

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………The export scenario calls for export market and product enlargement and diversification.

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SLIDE 12

Export Competitiveness

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Why Export Competitiveness

In the wake of the current economic and financial crisis, countries

around the globe are looking for ways to reignite economic growth growth.

Traditionally, export-led growth has been perceived as one of the

most promising pathways to do so most promising pathways to do so.

Government policy to achieve export-led growth is then essentially

about findings ways to increase the ability to sell domestically produced goods and services on global markets.

This ability to export is what has often been understood as “export

competitiveness” competitiveness . ……………..The experience of several waves of Asian economies that achieved high and sustained growth while pursuing a strong export i t ti id d th i i l b kd f thi h

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  • rientation provided the empirical backdrop for this approach.
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SLIDE 14

General Barriers that Hinder export competitiveness

General barriers to exports that reduce trade below its socially

  • ptimal level include:

Inefficiencies in the domestic business environment, Oth

l t d t k t b d f l th h

Others are related to market access abroad, for example through

the tariff and non-tariff barriers

Lagging

capabilities

  • f

domestic companies either in Lagging capabilities

  • f

domestic companies, either in understanding foreign markets or in their own products, services,

  • r value chains.

……………Competitiveness strategies are squarely

  • riented

towards reaching higher productivity. Attracting FDI, generating jobs, and growing

14

g g p y g , g g j , g g exports are positive implications of higher productivity.

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SLIDE 15

How can the export competitiveness be improved?

Setting up an Export Endowment Fund and Export Development

Fund to support the export sector.

Rationalisation of tariff policy.

p y

Medium term strategy to boost exports of goods and services

particularly, improving exports of services, provide incentives to facilitate technology acquisition and adoption, replacement, and to launch comprehensive leather and leather products export plan. launch comprehensive leather and leather products export plan.

Greater market accessibility to US, EU and other emerging

markets.

Proper utilization of the upcoming Special Economic Zones for

providing zero duty facility for manufacturing for exports providing zero duty facility for manufacturing for exports.

Strengthen and utilize the trade officers for the protection and

promotion of Kenya's commercial interest abroad. …………Macroeconomic stability, innovations, knowledge creating activities, technology readiness, and governance of the corporate and political institutions are the determinants

  • f

the trade competitiveness according to WTO

15

competitiveness according to WTO .

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SLIDE 16

Market and Product Prioritization to Enhance Export Competitiveness

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Why Market Prioritisation

Persistent unfavorable trade balance Geographical & product concentration in export

Geographical & product concentration in export pattern

High expectations and limited resources Facilitate resource allocation where most needed Professional and research based approach to market

development development

Best measurable outcome Focus and long term commitment for success

17

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Market Prioritization – by Tiers and Regions

NORTH AMERICA SOUTH AMERICA E.U NON E.U EAST EUROPE ASIA &PACIFIC MIDDLE EAST AFRICA COMESA/EAC U.S U.K Netherlands Pakistan U.A.E Uganda Tanzania TIER 1 Netherlands Germany France Italy Tanzania DRC Spain Belgium Russian Fed India Hong Kong Rwanda Zambia TIER 2 Sudan TIER 3 Sweden Poland Switzerland Kazakhstan Japan China Israel Nigeria South Africa Burundi Malawi Ethiopia Egypt TIER 4 Canada Mexico Venezuela Argentina Brazil Chile Colombia Greece Austria Czech Rep Romania Hungary Belarus Bulgaria Australia Korea Rep Taiwan Thailand Malaysia Saudi Arabia Qatar Algeria Morocco Djoubiti Madagascar Eritrea Mauritius Comoros Indonesia Seychelles Libya Zimbabwe Swaziland

18

Market prioritisation framework covering 64 countries in all continents of the word ( 45 Non COMESA/EAC and 19 COMESA /EAC countries)

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SLIDE 19

Export Market Development Strategies per Tier

Market scenario Strategies TIER 1 Established markets with multiproduct presence Market consolidation/expansion multiproduct presence Established markets with single/narrow product range Product expansion/diversification TIER 2 Growth markets with Market expansion/Penetration TIER 2 COUNTRIES Growth markets with multiproduct potential Market expansion/Penetration Growth markets with single/narrow product range Market Penetration/product expansion single/narrow product range potential expansion TIER 3 COUNTRIES Emerging markets Market /product potential assessment and entry TIER 4 COUNTRIES Future markets Market Explorations

19

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Export Market Development Strategy Matrix--

  • Tier 1

countries

Expand participation in general

/product specific trade fairs

Identify new export potential

being exported elsewhere

Organise buying/study

missions & CPPs countries (Establishe d markets) /product specific trade fairs

Encourage Kenyan companies

to open overseas

  • ffices/production operations at

strategic locations being exported elsewhere

Organise product specific

activities

Facilitate linkages between

SME manufacturers and established exporters for best missions & CPPs

Strengthen process of

collection and dissemination of Market information/ intelligence

  • n potential product

HIGH

established exporters for best results p p

Identify & tap potential

  • f new market segments

Tier 2 countries

Expand participation in general

/product specific trade fairs

Introduce new companies

/product both offline & online

Prepare & implement

country / /product

resence

(Growth markets)

Make provision for quick

delivery—

Encourage internationalisation

  • f company operations

Organise seminars/training

  • n emerging market
  • pportunities

Collect and disseminate trade

leads specific strategy based

  • n trade flow analysis

/market intelligence

Undertake Market

potential studies

Market Pr

Tier 3 countries (Emerging markets)

Intensify market development

activities for country’s established export products

Identify Kenyan products

having significant/marginal presence in markets

Develop market Prepare detailed

country reports & identify export potential products

Level of

markets)

Develop market

specific/product specific strategy and programmes products

Strengthen provision of

market intelligence Tier 4 countries Market investigations/explorations for developing future markets

LOW

20

countries

Export Development Strategies/activities

CONSOLIDATION DIVERSIFICATION PENETRATION

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SLIDE 21

Export Development Programmes : Implementation Metrics

Leverage of ICT application Country/product profiles Strengthening overseas

g pp for information dissemination

Electronic product

catalogues

Trade fair participation

/business delegations in y p p

Targetted exporters training and

market potential dissemination seminars

Incoming business delegations Exporters Forums for policy

g g commercial representative

  • ffices

Penetration in new markets Overseas market surveys Market consolidation HIGH

/business delegations in COMESA/EAC countries

Country reports/trade flows

for export guidance

Exporters Forums for policy

facilitation

Market consolidation

/diversification in EU & other developed Countries

Development of structured

t d t b d it

Supply surveys for identification

f t bl d t d

Provision of importers

d t b d th k t

MPACT

exporters database and its dissemination online/offline

Electronic Uploading/

downloading of trade

  • pportunities through virtual

t k d di i ti

  • f new exportable products and

companies

introduction of new products

/companies in export markets directly or through alliances database and other market intelligence

Development new exportable

products

Product promotion CTIVITY IM

networks and dissemination

Opening regional offices Contact promotion programmes

programmes

Export concentration on General exporters training Trade development A W

p traditional crafts and other non value added products p g /export consciousness seminars

Collection of product /company

catalogue and information dissemination through catalogue show p programmes not supported by trade potential studies

LOW

21

COST OF IMPLEMENTATION LOW MEDIUM HIGH

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SLIDE 22

Products Prioritisation Framework

PRODUCT CATEGORISATION CATEGORY DESCRIPTION ESTABLISHED K ' t d t th t l d i k t d ESTABLISHED PRODUCTS Kenya's export products that are already in a market and command a significant market share. GROWTH PRODUCTS Kenya's export products that are already in a market but do not have significant market share and have the potential for f th th i th k t GROWTH PRODUCTS further growth in the market. POTENTIAL PRODUCTS Kenya's export products that are already being exported to the market by other supplying countries which Kenya has the potential to export but is not currently exporting to the market i i ifi t t POTENTIAL PRODUCTS in any significant amount.

mapping products to markets

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…..mapping products to markets

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Example of Market and Product Prioritization

MARKET AND PRODUCT PRIORITISATION MATRIX FOR EAC COUNTRIES SN MARKETS PRIORITIZED PRODUCTS TIER 1 (ESTABLISHED ESTABLISHED PRODUCTS GROWTH PRODUCTS POTENTIAL TIER 1 (ESTABLISHED MARKETS IN EAC) ESTABLISHED PRODUCTS GROWTH PRODUCTS POTENTIAL PRODUCTS REGION EAC % share by product in K ' T t l E t t % share by product in K ' T t l E t % share by product in K ' T t l E t REGION EAC Kenya's Total Exports to Uganda Kenya's Total Exports to Uganda Kenya's Total Exports to Uganda Petroleum Products (14%); Cement (10%); Tobacco Products(2%); Salt (3.3%); Flat-Rolled Prod of Iron (5.62%); Paper & Paperboard (5.5%), Live Plants, Bulbs, Roots and Cut Flowers, Fish, Precious Stones, UGANDA ( ) ( ) Beer (4.5%); Fertilizers (1.5%); Spices(0.6%); Animal or Vegetable Fats and Oils (1.7%); Soaps and Detergents (1.8%); Sugar Confectionery (2%); p ( ) Fertilizers (3.5%), Inorganic Chemicals (1.8%), Soaps (1.8%), Glass and Glassware (1 3%) Milling Vegetable Saps and Extracts (all products have less than 0.01% in Kenya's total exports) Sugar Confectionery (2%); (1.3%), Milling Products(1%), Articles

  • f Aluminium (1.3%),

Milk and Cream (0.6%); exports) Kenya's total exports to Uganda were valued at US$ 607 million (Kshs. 42.4 billion) in 2008 and

23

accounted for 12.29% of Kenya's total exports and 11.3% of Uganda's global imports making Uganda the largest market for Kenya's commodity exports in 2008

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SLIDE 24

Trade Policy Evolution to Enhance Export Competitiveness

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SLIDE 25

Evolution of GoK Trade related Policy Initiatives……

Vision 2030

2006 -2030

Export growth target 20% p.a

PSDS

2006 2011 2006 -2010

20% p a 20% p.a

MOT Strategic Plan NES

2006 -2011 2003 - 2007

004, …

5.7% p.a p.a

ERS NES

2003 - 2007

2001 – 20

5.7% p.a

PRSP (updated every 3 years) 2

25

…. presupposes alignment to Vision 2030 Sessional paper No 1of 1986 on Economic Management for Renewed

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SLIDE 26

Current Challenges for the Export Sector

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SLIDE 27

Supply Side (Border-In Issues)

Poor infrastructure and high cost of inputs (electricity, roads,

communication, agricultural inputs) communication, agricultural inputs)

Export

finance (inadequate and expensive finance increases production costs and therefore selling price of local products)

Narrow range of export products Narrow range of export products Low production technology Violation of intellectual property rights Limited market intelligence

…….The cost of doing business is not favourable

27

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SLIDE 28

Border Issues

Customs

procedures (delays in customs clearance increase handling costs)

Inadequate cargo space (both air and marine) Immigration requirements E

h t fl t ti / l tilit

Exchange rate fluctuations/volatility Inadequate facilities at the ports of exit High freight rates/charges

g g g

High handling charges

28

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SLIDE 29

Border Out Issues

Technical Barriers to trade such as entry requirements (SPS

Certifications, environmental concerns, Maximum Residue Levels, Traceablity and quality standards) Limited Market intelligence (role

  • f market information)

Increased competition ( reciprocal trade under EPAs, non reciprocal

p ( p p trade under EBAs,erosion of preferential margins under GSP Scheme

Tariff peaks and tariff escalation in developed markets

p p

Non tariff barriers (certification, other social accountability issues) Production subsidies in developed markets Increasing requirements of distribution chains (GlobalGAP, British

Retail Consortium (BRC)

29

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SLIDE 30

Proposed Measures to Enhance p Kenya’s Export Performance

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SLIDE 31

Sustainable Funding for the Export Sector

In the Short-term

  • Increase GOK Allocation to the Ministry of Trade and Export promotion

Council Medium term

  • Establishment of an endowment fund for EPC similar to the Tourist
  • Establishment of an endowment fund for EPC similar to the Tourist

Trust Fund with initial GOK contribution of Kshs. 2 billion Long-term

  • Setting up an Export Development Fund (EDF) with an initial seed fund
  • f Kshs. 2 billion
  • Setting up of the Export Import Bank

….to meet targets in the First Medium Term Plan (2008-2010) that was developed in the context of the Kenya Vision 2030.

31

p y

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SLIDE 32

Restructuring Kenya’s Overseas Commercial Representation

Revamping of Kenya’s Overseas Commercial Representation by

relocating commercial officers from the embassies and political g p capitals to commercial capitals, to empower the commercial

  • fficers to;

− Provide business intelligence on market dynamics through

regular despatches to home country regular despatches to home country

− Support

Business and Government trade delegations participating in trade fairs, exhibitions and market investigations

− Handle trade conflicts and disputes between home country

Handle trade conflicts and disputes between home country exporters and importers in the accredited countries

− Champion country image building together with focal institutions − Implement trade policies and strategies, monitor host country’s

trade policies and regulations to assess impact on bilateral trade and lobby as well as contribute to the negotiations of bilateral and multilateral trade agreements.

32

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SLIDE 33

Strengthening EPC ….

Strengthening EPC to accomplish the following as per its mandates

as anchored in Vision 2030;

− Further decentralisation of EPC’s services to all parts of the

p country

− Support

internationalisation efforts by Kenyan companies through establishments of trade centres, warehouses and foreign subsidiaries in the prioritised target markets foreign subsidiaries in the prioritised target markets

− Intensified trade promotional activities to enhance product

penetration in the priority especially solo and contact promotion programmes

− Establish EPC’s overseas trade offices in strategic locations

Establish EPC s overseas trade offices in strategic locations

− Establishment of a Product Design and Development Centre

for use by MSMEs.

− Establishment of a World Trade Centre in Nairobi to house

EPC Trade Support Institutions and other international and EPC, Trade Support Institutions and other international and regional

  • rganisations

using Nairobi as a hub for their

  • perations

for optimal performance in export development and promotion has

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…for optimal performance in export development and promotion has been greatly undermined by lack of adequate financial resources.

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SLIDE 34

Recommendations…….

It is therefore recommended that the government consider to;

  • Strengthens the Export Promotion Council through provision
  • f adequate resources to enable it effectively promote Kenya

export sector

  • Revamp

and restructure Kenya’s

  • verseas

trade Revamp and restructure Kenya s

  • verseas

trade representation to enable Kenya reap maximum benefits accruing from exports

  • Establish an Export Development Fund which will provide a
  • Establish an Export Development Fund which will provide a

dependable and predictable source of funding to take care of critical export development activities in order to improve Kenya's export performance Kenya s export performance.

as contained in the Cabinet Memo

34

….as contained in the Cabinet Memo

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SLIDE 35

About Export Promotion Council

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SLIDE 36

Export Promotion Council was established… p

Established August 19, 1992 by the Government of Kenya. To address bottlenecks facing exporters and producers of export goods To address bottlenecks facing exporters and producers of export goods and services in order to increase the performance level of the export sector To formulate export market strategies and endeavour to promote an export culture in order to achieve economic growth for the country through export-led economic strategy To provides a forum for constant dialogue between the exporting fraternity and relevant public and private sector organisations through sectoral panels

….to contribute to fast tracking of Kenya’s export-led economic development as envisaged in the Sessional

36

economic development as envisaged in the Sessional Paper No. 1 of 1986

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SLIDE 37

Strategic Orientation Mission To develop and promote Kenyan exports of goods and i d h i t l t d ti iti services and harmonize export-related activities Vision To be the national focal point for the development and promotion of Kenya’s exports Core Values Customer focus Hi hl ti t d t i d d itt d t ff Highly motivated, trained and committed staff Efficient and quality service delivery Professionalism and Teamwork

37

Transparency and accountability

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SLIDE 38

EPC Strategic Goals……

1. To facilitate consolidation, expansion and diversification

  • f Kenya’s export markets for

4. To enhance Kenya’s export competitiveness through product development, adaptation and y p goods and services; 2. To expand the country’s export basket through p , p value addition; 5. To enhance exporting skills and create export awareness; export basket through identification

  • f

new exportable products and provide support for market create export awareness; 6. To enhance cooperation with

  • ther trade support institutions

d th i t t provide support for market entry; 3. To mainstream MSMEs including disadvantaged and the private sector; 7. To provide efficient and effective support services to

  • ptimize

including disadvantaged segments of the society in the export process; are aligned to key government economic policies particularly the First pp p resource utilization.

38

…. are aligned to key government economic policies particularly the First Medium Term Plan (2008-2010) that was developed in the context of the Kenya Vision 2030.

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SLIDE 39

Our Services

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SLIDE 40

EPC Services profile……

Export Markets & Products Development Development of Exporting Skills Small Enterprise Development p g Trade Information Delivery & Research & p

Key Services Profile

Delivery & Business Counseling Services Africa Trade Insurance (ATI) Research & Trade Policy Facilitation Insurance (ATI) Services (Liaison Office)

40

..all geared towards enhanced export performance

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SLIDE 41

Stakeholders Perception -….

  • View EPC as a government entity having

access to GOK funding

  • TSI’s/chambers expect EPC to fund their

trade promotion activities

  • EPC need to enhance capability to

provide processed database/market intelligence

  • The concept of sectoral panels should

trade promotion activities.

  • Exporters expect on the spot business

generation through EPC activities and consultants

  • The concept of sectoral panels should

further be enhanced for information sharing on market potential and sector specific bottlenecks for corrective measures/advocacy

  • The training programmes of EPC

appreciated and considered helpful in skill development

  • The

trade associations/exporter are ti t f EPC f i l

  • EPC should have comprehensive

database of importers in different markets leading to business generation

  • EPC should develop product and market

specific export guides/market briefs for receptive to pay for EPCs professional services such as market research reports and data base if cost effective and help in business generation.

  • EPC

need to strengthen relations with specific export guides/market briefs for the benefit of exporters.

  • EPC should develop competence to

advocate exporters concerns at national and international level EPC need to strengthen relations with embassies/commercial attaches for collection of market intelligence and trade leads a d te at o a e e

41

….to enable EPC proactively respond to their needs

slide-42
SLIDE 42

Stakeholders Expectations….

  • Advocate easy availability of export finance and development of

export credit guarantee scheme export credit guarantee scheme

  • Organize training on legal aspects of international trade
  • Organize training and provide guidance on IT applications in

international trade

  • Enhance capability to provide targeted and focused market

information as per individual needs p

  • Play proactive role in exports of services

…on service delivery and mandate

42

slide-43
SLIDE 43

EPC Challenges

Inadequate funding for core functions Lack of international representation Lack of international representation. Lack of coordination and control on commercial attaches

activities in overseas missions

Limited avenues for revenue generation Limited avenues for revenue generation Overdependence on GOK funding and international donors. Inadequate manpower to strengthen core activities Limited regional representation in Kenya

… that hinder optimal performance in export development and promotion

43

development and promotion

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SLIDE 44

Sector Approach is adopted …. Agricultural and Livestock Manufactures Manufactures Export of services Commercial Crafts Commercial Crafts ….. as prioritized for fast tracking in the Vision 2030 in the discharge of EPC Mandate

44

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SLIDE 45

Partnership Approach for Export Promotion - Smart Networks….

EXTERNAL PARTNERS

EABC EAC TPOs’

USAID LOCAL PARTNERS

KIRDI KEPHIS MOT EABC EU ITC EAC TPOs MBDA

W EPC

MFA JETRO

JICA CBI

Banks MOI KenInvest KAM KEBS KIPI KIE EPZA DFID WTO UNIDO

KNCCI Trade Ass. World Bank

UNDP COMSEC

WTPF Danida

45

… to deliver sustainable services to the export sector

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SLIDE 46

Key Performance Outputs

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SLIDE 47

Export Market Development

Over 40 exhibitions have been organized in which over 330

companies participated since 2005/09. A total of Kshs. 1.5 billion in exports sales were realized as a result of these events.

H

b th l d f K ’ ti i ti i W ld

Has been the led agency for Kenya’s participation in World

Expositions important global forums for exchange of information that foster better understanding amongst the people of the world.

Development of the National Export Market Development

Programme to guide export promotion activities

Development of the Market and Product Prioritization Framework

to select international markets for export promotion and market penetration strategies p g

Internationalization of Kenyan companies where companies have

been assisted to establish in overseas markets.

47

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SLIDE 48

Small and Medium Enterprise Development

Main streaming of marginalized groups including women and youth

into the export sector through product design and development programmes programmes

A total of 120 SMEs have been assisted to adapt their products to

export market requirements while over 50 products have been adapted to suit international market conditions adapted to suit international market conditions

48

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SLIDE 49

Selection SMEs by region through the outreach program

Rift Valley Province

  • 1. Aduko W omen Group
  • 2. Ekisil W omen Group
  • 3. Turkana Handicraft Shop – Lokichar Maridadi

Handicraft

  • 4. Eliye Springs
  • 5. Turkana women Handicraft – Sister Kathleen Crowley
  • 6. Lokitipi Curio Shop – Songot Manyatta Youth Group
  • 7. Mikeka Self-help Group

Eastern Province

  • 1. Loiyangalani Youth & Women Group
  • 2. North-horr Women
  • 3. Korr Women
  • 4. Marsabit Women
  • 5. Laisamis Women
  • 6. Maikona Youth & Women
  • 7. Shalom Women Group
  • 8. Dignity and Hope Women Group

9 Machakos District Cooperative

North Eastern Pro

  • 1. Hodan Cottage In

2 M th ki d W

  • 8. Akolong’ Craft –Tim Flynn
  • 9. Eteer Women Group
  • 10. Turkana W omen Handicraft Co-operative Society
  • 11. Natole Women Group
  • 12. Pokot Kiletat Consumer Co-op. Women Group
  • 13. Cabesi

14 Eldoret Cultural Shop

  • 15. Imani W orkshop
  • 16. Nanyuki W eavers
  • 9. Machakos District Cooperative
  • 10. Wasya Wa M waitu

(Others to be identified)

  • 2. Motherkind W om
  • 3. Bismillahi W arsan
  • 4. Garissa Industrial
  • perative Society.
  • 5. Iftin W aberi W om

(Others to identified)

Coast Province

  • 1. Slim Silver Smith
  • 2. Lamu Environmental Art Youth G
  • 3. Old Town Art & Craft
  • 4. Malindi Tourist Market

5 M li di H di f W estern Province

  • 1. W estern Fishing Flies
  • 2. Bright Pride Investment
  • 3. W estern Technologies Energy

Conversation Experts

  • 4. Machina Pottery Youth

5 Zi C i

  • 5. Malindi Handicrafts
  • 6. Millenium Handicrafts Cooperativ
  • 7. Market curio Centre Factory
  • 8. Muungo Handicrafts
  • 9. Ngomongo Villages.
  • 10. NMK-Swahili Cultural Centre.
  • 11. Palm International
  • 12. Diani Tourism Self Help Group
  • 13. Ukunda Youth Polytechnic.
  • 14. Shanzu Traditional Workshop fo
  • 5. Ziwa Creations
  • 6. Kick

(Others to be identified) Nyanza Province

  • 1. Smolart Self Help Group
  • 2. Kisii Soapstone Arts & Crafts

3 Tabaka Mother Nairobi Province p young women.

  • 15. Bombolulu
  • 16. Akamba Handicrafts
  • 17. Kachampali
  • 18. Destiny Africa
  • 19. Interface Designs
  • 20. Mavisa Carvers and Exporters
  • 21. Shanga Shanga Crafts
  • 3. Tabaka Mother
  • 4. Stowoobas Self Help Group
  • 5. Bomonyara Cooperative Kisii Stone Carvers
  • 6. Bosinange Jua Kali
  • 7. Kisii Soapstone Carvers Cooperative
  • 8. Tabaka Riotoyo Youth Self Help Group
  • 9. Vero Women Group
  • 10. Wanasanaa Self Help Group
  • 11. Hyacinth Crafts

12 Kick Trading Nairobi Province

  • 1. Saen Ltd
  • 2. Acorn Special Tutorials
  • 3. Rich Dad Investments
  • 4. Sanabora Design House
  • 5. Beacon of Hope
  • 6. Maasai Village W eavers
  • 7. Monda African Art
  • 8. Eastleigh Comm. Centre
  • 9. House Mark

Central Province

  • 1. Kinangop W alemavu

Youth Group 2 Youth Dev Summit

49

  • 12. Kick Trading
  • 13. Zingira Nyanza
  • 14. Pendeza W eavers
  • 15. New Talent Craft
  • 16. Kowil Women & Orphans Self Help Group
  • 17. Takawiri Creations
  • 18. Hope
  • 19. Crafts of Africa
  • 20. Kazuri Treasures
  • 10. Undugu Society

11 Kenya Family Charities

  • 12. Africa Clay Arts
  • 13. Namayiana
  • 14. Maasai Women Group
  • 15. Janbella Kenya
  • 16. A-Z Range of Artisan Art
  • 17. Magoto Handicrafts Creations
  • 2. Youth Dev. Summit
  • 3. Friends of Kinangop

Plateau (Njabini) (Others to be identified)

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SLIDE 50

Capacity Building

A total of 3000 exporters have been trained under various modules.

This has provided exporters with valuable insights into exporting and have began receiving export orders Capacity Building for exporters have began receiving export orders Capacity Building for exporters entails enhancing of exporters’ skills and knowledge to enable them respond effectively to opportunities in the export market. Selected Training Modules include; Selected Training Modules include;

TOT (Training of Trainers) Products Development and Adaptation for Export. Export Marketing

p g

Export Logistic and Finance.

50

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SLIDE 51

E-marketing of SME Products

The Trade Point is to assist exporters with a special focus to small

and medium enterprises (SMEs) in Kenya to trade internationally through the use of electronic commerce technologies through the use of electronic commerce technologies.

Development of websites for exporters in the Micro and Small

Medium Enterprises sectors with www.buyfromkenya.com developed to market SMEs products developed to market SMEs products

51

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SLIDE 52

Research and Planning

Through policy facilitation, a strategy for promoting export of

professional services has been developed and will support growth and development of trade in services

D

l t f A l R d M hi h hi hli ht i ti

Development of Annual Road Maps – which highlights incentives

and changes in policies that affect the export sector

Undertaking Trade flows analysis to determine trade potential –

Trade potential for over 15 countries undertaken.

Initiated the Exporters Forum to solicit views from Exporters on

various challenges they face

52

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SLIDE 53

Recent Achievements

Attainment of World Trade Point Federation status as Nairobi Trade Point ISO 9001: 2000 Quality Management Systems certification Winner 2008 World Trade Promotion Award from a developing country Winner of the best foreign exhibitor award during the 2008 /2009 Rwanda Winner of the best foreign exhibitor award during the 2008 /2009 Rwanda

International Trade Fair and other awards in regional trade fairs.

For the last three year the Council has attained Very Good score in the

performance contract evaluation with the government

Vi ibilit

f t t h b h d th h l h f E t

Visibility of export sector has been enhanced through launch of e-Export

Newsletter

53

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SLIDE 54