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KEPSA
7th Floor, South Tower, Two Rivers, Limuru Rd, Nairobi.
info@kepsa.or.ke
On June 12, June 2024, KEPSA, in collaboration with the East African Business Council (EABC), the African Organization for Standardization (ARSO), and GIZ commenced a two-day Private Sector National Capacity Building Workshop at the Nairobi Safari Club. This workshop aims to enhance awareness and capacity regarding the African Continental Free Trade Area (AfCFTA)Protocol on Trade in Goods, specifically the SPS and Technical Barriers to Trade (TBT) annexes.
The agreement establishing AfCFTA aims to create a single market connecting approximately 1.4 billion people with a GDP of about USD 3 trillion, driving sustainable growth and regional integration. This transformative initiative, which is part of the African Union's Agenda 2063, relies on the active involvement of the African private sector in its negotiation, adoption, and implementation. SMEs, which make up over 90 percent of businesses in Africa and contribute significantly to employment and GDP, are crucial for AfCFTA's success. However, tariff and non-tariff barriers, especially compliance with standards and SPS issues, pose significant challenges. To address these challenges KEPSA and EABC organized the workshop to enhance export readiness and help SMEs and youth entrepreneurs leverage AfCFTA opportunities.
Mr. Moses Kanyesigye, EABC Regional Coordinator for SMEs, Women, and Youth, shared significant achievements in market linkage, including an initiative where West African Women in Business from Ghana and Tanzania visited Kenya. This year, Kenyan businesses will visit Ghana and Nigeria to compare products and explore market opportunities. Mr. Kanyesigye outlined plans to continue such exchange visits, fostering market linkages and business collaborations across the continent.
Representing KEPSA at the workshop was Mr. Levi Injendi, Trade and Investment Officer. He stressed the critical role of SMEs in the African economy, noting that SMEs account for 25% of exports despite constituting most African businesses and being pivotal to economic growth. He emphasized the importance of involving SMEs in export discussions to fully harness their potential
Mr. Injendi also highlighted the need for workshops like this to equip SMEs with the necessary information for exporting. He mentioned valuable resources such as the EAC portal, which provides essential trade information. Addressing existing barriers to exporting, Levi pointed out the high costs of logistics and transport as significant challenges. He assured participants that KEPSA is actively working to reduce these barriers through various market linkage initiatives.
Mr. Phillip Okumu, Documentation and Information Manager at ARSO highlighted opportunities to bypass barriers that limit inter-African trade and addressed challenges posed by multiple regional economic communities with different operational frameworks. In his recommendation to improve regional trade, Mr. Okumu stressed the need for continued support and education for SMEs and encouraged continued collaboration among stakeholders to ensure successful AfCFTA implementation.
Participants gained invaluable insights on AfCFTA that will not only enhance their understanding of export opportunities and regulatory requirements but also enhance their global competitiveness. KEPSA is committed to sensitizing businesses about the opportunities within this expansive trade agreement, aiming to increased trade, investment, and economic growth. By positioning SMEs, women, and youth entrepreneurs as key stakeholders, the workshop seeks to accelerate the implementation of AfCFTA and foster greater integration and growth within the region.