South Africa and Kenya have signed new trade facilitation and maritime cooperation agreements to improve market access and stronger logistics links between East and Southern Africa.
The two agreements formed part of six Memoranda of Understanding (MoUs) signed during Kenyan President William Ruto’s state visit to South Africa last week. The new pacts bring the number of bilateral agreements and memoranda between the two countries to 34.
The MoU on trade facilitation supports efforts to expand trade under the African Continental Free Trade Area (AfCFTA), with both governments identifying tariff and non-tariff barriers, limited market access and regulatory constraints as obstacles to deeper intra-African trade. It covers cooperation in standardisation, technical regulations, conformity assessment, accreditation and metrology to improve market access between the two countries.
“We acknowledge that real obstacles still remain, including tariff and non-tariff barriers, limited market access and regulatory constraints,” Ruto said. Trade ministers have been directed to accelerate efforts to remove these barriers.
An agreement on shipping and maritime cooperation aims to strengthen collaboration in the maritime sector and improve connectivity between East and Southern Africa. The agreement is expected to support logistics networks, trade flows and the movement of goods and services across the continent.
At the South Africa-Kenya Business Forum, transport infrastructure was also raised, with funding for the Kenya Roads Board Securitisation Programme among the initiatives under consideration. The programme aims to support transport infrastructure development.
Ruto also called for deeper cooperation in cargo-generating sectors, including manufacturing, agriculture, mining, logistics, pharmaceuticals, energy, digital services and green industrialisation. “We must move beyond conventional trade and deliberately build integrated regional value chains in manufacturing, agriculture, mining, logistics, pharmaceuticals, energy, digital services and green industrialisation,” he said.
He also called for greater investment in agro-processing, irrigation, cold-chain logistics and supply chains that connect African producers to African markets. “Africa cannot keep spending billions importing food while our own farmers and agro-industries stand ready to feed the continent,” Ruto said.
Kenya was one of South Africa’s largest trading partners on the continent outside the Southern African Development Community, with total trade between the two countries growing by an average of 3.5% a year since 2022, Ramaphosa said.