Thousands of Kenyans who work in the apparel and textile sector can breathe a sigh of relief after the United States government extended the African Growth and Opportunity Act (AGOA) deal.

AGOA is a trade agreement between the United States and Sub-Saharan African Countries. It provides 32 African countries with duty-free access to the US market.

Addressing the residents of Vihiga County on Saturday, October 4, President William Ruto revealed that President Donald Trump’s administration had agreed to extend AGOA by one more year.

This means that Kenyan exporters will continue to have tax-free access to the massive US market, restoring hope for members of the public who work in Kenya’s textile industry.

Speaking at Nyang’ori PAG Church Centenary, the Head of State revealed that the decision to extend the agreement by a year was successful due to his recent trip to the US, where he held talks with Trump’s administration over the trade deal.

“You witnessed the other day, when I was in the United States, I talked to Trump’s government, and now they have given us an extension of AGOA and for the next one year, Kenyans will continue to export their products into the American market,” Ruto stated.

Additionally, President Ruto disclosed that his administration had begun fresh talks with the US for a bilateral trade agreement to offer stability and predictability for the Kenyan exporters.

According to Ruto, the bilateral trade agreement will help boost the Kenyan economy and mitigate the risks of trade fallout, such as the one witnessed with the expiry of AGOA.

“We have begun talks with the US so that we can have a bilateral trade agreement between the two countries, so that we can use the American market to lift our economy,” said Ruto.

“Through the bilateral trade agreement, we will be able to get a market for our coffee, tea, horticulture, textile and apparel,” he emphasised.

Meanwhile, the Head of State’s confirmation of the extension of the AGOA deal comes barely four days after the trade agreement expired. The 25-year-old deal expired on September 30.

The trade agreement has played a crucial role in Kenya’s economic development. Besides increasing the country’s foreign exchange through exports, it has created more than 50,000 jobs.