Earnings from exports of goods grew by 17.4 percent to Kshs 873.1 billion in 2022, according to Economic Survey data released yesterday
The growth in total exports was however not sufficient to offset the growth in imports, resulting to the widening of the balance of trade deficit to Kshs 1.6 trillion.
Kenya’s expenditure on imports rose by 17.5 percent to Kshs 2.5 trillion in 2022 from Kshs 2.15 trillion recorded in 2021, as the country’s trade deficit hit a new high last year, despite growing exports volume.
Last year, increase in import expenditure was largely on account of continued increase in imports of petroleum products, which amounted to Kshs 597.7 billion, accounting for nearly a quarter of the total import bill in 2022.
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According to the Kenya National Bureau of Statistics, there was an increase in expenditure on imports especially due to increased international prices of petroleum products, amid the continued weakening of the Kenyan shilling against currencies of key trading partners.
Other major spending was in machinery Kshs 308.5 billion, iron and steel Kshs 150.6 billion, fats and oils Kshs 145.8 billion and plastic articles Kshs 101.3 billion.
Tea recorded the highest earnings of Kshs 163.3 billion due to improved international tea prices and was the leading export commodity in 2022.
Other top earners were horticulture Kshs 152.3 billion, apparel and clothing Kshs 47.3 billion, coffee Kshs 37.1 billion and Kshs 29.4 billion from titanium ores.
The total volume of international trade in goods grew by 17.5 percent to Kshs 3.4 trillion from Kshs 2.8 trillion in 2021.
Africa remains the biggest export market for Kenya with goods worth Kshs 357.7 billion sold within the continent last year, as East African Community accounted for majority of the volumes.
It was followed by Asia, Europe, Middle East then the US.
China remained Kenya’s biggest import source with the country importing goods worth Kshs 452.6 billion last year, up from Kshs 441.4 billion in 2021.
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