Deepen integration to unlock regional growth

KAM Opinion;

By Tobias Alando

Africa stands at a pivotal point. We are witnessing increased focus on deepening regional integration, as trading blocs strive to realize the goals once envisioned by our forefathers. Countries are making deliberate actions to deepen regional economic ties, overcome shared challenges and create linkages to pave the way for prosperous, interconnected regional economies.

But one thing stands out: success and inclusive growth is dependent on not only policy, but also on strong collaborations between all stakeholders – government, the business community, development partners and the public. This was the ensuing conversation during the COMESA Summit 2025, hosted here in Kenya. COMESA Member states, business, governments and other stakeholders converged to deliberate on how to deepen regional integration, inspired by a mission for a fully integrated and globally competitive economic community.

These conversations could not have come at a better time. The Common Market of Eastern and Southern Africa (COMESA) remains one of Kenya’s most important trading partners and a key source of raw materials and intermediate products. Today, Africa accounts for approximately 42 per cent of Kenya’s export market, with COMESA contributing 11 per cent. The East African Community (EAC), whose majority of member states are also in COMESA, makes up 30 per cent – therefore, these blocs are critical pillars of Kenya’s economic architecture.

However, the opportunity is far greater than what the current numbers reflect. Only 11 per cent of Kenya’s imports are currently sourced from Africa. This calls for a renewed focus on building our sourcing capacity from within the COMESA region and strengthening regional value chains.

The upcoming implementation of the Tripartite Free Trade Area (TFTA), bringing together COMESA, EAC, and Southern African Development Community (SADC), offers a strategic path to expanding regional integration, connecting Cape Town to Cairo through free trade. The Tripartite Free Trade Area provides Kenya and other TFTA member states a chance to tap into at least 55 per cent of the potential presented by AfCFTA (the Africa Continental Free Trade Area).  By harmonizing trade policies across the member trading blocs, it promises to be a game-changer for African economic integration, presenting a real opportunity to enhance Kenya’s and the region’s capacity to trade and industrialize more efficiently. Central to COMESA’s economic transformation agenda, is manufacturing. In Kenya, the sector plays a pivotal role in job creation, value addition, and export diversification.

Yet, despite COMESA’s potential, a population of 560 million people and a combined GDP of over K sh 100,815 billion (B) ($780 B), intra-COMESA trade remain low, currently standing at 14 per cent. Regrettably, we are trading more with non-COMESA countries than we are within amongst ourselves. It is imperative for us to leverage opportunities to develop regional value chains, particularly in manufacturing and in agro-processing, to fully leverage COMESA.

Additionally, there is a high concentration of similar product lines across the COMESA region, just like in the rest of Africa, with different countries producing similar goods. Herein lies the opportunity to create diversity through backward and forward integration that enables us not only to trade in raw and finished materials, but also in intermediary products. It is by growing into this diversity that intra-COMESA trade will grow from the current 14 per cent progressively to at least 50 per cent, in tandem with the levels achieved by the European Union (EU). Moreover, emerging industries such as renewable energy, digital manufacturing, and circular economies present untapped potential for regional collaboration and innovation.

Although COMESA has proven to be a relatively seamless market for Kenyan manufacturers, we in Kenya still face some bottlenecks that hamper the growth of intra-COMESA trade which can be resolved by taking deliberate measures to reduce the cost of doing business and enhance the ease of doing business.

Firstly, is the resolution of persistent trade barriers. Even though COMESA has a small number of non-trade barriers, some existing ones have taken over 10 years to resolve. We are, however, seeing increased market access regulations, such as permits requirements. While such measures may be driven by well-intentioned local policy objectives, they distort regional markets, going against the spirit of the free trade area. They disrupt supply chains, increase production costs, and discourage cross-border trade and investment. Ultimately, they weaken the very integration we are all working hard to achieve and could also undo years of progress.

The potential of COMESA for Kenya’s manufacturing sector and indeed the entire region is enormous. But to turn potential into progress, we must commit to action. As Africa implements AfCFTA, it would be strategic to ensure that COMESA member states take advantage of the already existing markets within themselves. This move is in tandem with Fact’s principles that consider regional economic blocs as its building blocks. COMESA is not only a trading bloc, but also a platform for progress.

The writer is the Chief Executive of Kenya Association of Manufacturers and can be reached at ceo@kam.co.ke.