A Memorandum of Understanding (MOU) has been signed with the intention of establishing a digital trade corridor between Kenya and the United Kingdom (UK).
The MOU was signed at the Kenya High Commission in London on Monday and it seeks to free up two-way trade between Kenya and the UK.
The key memorandum was signed between TradeMark East Africa and the Institute of Export and International Trade (IOE&IT) in an event witnessed by EAC CS Adan Mohamed.
Adan Mohamed and Manoah Esipisu. PHOTO/COURTESY
The UK-Kenya Trade Logistics Information Pipeline (TLIP) seeks to eliminate paperwork and instead introduce a digital process that enhances visibility up and down the supply chains.
The system adopts the blockchain technology to connect all players in the supply chain to enable faster logistics clearance and easier trading.
The ceremony was hosted by Kenya High Commissioner to the UK Manoah Esipisu.
Adan Mohamed. PHOTO/COURTESY
East Africa Community Cabinet Secretary Adan Mohamed said the agreement would significantly improve bilateral trade for the benefit of Kenya and the entire EAC.
“We look forward to seeing the better future of this partnership grow our trade balances. What is even more significant is the role it is going to play to support small and medium-sized enterprises," said Mohamed.
On his part, Trademark East Africa CEO Frank Matsaert said the digital trade corridor would entrench a transparent, efficient and cost-effective way of handling information on trade.
“This will support and boost trade efficiency between the two countries. TLIP is also expected to support trade within the AFCTA growing trade within the continent and support global trade,” he said.
IOE&IT Director General Marco Forgione said the initiative will substantially benefit traders and stress the importance of the digital aspect in trade pacts across the globe.
“Provisions to motive digital delivery are an increasingly important part of trade agreements and it is initiatives like that will make them succeed,” said Forgione.
Manoah Esipisu. PHOTO/COURTESY
IOE&IT is a professional membership body in the UK that represents and supports the interests of all actors in the import, export and international trade.
TradeMark EA is an aid-for-trade organisation which is financed by development agencies in the UK, US, France, Belgium, Denmark, Canada, EU, Finland, Norway, Netherlands, Ireland.