Kenya and United Kingdom have formed a digital trade corridor that aims to eliminate paperwork and improve the supply chains between the two countries.
TradeMark East Africa (TMEA) signed a deal with The Institute of Export & International Trade(IOE&IT) in London to implement this Trade Logistics Information Pipeline(TLIP).
TTIP’s system uses blockchain technology to join all players in the supply chain to enable easier trading and faster logistic clearance.
The creation of TLIP follows the signing of an Economic Partnership Agreement between Kenya and the UK in December last year.
Kenya to benefit from the digital trade corridor
TMEA and IOE&IT aim to accelerate trade between the East African nation and the UK by cutting down on red tape and time to import or export by at least 30% and lower steps in the trading process by at least 50%.
TLIP hopes to cut costs for Kenyan firms producing goods like green vegetables and cut flowers for export to the UK, thus resulting in lower prices for importers, retailers and UK consumers.
UK exporters will also access one of the most developed markets on the African continent.
TLIP comes after the UK made its exit from the EU last year.
According to IOE&IT Director General Marco Forgione the TLIP project will deliver enormous benefits to traders and position the UK as a leader in global digital trade.
According to TMEA chief executive Frank Matsaert, TMEA is proud to extend its digital solutions, creating an efficient way of generating trade information between the UK and Kenya.