Kenya is seeking to expand its presence in the United Kingdom’s textile and clothing market by taking advantage of improved market access under the UK-Kenya Economic Partnership Agreement (EPA).
The initiative comes as Kenyan manufacturers explore opportunities across the UK, European Union and China, while the extension of the African Growth and Opportunity Act (AGOA) has renewed confidence among exporters targeting the United States.
According to the Kenya Investment Authority (InvestKenya), trade between Kenya and the UK grew from £1.4 billion, equivalent to about Sh245 billion, in 2023 to £2.1 billion, or approximately Sh358 billion, in 2025.
InvestKenya identified apparel as an area with significant room for expansion. Although the UK ranks as Kenya’s 12th-largest export destination for apparel, Kenyan clothing accounts for only about 0.6 per cent of Britain’s imports of apparel and clothing accessories.
The authority said this points to considerable untapped potential, particularly as British consumers increasingly favour high-quality garments produced under ethical standards.
Greater access to the UK market is also expected to boost demand for bank lending, trade finance, working capital and foreign exchange services, while supporting manufacturing expansion and employment as companies increase production and seek new buyers.
InvestKenya is working with the Export Processing Zones Authority (EPZA) and other stakeholders to help textile and apparel manufacturers understand the Rules of Origin under the UK-Kenya EPA.
Compliance with these requirements is essential for manufacturers seeking to benefit from preferential access to the British market.
Signed in December 2020 and subsequently ratified, the agreement gives Kenyan products duty-free and quota-free access to the UK market following Britain’s departure from the European Union.
The deal primarily covers trade in goods, agriculture, fisheries and economic development cooperation. It also allows Kenya to progressively lower tariffs on selected imports from the UK while safeguarding sensitive sectors.
Kenya’s export prospects have received a further boost from the extension of AGOA, which provides eligible exporters with duty-free access to the US market until December 31, 2028.
The US remains a key destination for Kenya’s apparel industry, accounting for about 70 per cent of the country’s exports to the American market.
Data from the Kenya National Bureau of Statistics shows that apparel exports under AGOA rose by 19 per cent, from Sh50.8 billion in 2023 to Sh60.6 billion in 2024.
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The industry currently supports more than 66,000 direct jobs, mainly through factories operating within EPZs.
The AGOA extension also preserves the third-country fabric provision, enabling Kenyan manufacturers to import yarn and fabric from outside Africa, produce garments locally and export them to the US without paying duties.
With the UK, US, EU and Chinese markets presenting distinct opportunities, manufacturers are being encouraged to spread their exports across several destinations rather than rely heavily on one market.
The additional two years of certainty under AGOA are also expected to encourage manufacturers to invest in machinery, increase production capacity and create more employment.
The government is calling on businesses to capitalise on the expanded market access by raising production, diversifying export destinations and attracting new investment into the manufacturing sector.
Investment CS Lee Kinyanjui urged the private sector to step up production, increase investment and make full use of preferential access to major global consumer markets.
