US, Kenya trade negotiation dilemma

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What you need to know:

  • The ongoing trade negotiation between Kenya and the US is an experiment that needs clarity.
  • Many other African countries have expressed concern about Kenya’s departure from past collective trade arrangements with the US.
  • Kenya’s lone-ranger approach in this trade negotiation may lead to serious repercussions.
  • The decision puts the entire Africa in a dilemma.

A former American Football player, Steve Gleason, once said, “I look at the human life like an experiment. Every new moment, every new experience, tragic or otherwise, is an opportunity to gain a more accurate perspective and helps lead me to clarity.”

He said this while fighting for his life after being diagnosed with Amyotrophic lateral sclerosis (ALS). His words are very much analogous to the experience of the African countries fighting the scourge of poverty while trying to strike a trade deal with powerful nations.

The ongoing trade negotiation between Kenya and the US is an experiment that needs clarity. Many other African countries have expressed concern about Kenya’s departure from past collective trade arrangements with the US. Kenya’s lone-ranger approach in this trade negotiation may lead to serious repercussions. The decision puts the entire Africa in a dilemma.

There are other multiple issues that may present an opportunity for the people to gain an accurate perspective of the emerging trade relationship. Key among these are: regulatory oversight over the giant US technology companies that could decimate our fledgling start-ups and rules of cross-border digital trade that remains invisible to national statistics of trade as well as tax purposes.

In addition, the trade negotiation should include, the establishment of mechanisms for dealing with legal redress for violations of individual privacy by social media platforms. Also, Kenya needs to seek collaborations around contract manufacturing of light electronics in line with the country’s aspirations of building technology parks.

It is indefensible to have a trade deal that is mutually exclusive of our obligations to the African Union and other pre-existing allies. Both the US and African countries are strong allies but in the balance of things, Kenya would rather strengthen her relationships with neighbours and perhaps build a more united Africa with a capacity to negotiate trade deals from a position of strength.

Unity of Africa unlocks many other opportunities especially if the continent were to become a single digital market (SDM). This will translate to a harmonised policy environment that will ultimately open up African trade to every country, including the US. It benefits Kenya most in the continent to expand her digital solutions and harness data for a competitive future.

There is wisdom in learning from the European Union and trying similar strategies to not just protect the privacy of our citizens but also benefit from the strengths of a single market. Further, the trade numbers between the US and Kenya do not reflect the correct situation since digital revenues are not included in the accounting for the balance of trade.

Perhaps what is more worrying from the trade talks is the perception that the US is dictating the terms and introducing side issues on how Kenya should deal with Israel. Yet Kenya has always been a friend of Israel.

In my view, if Kenya is being arm-twisted to enter into a deal that is likely to alienate the country from the rest of Africa, then there is no need to sign the agreement. Our biggest trading partners are in Africa — and we don’t even have to work hard to access those markets since Kenya is already a signatory to the Africa Continental Free Trade Area agreement. The American trade proposal is like the Brexit to the British. I would propose that we subject the whole issue to a referendum.

Michael Cohen, former Personal attorney to US President Donald Trump, revealed in his book, Disloyal: A Memoir that Trump praised the Apartheid regime in South Africa and said Mandela "F----d the whole country up." In the true African tradition, when someone demeans and grossly disrespects you, irrespective of your status, you cannot sit with the offender unless there is atonement.

Africa is stronger when working together. That is how we can regain respect and stop being called 'shithole.'"

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