Major US firms executives in Kenya for trade talks

L-R- Kenya Airways staff Stella Keru demonstrates seat automation system of a Dreamliner Boeing 787 to U.S Under Secretary for Commerce, Gilbert Kaplan and CS Tourism Najib Balala (PHOTO: WILBERFORCE OKWIRI)

NAIROBI, KENYA: American firms are in the country shopping for deals with Kenyan companies ahead of direct flights to the US that are planned to commence October this year.

The more than 60 executives drawn from major US firms are accompanying the Undersecretary for International Trade and Commerce Gilbert Kaplan on a three-day tour. They will be looking out for opportunities, including partnerships with local firms.

Mr Kaplan said the government officials and private sector representatives were visiting to find out challenges of deeper relations between Kenya and the US, with the aim of enhancing relations. “We have been charged to travel to Kenya and other African countries to find out how US can have stronger trade relations with key countries in Africa,” he said yesterday at a luncheon held in his honour by Kenya Airways.

“Among those African countries where we will be visiting, Kenya sits at the top. There are tremendous opportunities and the US Government wants to help make more companies aware of opportunities in Kenya in all sectors.”

The secretary said the US aimed to remove obstacles that could hinder businesses between the two countries.

The US is playing catch-up to China, which has over the last decade increased its trade ties with Kenya. The Asian country has bagged major deals, especially in the construction of mega projects.

China has also grown to be the leading source of goods for Kenya, with the value of imports reaching Sh390 billion last year - compared to a paltry Sh9.9 billion worth of goods that Kenyans exported to the country.

Though trade with US was tilted in its favour, the gap was narrower, owing to the African Growth and Opportunity Act that gives preferential treatment to some items from Kenya.

Imports from the US stood at Sh57.4 billion last year, compared to Kenyan exports valued at Sh47 billion.