India, Kenya Sign Customs MoU to Speed Up Cargo Clearance and Deepen Trade Ties

India and Kenya have signed a key customs cooperation agreement aimed at making bilateral trade faster, smoother and more predictable, as both countries resumed high-level trade dialogue through the 10th India-Kenya Joint Trade Committee meeting in Nairobi. The meeting, held at the Commerce Secretary level after a gap of seven years, was co-chaired by India’s Commerce Secretary Rajesh Agrawal and Kenya’s Principal Secretary for Trade Regina Akoth Ombam.

The Memorandum of Understanding was signed between India’s Central Board of Indirect Taxes and Customs and the Kenya Revenue Authority for the exchange of pre-arrival information on goods moving between the two countries. The agreement was signed by CBIC Member Yogendra Garg and KRA Commissioner General Dr Lilian Nyawanda in the presence of senior officials from both sides.

The MoU is expected to enhance customs cooperation by allowing authorities to access cargo-related information before goods arrive at the border or port. This can help customs officials carry out better risk assessment, reduce unnecessary delays, speed up clearances and make trade flows more reliable for exporters, importers and logistics operators. The High Commission of India in Nairobi said the agreement will improve risk management and facilitate smoother bilateral trade between India and Kenya.

The agreement comes at a time when both countries are trying to widen their economic engagement beyond traditional trade. During the Joint Trade Committee meeting, India and Kenya discussed ways to boost bilateral trade, improve market access, address tariff and non-tariff barriers, and strengthen cooperation in key sectors such as pharmaceuticals, agriculture, digital public infrastructure, fintech, renewable energy and manufacturing.

The two sides also reviewed progress in development partnership initiatives and explored greater cooperation in logistics, infrastructure planning and capacity building. Both countries reaffirmed their intention to build a more diversified, balanced and future-oriented economic partnership, while also strengthening institutional mechanisms to resolve pending trade issues and encourage greater business-to-business engagement.

India is already one of Kenya’s important trading partners. According to the High Commission of India in Nairobi, bilateral trade stood at about US$ 3.351 billion in FY 2023-24, with Indian exports to Kenya valued at US$ 3.175 billion and imports from Kenya at US$ 176.34 million. India’s main exports to Kenya include petroleum products, pharmaceuticals, machinery, cereals, plastics, vehicles, electrical machinery and organic chemicals, while Kenya’s exports to India include tea, coffee, soda ash, edible vegetables, copper, fertilisers and metal scrap.

The trade relationship has continued to remain sizeable, with total bilateral trade listed at US$ 3.452 billion in FY 2024-25. The India-Kenya commercial framework has deep roots: a trade agreement was signed in 1981, under which both countries accorded Most Favoured Nation status to each other, while the Joint Trade Committee was set up in 1983 as a follow-up mechanism.

The new customs MoU therefore marks more than a technical administrative step. It strengthens the plumbing of India-Kenya trade by improving customs data-sharing, reducing clearance friction and giving businesses greater confidence in cross-border movement of goods. For India, it supports trade expansion in a key East African economy. For Kenya, it can help improve cargo processing, deepen commercial links with India and support Nairobi’s role as a regional trade and logistics hub.

Reference:

https://www.indiasnews.net/news/279015099/india-kenya-deepen-trade-ties-with-cbic-kra-customs-mou-on-sidelines-of-10th-joint-trade-committee-meeting
https://www.hcinairobi.gov.in/eoinrb_pages/NTIz
https://www.mea.gov.in/press-releases.htm?dtl/40656/IndiaKenya_Foreign_Office_Consultations_February_03_2026