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Kenya is actively engaging the European Union to review stringent trade regulations, particularly on horticultural exports, following a significant slump in export volumes and earnings. The move aims to stabilise market access for Kenyan produce and mitigate the impact of evolving EU standards.
Kenya is pressing the European Union (EU) to relax its rigorous trade regulations, which officials contend are adversely affecting the nation's horticultural exports and prompting a search for alternative markets. The appeal comes amidst a notable decline in export volumes and earnings, primarily attributed to stricter EU limits on pesticide residues and other non-tariff barriers.
Agriculture Cabinet Secretary Mutahi Kagwe highlighted that frequent changes in EU market entry requirements create instability for Kenyan producers, hindering their ability to plan, invest, and maintain consistent export quality and timelines. Kenya aims to position itself as a dedicated export hub and increase both the value and quantity of its exports to the EU market, leveraging its year-round production capabilities due to geographical and weather advantages.
The push for eased regulations follows the implementation of the EU-Kenya Economic Partnership Agreement (EPA), which officially came into force on July 1, 2024. This agreement grants Kenyan products duty-free and quota-free access to the EU market, which is Kenya's largest export destination, accounting for approximately one-fifth of all Kenyan exports. In return, Kenya will gradually open its markets to EU products over a 25-year period, with provisions to exclude sensitive products from liberalisation.
Despite the EPA, Kenyan exporters face numerous non-tariff barriers, including technical regulations, rules of origin, and phytosanitary controls, which increase the cost and complexity of accessing the EU market. A report by the Kenya Institute for Public Policy Research and Analysis (KIPPRA) indicates that these barriers disproportionately affect Micro, Small, and Medium Enterprises (MSMEs).
In 2024, Kenya's fresh vegetable exports to the EU experienced a sharp decline of 54.7 percent, falling from 164,100 tonnes in 2023 to 74,300 tonnes. This reduction in volume led to a corresponding drop in export earnings from KSh 50.9 billion to KSh 23.4 billion. The decline is largely attributed to the enforcement of stricter EU pesticide regulations, specifically amendments to Regulation (EC) No. 396/2005, which delisted over 30 commonly used active substances.
Furthermore, issues such as poor water quality, microbial hazards, and pest outbreaks like the False Codling Moth have contributed to increased rejections at EU entry points. The Kenya Plant Health Inspectorate Service (KEPHIS) noted that EU inspections on Kenyan rose exports have progressively heightened from 5 percent in 2020 to 25 percent by May 2024 due to frequent pest interceptions.
Trade Cabinet Secretary Lee Kinyanjui, speaking at the COMESA-EU Horticulture Connect forum in Nairobi on Monday, October 6, 2025, reaffirmed Kenya's commitment to attracting foreign investors and addressing trade challenges. He highlighted efforts to ensure currency stability, maintain a stable political environment, expand renewable energy, and equip the youth with relevant skills.
Analysts suggest that these developments could influence near-term public debate and policy execution, with stakeholders urging clarity on timelines, costs, and safeguards. The government is strengthening compliance systems and actively seeking new markets globally to diversify its export destinations.
The continued imposition of strict EU regulations poses a significant risk to Kenya's horticultural sector, potentially leading to further export declines and economic losses. It could also deter investments in the agricultural sector if market access remains unpredictable. The focus on diversifying markets, while necessary, requires substantial investment in new trade relationships and compliance infrastructure.
Observers will be keenly watching the outcomes of ongoing dialogues between Kenya and the EU regarding trade regulations. The effectiveness of Kenya's strategies to diversify its export markets and strengthen domestic compliance systems will also be crucial. Further, the impact of the EPA's review clause, which mandates a comprehensive review every five years, will be significant for future trade relations.
