How Kenya Can Bank on Korean Consumer Goods Fair For Future Investments

Economic analysts have been in the recent days saying that Kenya’s economy is moving down the drain at a fast pace. According to the analysts, if Kenya will not change her trading strategy, the economy would soon collapse with chances of reviving it being minimal.

One of the challenges facing Kenya’s ailing economy is the cost of doing business, taxes as well as a lack of proper planning and approach to partnering with other economic powers around the world. In fact, analysts say, in order for Kenya to cut down on her appetite for borrowing cash, especially from China, she has to encourage investors from other countries to invest and carry out their business in Kenya.

Last week, the Korean Embassy in Kenya organized a two-day Korean Consumer Fair with an aim of not only displaying some of the products from Korea but also to improve trade and investment opportunities between Korea and Kenya.

A total of 45 Korean exhibitors and 150 Korean and Kenyan vendors, distributors, importers and online marketing platforms. Of the Korean companies represented, 8 were from the cosmetics industry, 16 from food, 7 were technology companies, 16 were lifestyle, furniture and appliances companies, and 8 were medical companies.
During the fair, it emerged that close to 90 percent of the companies that were present did not have roots in Kenya though some of their products were already in circulation. According to some of the participants who took part in the fair, there is a need for Kenya to spread her wings to Korean investors given the history of their goods that are not cheap but often affordable and durable.

“With the unprecedented population growth, rapid urbanization, and consistently high GDP growth in the region, Korea recognizes that East African buyers are no longer looking for low price products. Instead, new products of high quality are increasingly sought after by an emerging middle class. This year’s Korea Fair – the first of its kind – aims to capitalize on this demand, showcasing premium Korean consumer goods and immersing Kenyan businesses and consumers into Korean lifestyle, technology, beauty, and food,” Said the Korean Business Centre (KOTRA) that had organized the whole fair.

A total of eight companies from Korea have successfully completed online mall sign-up contracts with the online shopping malls Jumia and Masoko, meaning their products and services have already hit the Kenyan market.
Korean and Kenyan businesses showed the strength of their collaboration, such as through the Korean cosmetics maker Moon International which has collaborated with Moretu, a Kenyan local beauty brand, to show lipsticks of popular colors in the local area. Start-up companies also featured prominently at the Fair, signing MOUs with Safaricom and Chandaria Industries.

Dot, a maker of smart watch-type visually impaired aids, has been the first in the industry to enter Africa through Safaricom. The start-up company Anyractive, which manufactures IOT electronic blackboards also signed an MOU with Chandaria Industries to expand its production capacity to 2,000 units. Korea hopes events like this will continue to help local businesses expand and lay the groundwork for entry of Korean goods to East Africa’s market of 300 million consumers.