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Kenya –US Free Trade Agreement Plan- US Trade Representative notifies congress

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  • United States Trade Representative Robert Lighthizer has notified Congress the proposed plan for Kenya US Free Trade Agreement
  • Critics point out that the planned bilateral agreement would be a breach of regional and continental trade protocols.

United States Trade Representative Robert Lighthizer has notified Congress the proposed plan for Kenya US Free Trade Agreement. A letter dated March 17, 2020, addressed to Nancy Pelosi, US Senate Speaker; Senator Charles Schumer, Minority Leader; Kevin McCarthy, Minority Leader US House of Representatives; Charles Grassley, President Pro Tempore, of the US Senate, notified them of the president’s intentions. The letter stated that the President propose to initiate negotiations on a trade agreement with the Republic of Kenya. It reiterated the commitment of US to conclude these negotiations with timely and substantive results for US consumers, businesses farmers, ranchers and workers in line with US priorities and negotiating objectives established by the Congress. The proposal is likely to shake the very foundation of the unity of the East African Community. Critics point out that the planned bilateral agreement would be a breach of regional and continental trade protocols. Kenya’s Cabinet Secretary in charge of Agriculture Peter Munya argued that the proposed deal is intended to replace the African Growth and Opportunity Act (AGOA)that allowed duty-free access of a wide range of African goods to the US. AGOA  will expire in 2025.

 President Uhuru Kenyatta was in Washington a month ago which was a follow-up to trade and security talks that Kenya held with the US two years ago. The proposed deal, would see Kenya open its borders for duty-free imports from the US, while Kenya would be able to export a range of goods tax-free to the US. The deal is expected a give a big boost to the bilateral trade which stands around $1 billion annually.

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