Uncertainty around the US general elections likely cut Kenya’s apparel exports by 2.3 per cent in 2016 compared to 2015.Apparels exported declined from 84.6 million pieces in 2015 to 74 million pieces in 2016.
Some 58 per cent were supplied to the US market, out of which 94.2 per cent constituted exports of garment products. But the country diversified its apparel markets to include Europe and Canada. And the alternative market is evolving in significance.
The textile and garment industry in Kenya received a boost in 1990 when the government liberalized the economy and adopted an export led growth strategy.
The textile and garment sector in Kenya has been through turbulent times in the last ten years with the sector gaining ground in the last four years due to more emphasis on exports to the American market through the AGOA initiative of duty free and quota free access to the US market in addition to permitting the use of third country fabrics in the production of garments for the market.
About 90 per cent of the existing textile and garment producing firms based in Kenya are established with the primary objective of overcoming quota limitations in their existing facilities and thus the entire production is focused on quota categories that have high premiums and are in short supply.
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