China, Kenya ties to boost trade

Kenya's President Uhuru Kenyatta (R) and his Chinese counterpart Xi Jinping (L) inspect a guard of honour outside the Great Hall of the People in Beijing on August 19, 2013. Mr Kenyatta will be China from August 18 to 23. AFP PHOTO / WANG ZHAO 

Business leaders from Kenya and China are expected to sign a memorandum of understanding to promote trade between the two countries.

Mr Kiprono Kittony, chairman of the Kenya National Chamber of Commerce and Industry, said they will be looking to partner with Chinese firms to attain value addition of products before export.

“This is one of the ways of achieving trade balance that is currently hugely in favour of China” said Mr Kittony in a statement.

WOO INVESTORS

The delegation of businessmen drawn from the hospitality, banking, finance, mining, transport, building, construction and other sectors will join President Uhuru Kenyatta to execute a major push to woo Chinese investors and carry out negotiations aimed at achieving trade balance with the Asian economic giant.

On Monday, Mr Kittony said: “This tour is critical for our country’s business aspirations. We will be looking to partner with Chinese firms to attain value addition of Kenyan products before export.”

The official said to address the trade imbalances, Kenya must diversify the number of products its entrepreneurs export to China. (READ: China follows a well-trod path)

“We will need to create more business linkages with relevant Chinese business enterprises in order to help our people export more,” he added.

Mr Kittony challenged Chinese investors to also set up companies in Kenya.

BUSINESS DELEGATION

“Chinese business should enter joint ventures with Kenyans or even individually and take advantage of the political stability and the very attractive investment incentives provided by the Kenyan government.”

Mr Kittony praised the move by the President Kenyatta to include a large business delegation, who are all paying for themselves, in his entourage, saying this will expose Kenyan business people to the many opportunities available in China.

He noted that among the highlights of the President’s engagements with the Chinese leadership is the conclusion of discussions on the Standard Gauge Railway line project.

“The proposed Standard Gauge Railway line will be a major boost to our Intra-Africa trade aspirations. I hope the president will wrap this up during state visit to China,” he said.

According to Mr Kittony, Kenya is well positioned to be the manufacturing, education, medical, transport hub in the East, Central and the horn of Africa region.

“We must therefore put our acts together and roll out the infrastructure including addressing the high energy if we must exploit the over 200 million people market,” he said.