Kenya and China maintain a strong bilateral trade relationship that continues to grow, providing significant opportunities for Kenyan entrepreneurs interested in importing goods. However, the process of sourcing, shipping, and customs clearance can be challenging. In this guide, we will explore the requirements and strategies for successfully importing products from China to Kenya.

To import any commodity into Kenya, an importer will have to enlist the services of a clearing agent who will process the import documentation through the Kenyan Customs electronically on their Simba 2005 system and clear the goods on behalf of the client.

Customs will assess duties payable depending on the value of the item(s) and the applicable duty rate. The EAC Common External Tariff lays out the duty rates of imported items.

Kenya has a pre-shipment inspection requirement (the Pre-Shipment Verification of Conformity, or PVoC) for exports destined to Kenya. Exports to Kenya must also obtain an ISM code, which is mandatory for all imported products sold in Kenya to help local consumers identify imported products that have been certified by KEBS.

For importing a small number of health, environment, and security products, import licenses are required. Imports of machinery and equipment classified as equity capital or acquired through loan purchases must be received prior to import. Local banks will not issue shipping guarantees for clearance of imports in the absence of such approval. All imports procured by Kenyan-based importers must be insured with companies licensed to conduct business in Kenya. Importation of animals, plants, and seeds are subject to quarantine regulations.

Documentation Requirements for Importing from China to Kenya

All Kenyan imports are required to have the following documents: import declaration form (IDF); Customs declaration (Entry); a CoC from the PVoC agent for regulated products; an ISM code when applicable; valid Commercial invoices from the exporting firm, and valid pro forma invoices from the exporting firm.

There are several other important documents that you need to be aware of:

• Certificate of Origin: This document verifies the origin of the goods for customs clearance and preferential trade agreements.
• Bill of Lading/Airway Bill: The bill of lading or airway bill confirms the shipment details, including the cargo and destination.
• Commercial Invoice: This document details the transaction between the buyer and seller and is used for customs valuation.
• Inspection Certificate: An inspection certificate ensures that the product complies with Kenyan import regulations.
• ISM (Imports Standard Mark) Certificate: This certificate confirms that the product meets the quality standards required by the Kenya Bureau of Standards.
• Packing List: A packing list provides a detailed account of the shipped items.
• Import License: An import license allows the importer to bring specific goods into the country.

Best Shipping Companies from China to Kenya

Choosing the right shipping company is crucial for a smooth and cost-effective import process. Here are some of the best shipping companies from China to Kenya:

• China Ocean Shipping Company (COSCO)
• Evergreen Marine Corporation (EMC)
• Hapag-Lloyd
• CMA CGM
• Mediterranean Shipping Company (MSC)

Cheapest Shipping Methods

The cost of shipping depends on various factors, including the type of goods, shipping method (air or sea), and the shipping company used. Generally, sea freight is more cost-effective than air freight, especially for large volumes. However, it’s essential to consider the urgency of your shipment and the specific requirements of your business.

Key Considerations When Choosing a Sourcing Agent

Working with a reliable sourcing agent can greatly simplify the process of importing goods from China to Kenya. Here are some key considerations when choosing a sourcing agent:

• Professionalism and Experience: Ensure that the agent has proven expertise in the industry and a track record of successful import operations.
• Market Knowledge: The agent should have a deep understanding of the Chinese market to source high-quality products that meet your requirements.
• Credibility and Communication: Look for agents who are reliable and maintain transparent communication throughout the sourcing and shipping process.

Best Products to Import from China to Kenya

When it comes to importing products from China to Kenya, there are several categories that offer significant profit potential:

• Diapers: There is a high demand for diapers in Kenya, making them a lucrative product to import.
• Building Materials: With the construction industry booming due to population growth and urbanization, importing building materials can be highly profitable.
• Clothes: Despite strict import regulations, clothes are a basic human need and always have market demand.
• Cars: Used cars, in particular, are popular in Kenya due to their affordability.
• Electronics: From smartphones to appliances, electronics offer substantial profit potential.
• Watches: Importing watches has a low startup cost and can be managed easily.
• Furniture: Office desks, chairs, beds, and more offer lucrative opportunities in Kenya’s growing market.
• Phones: Affordable Chinese phones are in high demand among Kenyan consumers.
• Shoes: Importing shoes can fill a significant supply gap in Kenya’s footwear market.
• Tiles: Tiles for quality interior décor are always in demand in Kenya.

Finding Suppliers for Kenyan Importers

There are several avenues for finding reliable suppliers in China:

• AliExpress: Ideal for small-scale importers, AliExpress offers a variety of Chinese suppliers and products.
• Alibaba: As the largest B2B platform, Alibaba is useful for finding wholesale suppliers for larger import operations.
• Sourcing Agents: Sourcing agents can assist you in finding reliable suppliers and handling shipping logistics.
• Trade Fairs in China: Events like the Canton Fair provide an opportunity for direct interaction with suppliers and the chance to explore a wide range of products.

Calculating the Cost of Importing Goods from China to Kenya

Before importing goods from China to Kenya, it’s crucial to calculate the total cost involved. Consider the following factors:

• Product Costs: Research the price ranges and estimate average costs for the products you plan to import.
• Duties and Taxes: Check the applicable tariffs based on the product type and harmonized system code.
• Logistics Fees: Take into account sourcing, packaging, labeling, and freight forwarding fees.
• Shipping Container Costs: Consider inland transportation, port charges, import clearance, and warehousing.
• Incoterm Selection: The choice of incoterm (FOB, CIF, or CFR) will impact the overall cost of the import.
• Shipping Mode: Decide whether air freight or sea freight is more suitable based on the weight, volume, and urgency of your shipment.

Payment Methods for Imports

When it comes to payment methods for importing goods from China to Kenya, there are several options to consider:

• PayPal: PayPal is convenient but may not be suitable for large transactions due to percentage fees.
• Letter of Credit: A letter of credit is the safest option for large transactions but involves high bank charges.
• Credit Card: Credit cards are rarely used for importing goods due to high fees and chargeback concerns.
• Western Union: Western Union transfers are high-risk due to anonymity and are not widely accepted.
• Cash: While some suppliers prefer cash, it has limited recourse and carries its own risks.
• Escrow Transfer: Using an escrow service like Alipay can be a safe option for small transactions.

Importing goods from China to Kenya can be a profitable venture for Kenyan entrepreneurs. By understanding the documentation requirements, choosing the right shipping methods and suppliers, and calculating the overall costs involved, you can navigate the import process successfully and take advantage of the opportunities presented by the strong bilateral trade relationship between Kenya and China.