In February, Kenya’s domestic exports to Uganda and Tanzania hit multi-year lows, exposing persistent trade barriers within the East African Community (EAC). Shipments to Tanzania fell to Sh2.6 billion—the lowest since May 2021—while exports to Uganda dropped to Sh6.6 billion, a level last seen during Kenya’s August 2022 election disruptions.
These declines follow recent EAC summit pledges to eliminate non-tariff barriers by June 2026, yet recurring hurdles persist. Tanzania imposed levies on Kenyan eggs, dairy, and meat in March 2025; Kenya briefly taxed cereal imports from Tanzania in August 2024; and a tea permit dispute flared in February 2024. Border delays and retaliatory measures have also disrupted trade with Uganda.
Beyond policy clashes, structural shifts matter: neighboring countries are boosting local production, eroding Kenya’s market share in goods like cement, soap, and steel. Without stronger enforcement of regional agreements, Kenya risks further losses in its key EAC markets.
