Kenya presses Thailand to narrow lopsided trade gap ahead of 60 years of ties
Kenya is pushing to rebalance its trade with Thailand, where goods flow overwhelmingly in one direction, as the two countries prepare to mark 60 years of diplomatic relations next year.
Prime Cabinet Secretary and Foreign Affairs Cabinet Secretary Musalia Mudavadi raised the issue when Thailand's Ambassador to Kenya, Jirusaya Birananda, paid him a courtesy call on October 13, The Star and Capital FM reported. Kenya and Thailand established relations in 1967, and the 60th anniversary falls in July 2027.
A six-to-one imbalance
Figures published by the Ministry of Foreign and Diaspora Affairs in August show that Kenya imported goods worth about $151.5 million from Thailand in 2024, while its exports to the Southeast Asian country came to only about $23.1 million. In other words, Kenya buys roughly six and a half dollars' worth of Thai products for every dollar it sells to Thailand.
The gap mirrors a wider problem in Kenya's external accounts. The country's merchandise trade deficit has continued to widen this year, driven largely by fuel and other imports, putting pressure on policymakers to find new markets for Kenyan goods.
"Now is the time to turn that relationship into greater economic opportunities for our people," Mudavadi said, according to The Star and Capital FM. "Six decades of friendship must now translate into stronger trade, greater investment and shared prosperity," he added, as quoted by Capital FM.
Where Kenya sees openings
Nairobi's agenda has two strands: selling more Kenyan products in Thailand and persuading Thai companies to set up production in Kenya. The talks identified agro-processing, manufacturing, tourism, information and communications technology, infrastructure and logistics as priority areas for Thai investment.
Agriculture features prominently. Thailand is one of the world's leading food exporters, and Kenya has signalled interest in cooperation on farm productivity, technology transfer and processing produce before export. An earlier ministry statement in August also listed agricultural technology, irrigation, mechanisation and post-harvest management as areas of interest.
Reviving dormant structures
The two sides are exploring a Memorandum of Understanding on Political Consultations, which would create a framework for regular, structured diplomatic engagement. Kenya has also been keen to revive the Joint Commission for Bilateral Cooperation, which was set up in 2005 but has met only once, at its inaugural session, according to the August ministry statement.
Thailand has signalled a willingness to engage. In June, Thailand's Ministry of Foreign Affairs said its permanent secretary and Kenya's ambassador had agreed that both countries would jointly prepare for the 2027 anniversary.
No deals yet
No investment commitments or new trade agreements were announced after the October meeting. The Star noted that the anniversary offers both governments an opportunity to set measurable trade and investment targets. The test for Nairobi will be whether the diplomatic goodwill translates into a meaningful narrowing of the deficit before the July 2027 milestone.
Photo: Musalia Mudavadi and Ambassador Jirusaya Birananda, Capital FM.
More in Business
See all
Kirima's widow warns Kenyans against buying plots on disputed 1,000-acre Njiru land

Kenya woos foreign building materials makers to set up factories and boost affordable housing

Bankers push for PAYE cut for all workers as Ruto targets low earners

Second shipment of heavy machinery for Dangote refinery docks at Lamu port

UK government arm takes Sh1.94bn stake in Quickmart IPO







Global Community Remarks
0