The President of the Kenya National Chamber of Commerce and Industry (KNCCI), Dr. Erick Rutto on 27th and 28th October participated in a high-level forum themed “Navigating Global Trade Challenges and Geopolitical Impacts”, where he underscored the urgent need for Kenya and Africa to build resilience and adaptability in global trade amid rising geopolitical tensions and logistical disruptions.

Speaking during the event, Dr. Rutto noted that shifting global dynamics—ranging from the ongoing Red Sea crisis, Russia–Ukraine conflict, to trade policy shifts in major economies—are reshaping logistics routes, raising shipping and insurance costs, and lengthening transit times.

“Global trade is being redefined not just by markets, but by geopolitics. The Red Sea alone handles nearly 12% of global trade, and current insecurity in that corridor has pushed shipping costs up by as much as 60% and increased delivery times by more than two weeks for some routes,” Dr. Rutto said.

He emphasized that while these challenges have raised costs globally, they also present new opportunities for Kenya and Africa to position themselves as reliable logistics and manufacturing hubs.

“Kenya ranks 42nd globally in logistics performance and second in Africa after South Africa. This gives us a solid foundation to build on. However, we must continue investing in infrastructure, digital trade facilitation, and regional value chains to strengthen our resilience,” he added.

Dr. Rutto highlighted the importance of diversifying export markets, adding value to raw materials, and deepening intra-African trade under the African Continental Free Trade Area (AfCFTA) as strategies to reduce dependence on long, vulnerable international supply chains.

He also reaffirmed KNCCI’s commitment to working with government agencies, the private sector, and international partners to:

  • Improve trade facilitation and port efficiency,
  • Strengthen Kenya’s role as a logistics hub for East Africa, and
  • Equip SMEs with tools to navigate evolving global trade dynamics.

“We must turn today’s global uncertainties into tomorrow’s opportunities by positioning Kenya as a trusted trade partner and logistics centre for the region,” Dr. Rutto concluded.

The forum brought together policymakers, business leaders, and trade experts to deliberate on the evolving international trade environment and the strategies needed to safeguard Africa’s competitiveness in a geopolitically volatile world.