Kenyan business is preparing to fully exploit the opportunity offered by the African Growth and Opportunity Act (Agoa) passed by the US congress, and boost its exports in the country’s traditional strengths such as coffee, honey, leather and leather products.

The Agoa legislation was passed to allow sub-Saharan economies duty-free exports to the American market. According to the Agoa Association of Kenya, exports in textiles rose from KSh546 million ($6.9 million) last year to KSh2.34 billion ($30 million) for the first half of this year – a rise of over 150%.

Dr Peter Njenga Kariuki, chief of the Agoa Association, said that he believed the present increase was "only the tip of the iceberg" and suggested the traditional sector could help double the size of Kenya’s economy in a few years.

The Act intends to replace aid with trade and is designed to encourage countries such as Kenya to pool resources and create organisations that give the economy greater supply-side flexibility. Other aspects restrict the possibility of countries practising "transshipment" or the importing of raw materials to sell on to the US duty-free. For textiles and apparel, Kenya has instituted a watertight system of visas operated by both local and US civil servants. Good governance is encouraged throughout the process, and the system is designed to force an overhaul of infrastructure, thereby spurring further economic growth.