Kenya’s economic diplomacy is doing well

From the very outset, the government indicated that it would pursue economic diplomacy. There could not have been a better approach. Why so? Let me illustrate.

In late November, US President Barack Obama suspended the entry of South Africa’s goods under the African Growth and Opportunity Act after accusing Pretoria of imposing several barriers to trade with the US.

Mr Obama made the announcement following South Africa’s anti-dumping embargo on certain US chicken products. South Africa accused US firms of selling cheap “undesirable” meat.

South Africa was also concerned that US chicken producers benefited indirectly from subsidies extended to US corn farmers, leading to lower production costs and further amplifying their competitive advantage.

Mr Obama resorted to Spartan economic diplomacy to get South Africa to allow in the US chicken.

This demonstrates how far countries are willing to go to secure their national economic interests. The role of the State has changed with respect to a rapidly changing international environment. Diplomacy has changed significantly, demanding unprecedented adeptness in multilateral processes.

Although President Uhuru Kenyatta has been criticised for his numerous trips abroad, his brand of economic diplomacy has enhanced Kenya’s visibility as well as its attractiveness as a frontier destination besides telescoping the country as a gateway to the Eastern Africa region.

Economic diplomacy, in the Kenyan context, has also meant exploring alternative sources of development assistance, commonly referred to as “looking East”.

Ours remains a pragmatic approach to diplomacy aimed at priming the country to attract foreign direct investment, tourists, and international conferencing.

The commitment to economic diplomacy has been pursued through the Ministry of Foreign Affairs and International Trade. The just-concluded WTO conference is a pointer to this success. It has seen us deliver the Nairobi declaration in which member states agreed to do away with agricultural subsidies.

Kenya is to host the 14th session of the United Nations Conference on Trade and Development in July, 2016. This conference will bring together heads of state and government, ministers, and other prominent players from the world of business, civil society, and academia to tackle issues of global trade and economic development.

To build on the momentum, several things need to be done. Already, there has been a re-calibration in government ministries, with some job descriptions revised significantly.

For instance, trade now falls under the Ministry of Industrialisation and Enterprise Development. There is a symbiotic relationship between the Foreign Affairs Ministry and the Ministry of Industrialisation where trade matters are concerned.

The efforts made in international trade – that ultimately require diplomatic prowess – should be supported by local actions to bring it all to fruition.

The government’s efforts in securing trade and other deals ought to be complemented by the private sector. The Kenya National Chamber of Commerce and Industry is most suited to drive this dream.

However, the chamber needs to be more visible to end the need for multiple membership organisations that dilute the impact of the private sector.

The writer is the chairperson of Gina Din Group. Twitter: @gina_din