Lawyers File Suit At EAC Court To Block Kenya-US Trade Deal

Two lawyers, Christopher Oyieko and Emily Osiemo have moved to the East Africa Court of Justice to challenge Kenya’s free trade deal with the United States of America (US) days after the two countries opened negotiations on duty-free imports.

The two want the regional court to invalidate the free trade agreement (FTA), claiming that it goes against Kenya’s treaty with the other East African Community (EAC) partners.

In the case filed against Kenya’s Attorney General Kihara Kariuki and EAC Secretary-General Liberat Mfumukeko, the lawyers argue that the agreement between Kenya and the US will lead to a flooded market, with Uganda and Tanzania being the biggest casualties.

“The actions of the second respondent (Mfumukeko) violate Article 72(3) of the protocol on the establishment of the East African Community Common Market for failing to ensure the council puts in place a mechanism for the coordination of trade relations with third parties,” the suit reads.

In February, Kenya and the US announced they were pursuing an FTA that would be used as a model for similar deals between America and other African countries.

The Ministry of Industrialisation and Trade said that the Kenya-US FTA replaces the Africa Growth and Opportunities Act (Agoa), which is set to expire in 2025.

In the free trade pact which is now being challenged before the court, Kenya agreed to lift its decade-long sanction against US wheat. Kenya had for 12 years blocked the importation of the cereal from three states due to a wheat disease known as flag smut.

The lawyers want the court to annul the deal and, in particular, prohibit the US from exporting its wheat and grains to Kenya.

“The first respondent (AG) failed and neglected to engage the EAC secretary-general and the council on trade relations and failed to promote the participation of other EAC community partner states in the FTA agreement with the USA,” they argue.

Data from the Kenya National Bureau of Statistics indicates Kenya’s exports to the EAC stood at Sh140 billion last year against imports of Sh66.4 billion.

Exports to the rest of Africa stood at Sh224 billion against imports of Sh168 billion.

This indicates Kenya enjoys more favorable trade within Africa than with the US.