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Textiles

AGOA boosts Kenya's textile exports to US; sector sees 7.2% growth

09 Aug '23
1 min read
Pic: Shutterstock
Pic: Shutterstock

Insights

  • The African Growth and Opportunity Act led to Kenya's textile-apparel sector earning around Sh4.5 billion a month last year from exports, according to London-based Institute of Economic Affairs.
  • The sector witnessed a 7.2 per cent rise from 2018 to 2022, in which 36 firms with a capital investment of Sh24.88 billion generated exports worth Sh54.12 billion.
The African Growth and Opportunity Act (AGOA) has benefitted Kenya’s textile and apparel sector, leading to monthly exports to the tune of Sh4.5 billion, or Sh150 million per day, last year, according to a study by London-based Institute of Economic Affairs (IEA).

The programme has had a positive impact on the country’s export-processing zones (EPZs), especially in the textile and garment sector.

Kenya is the second-largest exporter of textile and apparel products to the Unitd States among AGOA beneficiaries.

The sector has experienced steady growth in capital investment, with a 7.2 per cent increase from 2018 to 2022, in which 36 firms with a capital investment of Sh24.88 billion employed 66,260 people and generated exports worth Sh54.12 billion, a Kenyan newspaper reported.

The textile and garment sector accounted for 7 per cent of Kenya’s total exports last year.

ALCHEMPro News Desk (DS)
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