Kenya is stepping up efforts to enhance its bilateral trade with Iran, focusing on increasing exports of livestock and tea. Agriculture and Livestock Cabinet Secretary Mutahi Kagwe, in a recent meeting with the Iranian Ambassador to Kenya, Ali Ghampour, emphasized the potential for expanded trade between the two countries. This meeting sets the stage for the upcoming Kenya-Iran Joint Cooperation Commission (JCC) scheduled for May 2025.
Kenya’s agriculture sector, particularly tea and livestock, plays a crucial role in the country’s economy. Iran has emerged as a significant market for these commodities, and Kenya is eager to strengthen these trade ties. According to the Ministry of Agriculture, the discussions with the Iranian envoy centered on overcoming barriers that have affected the smooth flow of exports, especially in the tea and livestock sectors.
The trade relationship has already shown positive growth. Data from the Kenya National Bureau of Statistics (KNBS) reveals that Kenya’s exports to Iran grew from Ksh 5.9 billion in 2023 to Ksh 6.7 billion in 2024. On the flip side, Kenya’s imports from Iran increased by nearly 18% from Ksh 3.4 billion in 2023 to Ksh 4 billion in 2024. This growth in trade is a clear indicator of the potential for further collaboration between the two nations.
In addressing the challenges facing the tea sector, the ministry has begun engaging with stakeholders to tackle key issues affecting the industry. One of the main concerns is the unsold tea stocks in Mombasa, which have become a pressing issue for the industry. The government is also actively seeking new markets for Kenyan tea, and Iran is seen as a promising destination.
Similarly, the livestock sector, another key area of focus, faces logistical challenges in ensuring that Kenyan products reach the Iranian market efficiently. These issues are being addressed in preparation for the upcoming JCC meeting, where both countries will seek to iron out the challenges that have hindered the growth of this trade relationship.
As Kenya prepares for the May 2025 meeting, the government is optimistic that these efforts will pave the way for stronger economic ties with Iran, benefiting both countries’ agricultural sectors and providing new avenues for growth in trade.
