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    EU Sets Sh6.3B to Unlock Potential of Agribusinesses Within EAC

    Fred
    By Fred Obura
    - October 05, 2023
    - October 05, 2023
    AgricultureKenya Business newsMarkets
    EU Sets Sh6.3B to Unlock Potential of Agribusinesses Within EAC

    Small businesses in the agriculture sector within the East African Community (EAC) are targeted in a Sh6.3 billion (€40 million) second phase market access upgrade programme (MARKUP II).

    The European Union funded programme will focus on EAC priority sectors including avocado, cocoa, coffee, essential oils, French beans, gum arabic, horticulture, leather, packaging, spices, and tea – with an emphasis on processing, value addition, diversification, investment, and export linkages.

    A regional Steering Committee chaired by the EAC Secretariat, which will include representation from relevant national ministries, will provide overall direction for the programme.

    Peter Mathuki, Secretary General of the EAC said the first phase of the programme (MARKUP I) contributed in value addition through improved coffee processing, coffee cupping certifications, resource efficiency and circular production in the tea and coffee sectors in the region.

    “About 700 enterprises specifically MSMEs in the region were supported through MARKUP I to improve their business operations and export. International transactions worth more than USD 10 million were generated and MSMEs accessed finances worth USD 9 million,” said Mathuki

    Implemented by the International Trade Centre (ITC) in collaboration with the EAC Secretariat, MARKUP II will strengthen EAC’s small businesses through enhanced regional and international trade in close partnership with the East African Business Council, EAC Partner States, business support organizations, and local institutions.

    “Our joint efforts to strengthen the region’s agricultural and horticultural sectors will help small businesses become more competitive on the international stage and help deliver on sustainable development priorities for the region and the continent,” said Pamela Coke-Hamilton, Executive Director, International Trade Centre.

    Notable contributions of MARKUP I include growth in EAC exports, such as coffee exports to EU markets more than doubling from €488 million in 2018 to €1.1 billion in 2022, and avocado exports growing from €85.5 million to €112.4 million. “Additionally, 37,819 small and medium enterprises were reached in this first phase and were empowered to become more competitive on international markets.”

    In phase one, more than 115 companies achieved a collective $16 million in sales and exports. MARKUP I also helped draw in $1 million in investment for over 70 small businesses.

    European Union Seeks New Trade Agreements with Africa – Kenyan Wallstreet

    The Kenyan Wall Street

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