BILATERAL: Strong presence in Country

Indian Investments in Kenya

India is one of the largest investors in Kenya. Some of the Indian companies which have executed large projects, have undertaken substantial investments or are well-established  exporters, they are:

1. i) Panafrica Paper Mills – Paper factory in western Kenya - KSh540 million, 54.1% held by C.K. Birla (Indian) owned.
2. ii) Magadi Soda Ltd (Tata group company) KSh331.5 billion & Tata Africa Ltd (Transport) – KSh 975 million
3. iii) Kenindia Insurance Company Limited Ksh300 million paid up capital investment in Insurance industry
4. iv) KEC Limited – power sector (rural electrification), supplied power line/ kipevu – KSh7.8 billion
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7. ABOVE: The Indian DeputyHigh Commissioner, Dr Ketan Shukla, with H.E. Anna Maria Sampano, the Brazilian

India-Kenya Cooperation in Education Sector

From the beginning, education and technical co-operation have been one of the focal points in the relationship between independentIndia and Kenya. 6-8000 Kenyan students go to India every year to pursue higher studies in about 50 different Indian universities. More than 50 trainees benefit from the ITEC/ICCR scholarship schemes annually. These Kenyan alumni from Indian universities symbolise the special link, friendship and good will between the two countries. In line with the Government of India policy to promote Indian higher education in countries abroad, the Ed.CIL of India organized an India Education Fair in Nairobi and Mombasa in February 2003. Going by its success and positive impact, FICCI and UGC jointly organized an ‘India Education Fair’ on 12 – 13 June 2004 in Nairobi where 18 Indian Universities including JNU, BHU, Symbiosis Pune etc. participated. The Guru Nank Dev University, Amritsar, and 13 of its affiliatedColleges held an education Fair in Nairobi on 11 April 2006.

CONSULTATIONS: H.E. Kalonzo Musyoka (centre), Vice President of Kenya, Honourable Chief Minister of Gujarat, Mr NarendraModi (to his left), and Mr Mutula Kilonzo, Honourable Minister

India – Kenya Economic Ties

Trade links between the two countries grew steadily after India attained independence in 1947 and Kenya in 1963. India and Kenya signed a Trade Agreement on 24th, February 1981 and so far five Joint Trade Committee Meetings have been held pursuant to this, the last being in New Delhi, 16th and 17th December 2008. Through the Agreement, India and Kenya accord MFN status to each other. India has been alternating as the fourth or the fifth largest trading partner of Kenya. Major items of export to Kenya are drugs, pharmaceuticals, chemicals, machinery, farm tools and implements, textiles, plastics and linoleum products, manufactured metals and steel, transport equipment and accessories, software, electronics and IT, processed foods and agroproducts. Major items of import by India are cashew, dyeing and tanning materials, leather and leather products, scrap metals, and precious and semi-precious stones. Considering the potential of both India and Kenya, there is a great scope of increasing the volume of trade.

This calls for serious efforts by both sides to achieve diversification in the basket of traded goods. India-Kenya partnership in technology transfer for small and medium industries has been very strong in the areas of technical assistance involving the exchange of experts and know-how. National Small Industries Corporation of India helped Kenyan Industrial Estate Limited and the Appropriate Technology Advisory Committee. Indian government provided assistance by way of supply of machinery and equipment to start industries under the Kenya Industrial Estate Limited programme. An MOU was singed by Kenya Industrial Estate, (KIE) Government of Kenya and national Small Scale Industries of India (NSIC) which will NSIC will assist Kenya set up business incubator centres for demonstration and training on technology for local entrepreneurs. Many private consultants from India have also rendered consultancy services to Kenyan Small and Medium Enterprises.

The Engineering Export Promotion Council of India (EEPC), in association with the High Commission, organized a 4-day Indian technology exhibition in September 1998. In June – July 2003, a technical team from RITES of India undertook a six-week consultancy project for< the Kenya Railways.There have been regular visits from various Indian Export Promotion Councils to Kenya for market study / holding Buyer- Seller Meets. The Synthetic & Rayon Export Promotion Council of India mounted a two day Buyer-Seller Meet in Nairobi in February 2003, and another two-day BSM on 21-22 March 2004. The Engineering Export Promotion Council also held a successful BSM in January 2004.Delegates from the Electronics & Computer Software Export Promotion Council of India have interacted with members of the Computer Society of Kenya to obtain an in-depth view of the ICT sector in Kenya.

The Government of Kenya, in collaboration with UNCTAD and Exim Bank of India, organised an ‘IT Investment Mart’ in Nairobi on 14 March 2006. Three Buyer-Seller Meetings have been held by the Chemical & Allied Products Export Promotion Council in Nairobi, on 21 February and 29-30 March 2005, and the latest on 28 March 2006.