Kenya Top Trading Hub In Comesa

Kenya Top Trading Hub In Comesa

Kenya has emerged a distribution hub and commercial powerhouse in the East African region...

Kenya has further consolidated its status as the gateway to East Africa and a leading trade hub in the region. The country tops the list of highest exporting countries in the 19-member COMESA trading bloc, emerging as the top performer in the regional East African market
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In recent years, Kenya has also been labelled as a viable business hub in the East African region and many foreign companies have set up assembly plants in Kenya to penetrate the lucrative markets in the region. By manufacturing in Kenya, the businesses are able to transport their goods within COMESA member countries without paying taxes, thereby adding to their profit margins.

Several Asian manufacturers, predominantly from India and China, have established warehouses in Kenya where they send the semi-finished goods to, and then use EAC trade protocols to move them around East African countries like Tanzania, Uganda and Rwanda. In such a scenario, many local manufacturers have blamed the government for not devising appropriate policies to protect the local manufacturing sector from unfair competition.

Competition from overseas investors and businesses is forcing local businesses in Kenya to reduce their profit margins in order to stay competitive in the price-sensitive markets of East Africa. By offering better products and lower prices, these new businesses are challenging the monopoly of many well- established businesses in Kenya.

Last year, Kenya imported goods valued at $200 million and re-exported goods worth $520 million. Egypt came in second, exporting goods worth $490 million and importing from other COMESA member states goods valued at $180 million. Zambia ranked third, selling goods worth $300 million and re-exporting products valued at $100 million. It however, bought an equally higher amount worth $290 million.

Zimbabwe, the southern African country currently facing a major economic crisis, came fourth exporting goods worth $170 million and re-exporting $120 million worth of goods. It also imported semi and finished products from other member states valued at approximately $430 million.

The landlocked country of Uganda led in the category of countries with the highest imports, buying from other members states products worth $70 million, and is closely followed by Sudan, which imports goods worth $65 million.

The Democratic Republic of Congo, emerging from years of turmoil, came in third importing products worth $60 million, Zambia $30 million, followed by Ethiopia, which imported goods valued at $21 million.

Oil exporting economies have been witnessing the highest growth, with Sudan’s economy growing at approximately 11 per cent in 2012. Non-oil economies exporting mineral and metal commodities also witnessed strong growth.

As a result, Kenya has become a focus of attention for international businesses looking to penetrate the emerging markets of East Africa.

...From Africa Business Pages

Scholarships for students from Kenya and others

The University of Sheffield was pleased to offer a range of scholarships to students from Kenya who show exceptional academic potential and are starting their studies at the University in September 2016.
We are pleased to offer scholarships to all international students commencing their studies in the Faculties of Engineering, Science, Arts and the School of Law in September 2016:
Management International Scholarships 2016
Eligibility and Award Criteria:

• You must hold an offer of a study place and begin your undergraduate studies in September 2016 in the Management School.
• You must be a national of, or permanently domiciled in Kenya.
• You must be self-funding and classified as overseas for tuition fee purposes.
• The scholarship is for full-time and part-time students only.
• Part-time students will receive the full value of a one year of scholarship split pro rata over the duration of an equivalent single full-time academic year.
• The scholarship will be awarded automatically – no application is required.
• The scholarship will be awarded unconditionally in the first year of study. Receipt of the award in subsequent years of study is subject to the achievement of a 60% overall average mark in the previous academic year.
• The scholarship will take the form of a tuition fee reduction only.
• The scholarship will not be applied during any optional or compulsory study abroad periods or year in industry.
• The Scholarships will not be awarded where partial funding is applicable from an external body* and there is an agreement already in place between the external body and the University of Sheffield to offer a tuition fee discount to the student.

Social Science International Scholarships 2016
We are pleased to offer Social Science Scholarships to Kenyan undergraduate students starting their studies in September 2016 in any of the following departments: East Asian Studies, Economics, Education, Geography, Information School, Journalism, Politics, Sheffield Methods Institute, Sociological Studies, Urban Studies and Planning (Formerly Town and Regional Planning.)
The scholarships are worth £2,000 per year each.
East and South Africa Merit Undergraduate Scholarship 2016
There are three Merit Undergraduate Scholarships available for East and South African students.
Each scholarship is worth 50% of the annual undergraduate tuition fee. This is guaranteed in the first year of study and is available in each subsequent year, excluding any years in industry or years abroad, subject to achieving 60% or above in the previous academic year – this applies to all undergraduate programmes except Medicine and Dentistry. Students of Medicine or Dentistry will only receive the scholarship for the non-clinical years (Medicine years 1 & 2 and Dentistry year 1).
The scholarship will take the form of a tuition fee discount only.
To be eligible for the scholarships applicants must be self-funding and classed as 'Overseas' for fee purposes AND a national of or permanently domiciled in either: Botswana, Kenya, Malawi, Mauritius, South Africa, Tanzania, Uganda, Zambia or Zimbabwe and apply for a study place by Friday 15 April 2016 for entry in September 2016.
The scholarship will be awarded on the basis of academic merit and the supporting statement. The final decision will be made by an academic panel.
If you wish to be considered for this scholarship you need to apply online, the application link will be distributed to eligible students by email from January onwards.
Applicants cannot apply for the scholarship before being offered a study place at Sheffield. The scholarship will be available only to applicants who have made the University of Sheffield their first or firm choice.

The deadline for applications is Friday 22 April 2016; scholarship results will be announced Friday 27 May 2016.

Postgraduate Scholarships eg MA, MSc

The University offers a range of scholarships for Kenyan students who show exceptional academic potential starting a postgraduate Taught Masters programme at the University of Sheffield in September 2016.

First African woman to win Nobel Peace Prize its creation in 1901

First African woman to win Nobel Peace Prize its creation in 1901

Kenyan environmentalist and human rights campaigner Wangari Maathai has won the Nobel Peace Prize. She is the first African woman to be awarded the peace prize since it was created in 1901. A surprised Mrs Maathai broke the news to reporters minutes before the official announcement. The prize committee says Mrs Maathai, Kenya's Deputy Environment Minister, is an example for all Africans fighting for democracy and peace. The delighted 64-year-old professor said the award was completely unexpected. HAVE YOUR SAY The work of Wangari Maathai is proof that responsible leadership will be the only salvation for Africa Craig H, London "This is extremely encouraging to the people of Africa and the African woman," she told the BBC. "It is a recognition of the many efforts of African women, who continue to struggle despite all the problems they face." Social science                      In the late 1970s, Mrs Maathai led a campaign called the Green Belt Movement to plant tens of millions of trees across Africa to slow deforestation. The movement grew to include projects to preserve biodiversity, educate people about their environment and promote the rights of women and girls. Known as "The Tree Woman" in Kenya, Mrs Maathai celebrated by planting a Nandi flame tree in her home town of Nyeri, in the shadow of Mount Kenya. I am working to make sure we don't only protect the environment, we also improve governance Wangari Maathai Nobel Peace Laureate Profile of Wangari Maathai Kenyan media jubilant She said she was delighted that the vital role of the environment had been recognised. "The environment is very important in the aspects of peace because when we destroy our resources and our resources become scarce, we fight over that". "I am working to make sure we don't only protect the environment, we also improve governance," she added. The committee says she has combined science with social engagement and politics, and has worked both locally and internationally. 'Honoured' The professor was the 12th woman peace laureate since the first award was first made in 1901. A spokesman for the Kenyan government said his country was honoured. Africa's peace laureates 2004 - Wangari Maathai, Kenya 2001- Kofi Annan, Ghana 1993 - Nelson Mandela, FW de Klerk, South Africa 1984 - Desmond Tutu, South Africa 1960 - Albert John Lutuli, South Africa "This is a great moment in Kenyan history. To us this shows that what Wangari Maathai has been doing here has been recognised," Alfred Mutua said. "We're very proud of her and she deserves all the credit." Mrs Maathai beat a record 194 nominations, including former chief United Nations weapons inspector Hans Blix and the head of the UN energy watchdog, Mohamed ElBaradei, to win the prize. Mrs Maathai is the second woman in a row to be awarded the peace prize, which last year went to Iranian lawyer Shirin Ebadi for her work for the rights of women and children in Iran. The award, which includes 10 million Swedish kronor ($1.3m) is awarded in Oslo on 10 December each year.

Kenyan scientist wins "Green Talent Award"

 Kennedy Liti Mbeva from Kenya is 26 years old and currently studying Environmental Management in Shanghai. For his research which focuses on enhancing climate finance effectiveness, he was honoured with the "Green Talent Award" by the German Ministry of Education.

The young Kenyan was chosen as one of 25 winners, out of 800 applicants from more than 100 countries. For 2 weeks, he travels through Germany to visit top locations for sustainability research.

Kennedy said that he is "excited to be part of this prestigious program for young researchers". However, the best thing about the award is that he has the opportunity to come back to Germany for a research stay at an institution of his choice. He wants to make use of this stay to build research and development skills that will be of benefit to his research, and to environmental governance in Kenya.

Asked about what advise he has to offer his fellow researchers from Kenya, Kennedy said: "I would like to strongly encourage young researchers, especially from Kenya, to explore similar opportunities to cooperate and exchange ideas with other young researchers from all over the world."

(© BMBF)

Kenyan women scientists triumph in food security innovations

Kenyan women scientists triumph in food security innovations

Even as numerous reports point to women as a marginalized group in access to farm finance, land and inputs, women scientists in Kenya are defying the odds by coming up with innovations and science breakthroughs that have not only provided lasting solutions but received international accolades.

From low cost climate change innovations, to seed breeding that ensures that farmers access high yielding, disease and drought resistant varieties in time, the women scientists have attached emotional sense to their work, which has placed them ahead of their male peers.

Programmes like the African Women in Research and Agricultural Development, AWARD, have been crucial in finding women scientists, testing their ideas and turning these ideas into life changing agricultural interventions.

The programme which awarded 70 women scientists in Sub Saharan Africa with fellowships and funding has supported more than 390 African women scientists from the 11 countries including Kenya. In Kenya 11 scientists were awarded fellowship in the 2015 selection.

Among them is Nora Ndege who is doing a research on the efficacy of training and use of fruit processing technologies by women smallholder farmers in the arid area of Mwala in Machakos.

But there are other scientists who have championed their own course and have come up with major agricultural breakthroughs. One of them is Professor Monica Ayieko, a scientist who has been advocating for the use of the many insects like May flies and termites available in the country which she believes would be good as a food source. The professor argues that the termites would address the twin problem of environmental degradation and biting food shortage.

The insects produces less harmful gases than other food sources like livestock. The insects are also readily available and would, according to the professor, be a timely solution to the delicate food security situation that Kenya is facing. This has been occasioned by an unprecedented rise in population that is putting the strain on food production, as the population increase fail to match with the dwindling arable land.

Professor Ayieko has been exploring various ways of making the insects palatable including through samosas and sausages.  Prof Ayieko’s conviction has received a backing from the United Nations which is advocating for the use of insects as food to close the biting food shortfall. According to the organization, insects are readily available to millions of food insecure families across the world and could offer a nutritional solution to these families. The insects are known to contain crucial nutrients like iron, zinc and fat. In Kenya approximately four million people are food insecure.

In 2013 Dr. Charity Mutegi another Kenyan scientist received world’s highly coveted prize, the Norman Borlaug Award for Field Research and Application, for her role in championing the development of a biological control of the catastrophic and cancer causing organism aflatoxin. The aflatoxin has become a major concern in Kenya, leading to Kenya being announced as one of the biggest hotspot for aflatoxin. The country witnessed hundreds of deaths in 2010 after unsuspecting consumers took maize laden with aflatoxins.

Dr. Mutegi’s innovation involves introducing a strain of the aflatoxin fungus which is not toxic but which is superior than the toxic ones. The strain is in form of a bio pesticide that is pocket friendly to farmers and which doesn’t harm the environment, the maize or the consumers.

Horti News

Led by Kenya, East Africa emerges as a trade hub

East Africa is emerging as a trade hub to rival sub-Saharan Africa’s two heavyweight states of South Africa and Nigeria, according to analysis by Barclays published on Thursday.

However the UK bank identifies five sleeping giants that present significant new opportunities for foreign companies; Ethiopia, the Democratic Republic of Congo, Mozambique, Tanzania and Ghana.

This quintet which are playing catch-up after significant political and economic upheaval  are increasingly attractive to foreign firms and international investors with an eye on long-term returns from fast-growing markets, Barclays said in its inaugural Africa Trade Index.

Matt Tuck, head of global corporate banking at Barclays, said the five were open to international trade and had rapidly growing populations that are likely to reach 325m in total by 2020, comparable to that of the US.

Moreover, any repeat of the 7.3 per cent compound annual economic growth they have experienced over the past five years would lead to a significant rise in household spending. Most are relatively unreliant on commodity exports by African standards, shielding them from some of the storms currently battering emerging markets.

The core underlying fundamentals are getting better and with more stable government it does represent an opportunity for growth, said Mr Tuck. It’s a much more encouraging outlook than in the past.

Overall, Barclays found South Africa and Nigeria offered the best opportunities for foreign companies, in terms of unmet demand, the absence of major barriers to cross-border trade and their connectivity with other African countries (see the first table).

Barclays Africa Trade Index 2015
Top 10	Score / 100
South Africa	73.3
Nigeria	62.6
Kenya	56.2
Ghana	53.4
Tanzania	52.4
Ethiopia	49.2
Angola	48.7
Cte d’Ivoire	48.5
Sudan	48.4
Senegal	48.3
Source: Barclays

While South Africa is the standout performer, Barclays said Nigeria arguably represented the most exciting long-term opportunity.

However it added that the country suffered from logistical difficulties posed by inadequate infrastructure, which meant many companies had to provide their own power and water supplies.

The bank, which has operated in Africa for more than 150 years and has 1,500 branches across the continent, said Nigeria needed to reduce non-tariff barriers to trade, as well as invest heavily in transport networks and power provision.

Barclays said that east Africa was emerging as a trade hub, with improved border administration helping create a fast-growing regional market.

Barclays Africa Trade Index 2015
Bottom 10	Score / 100
Malawi	38.8
Madagascar	38.8
Rwanda	38.5
Congo	36.5
Gabon	35.2
Lesotho	33.2
Guinea	30.3
Chad	29.9
Burundi	28.2
Gambia	23.4
Source: Barclays

The east African Community introduced a single customs territory last year, earning praise from Erich Kieck, director for capacity building at the World Customs Organisation, for remarkable work simplifying the control of goods moving across the customs union.

Kenya is ranked third in Barclays’ index, with Tanzania and Ethiopia also in the top six. Mr Tuck said Kenya had taken on the role of regional leader, pushing for regional policy in terms of infrastructure and administration and developing strong regional and global air connectivity.

Many countries, particularly in east Africa, have invested in major developments in both infrastructure and soft’ infrastructure such as tariffs and border policies, said Mr Tuck.

He welcomed the development of one-stop border posts, where a single customs check is run jointly by neighbouring countries, rather than each country operating their own station.

East Africa is leading the way in this regard, with seven OSBPs operational or in development in Tanzania and six in Uganda and Kenya, although they are spreading further afield with even Zimbabwe implementing such a system at its Chirundi border post with Zambia.

Developments such as these have helped the dollar value of intra-regional exports expand at a compound annual growth rate of 16 per cent between 2004 and 2013, Barclays said, double the 7.6 per cent CAGR for sub-Saharan exports in total, which hit $460bn in 2014.

Mr Tuck said intra-regional trade still only represented 17 per cent of total trade flows in sub-Saharan Africa, below the levels in regions such as Latin America (20 per cent), North America (32 per cent), Asia (48 per cent) and Europe (66 per cent).

Having said that, bodies such as the African Development Bank have estimated that the true figure is nearer to 40 per cent when informal and unofficial cross-border trade is taken into account.

The report, which was compiled as an aid for UK exporters but has wider ramifications, also pointed to the degree to which Europe has been usurped by the rise of Asia, which accounted for 19 per cent of sub-Saharan Africa’s goods imports in 2004 but 32 per cent by 2013.

Barclays saw some of the best opportunities in the retail sector, with the development of more formal shops, malls and supermarkets allowing customers to trade up, and expanding mobile and internet services creating new avenues for online retailers.

Opportunities abound elsewhere though, with Diageo, the UK drinks group, currently generating 13 per cent of its sales in sub-Saharan Africa, a figure it hopes to raise to 20 per cent.

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