Doing Business with Kenya

A comprehensive guide to doing business, exporting, investing, and manufacturing in Kenya.

Foreign Direct Investment with the International Trade Council / Company Incorporation / Company Formation

Albanian Investment Development Agency

Tel: +355 42 251 001
Email: info@aida.gov.al
Web: www.aida.gov.al

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General Directorate of Customs

Albania General Directorate of Customs - International Trade Council

 

Tel: +355 42 253 820
Email: helpdesk.dpd@dogana.gov.al
Web: www.dogana.gov.al

National Chamber of Commerce

Albanian Chamber of Commerce and Industry

Albanian Chamber of Commerce and Industry - International Trade Council

Tel: +355 45 800 932
Email: cci.tirana@cci.al
Web: www.cci.al

Ministry of Economy Information from the International Trade Council - a Peak-body - international chamber of commerce

Ministry of Finance and Economy, Albania

  • Type of Government: Presidential Republic
  • Population: Approximately 54 million
  • GDP: Around $110 billion USD
  • Corporate Tax Rate: 30%
  • Personal Income Tax Rate: Progressive, up to 30%
  • Major Exports: Tea, coffee, horticultural products, textiles
  • Major Imports: Machinery, transport equipment, petroleum products, vehicles

Exporting to Kenya involves several steps. Here’s a comprehensive guide:

  1. Research Market Requirements

    • Understand Kenya’s import regulations and standards for your product.
    • Check for any product-specific certifications needed.
  2. Identify Local Partners

    • Establish relationships with local distributors or agents in Kenya.
  3. Prepare Export Documentation

    • Include commercial invoices, packing lists, and certificates of origin.
    • Ensure compliance with Kenyan labeling and packaging requirements.
  4. Arrange Logistics and Shipping

    • Choose a reliable shipping company experienced with exports to Kenya.
    • Ensure accurate completion of shipping documents, such as bills of lading.
  5. Customs Declaration

    • Work with a customs broker to facilitate the clearance process.
    • Pay any necessary duties and taxes.
  6. Understand Duties and Taxes

    • Familiarize yourself with Kenya’s import duties and applicable taxes.
  7. Distribution and Sales

    • Establish distribution channels within Kenya.
    • Consider partnerships with local businesses for effective market penetration.

Key Contacts

Importing goods into Kenya involves several steps. Here’s a comprehensive guide:

  1. Register as an Importer

    • Obtain an Importer’s Code from the Kenya Revenue Authority (KRA).
    • Register with the Kenya Trade Network Agency (KenTrade) for the Single Window System.
  2. Classify Your Goods

    • Determine the correct Harmonized System (HS) code to identify applicable duties and taxes.
  3. Check Import Regulations

    • Ensure compliance with Kenya Bureau of Standards (KEBS) requirements and any necessary permits or certifications.
  4. Find a Reliable Supplier

    • Establish a relationship with a trustworthy overseas supplier.
  5. Arrange Shipping and Logistics

    • Choose a reliable freight forwarder.
    • Ensure all shipping documents are in order, including the bill of lading and commercial invoice.
  6. Customs Declaration

    • Submit an import declaration form (IDF) through the Kenya TradeNet System.
    • Work with a customs broker if necessary to facilitate the process.
  7. Pay Duties and Taxes

    • Calculate and pay applicable import duties and taxes to the KRA.
  8. Receive Your Goods

    • Arrange for the transportation of goods from the port to your warehouse or distribution center.

Key Contacts

Incorporating a company in Kenya involves several steps. Here’s a comprehensive guide:

  1. Choose a Company Name

    • Conduct a name search and reserve your company name through the eCitizen portal.
  2. Prepare Incorporation Documents

    • Draft the Memorandum and Articles of Association.
    • Prepare identification documents for directors and shareholders.
  3. Register with the Registrar of Companies

    • Submit the incorporation documents through the Business Registration Service (BRS) on the eCitizen portal.
  4. Pay Registration Fees

    • Costs can range from KES 10,000 to 30,000 depending on the share capital.
  5. Obtain a PIN from Kenya Revenue Authority

    • Register for a Personal Identification Number (PIN) for tax purposes.
  6. Register for National Social Security Fund (NSSF) and National Hospital Insurance Fund (NHIF)

    • Ensure compliance with statutory employee contributions.
  7. Open a Corporate Bank Account

    • Use incorporation documents to open a business account in Kenya.

Costs

  • Name Reservation: Approximately KES 150.
  • Registration Fees: KES 10,000 to 30,000, depending on share capital.
  • Additional Costs: May include legal and consulting fees.

Key Contacts

  • Business Registration Service (BRS)
  • Kenya Revenue Authority (KRA)
  • eCitizen Portal

Setting up a manufacturing plant in Kenya involves several steps. Here’s a comprehensive guide:

  1. Conduct Market Research

    • Analyze demand, competition, and location advantages in Kenya.
  2. Choose a Suitable Location

    • Consider industrial zones for benefits like tax incentives and infrastructure support.
    • Check zoning regulations and obtain necessary permits from local authorities.
  3. Incorporate Your Company

    • Register your business with the Business Registration Service (BRS) via the eCitizen portal.
  4. Obtain Necessary Permits and Licenses

    • Apply for construction permits and environmental impact assessments from the National Environment Management Authority (NEMA).
  5. Secure Financing

    • Explore options through banks, venture capital, or investment partners.
  6. Design and Construct the Facility

    • Hire architects and contractors for design and construction.
    • Ensure compliance with local building codes and safety regulations.
  7. Install Equipment and Machinery

    • Purchase and set up machinery necessary for production.
    • Ensure safety and operational standards are met.
  8. Hire and Train Workforce

    • Recruit skilled labor and provide necessary training.
  9. Set Up Supply Chain and Distribution

    • Establish relationships with suppliers and distributors.
  10. Begin Operations

    • Start production and monitor operations for efficiency and quality control.

Key Contacts

  • Kenya Investment Authority (KenInvest)
  • National Environment Management Authority (NEMA)
  • Business Registration Service (BRS)

Registering a trademark in Kenya involves several steps. Here’s a comprehensive guide:

  1. Conduct a Trademark Search

    • Ensure your trademark is unique and not already registered. Use the Kenya Industrial Property Institute (KIPI) database.
  2. Prepare Your Application

    • Include details such as the trademark design, classification of goods/services, and applicant information.
  3. Submit the Application

    • File your application with KIPI, either online or in person.
  4. Pay the Application Fee

    • Fees vary depending on the number of classes. Initial application fees start at approximately KES 5,000.
  5. Examination Process

    • KIPI examines the application for compliance and potential conflicts. Respond to any objections or requests for additional information.
  6. Publication and Opposition

    • If approved, the trademark is published in the Industrial Property Journal. A period is provided for third parties to oppose the registration.
  7. Registration and Certification

    • If no oppositions arise, the trademark is registered. Pay the registration fee and receive the Certificate of Registration.
  8. Maintain and Renew the Trademark

    • Trademarks are valid for 10 years and can be renewed indefinitely. Submit renewal applications to maintain protection.

Costs

  • Application Fee: Starts at approximately KES 5,000 per class.
  • Registration Fee: Additional fees apply upon successful registration.

Key Contacts

  • Kenya Industrial Property Institute (KIPI)

Resolving commercial disputes in Kenya involves several steps. Here’s a guide on the process:

  1. Attempt Negotiation

    • Begin by negotiating directly with the other party to reach an amicable solution.
  2. Mediation

    • Engage a mediator to facilitate discussions. Mediation is often quicker and less formal than court proceedings.
  3. Arbitration

    • Consider arbitration for a private and binding resolution. The Nairobi Centre for International Arbitration offers services for this process.
  4. Seek Legal Advice

    • Consult with a lawyer specializing in commercial law for guidance on your case.
  5. File a Lawsuit

    • If other methods fail, file a lawsuit in the appropriate Kenyan court. Prepare necessary documentation and evidence.
  6. Court Proceedings

    • Attend hearings and present your case. Follow legal procedures as guided by your lawyer.
  7. Judgment and Enforcement

    • If a judgment is made, ensure its enforcement through legal channels.

Costs

  • Mediation and Arbitration Fees: Vary depending on the service provider.
  • Court Filing Fees: Depend on the jurisdiction and case type; consult local courts.
  • Legal Fees: Vary based on the lawyer and complexity of the case.

Key Contacts

  • Judiciary of Kenya
  • Nairobi Centre for International Arbitration (NCIA)

When considering doing business in Kenya, various social, cultural, political, and economic factors must be taken into account.

Social and Cultural Factors

  • Language: English and Swahili are the official languages. Understanding local customs and business etiquette is important.
  • Business Etiquette: Building personal relationships and trust is crucial in business dealings.

Political Factors

  • Government Structure: Presidential republic with a stable political environment.
  • Regulatory Environment: Clear regulatory framework, though navigating bureaucracy can be complex.

Economic Factors

  • Open Economy: Kenya has a diverse economy with key sectors like agriculture, manufacturing, and services.
  • Corporate Tax Rate: Standard rate of 30%.

Foreign Exchange

  • Currency: Kenyan Shilling (KES).
  • Exchange Rate: Monitor for fluctuations that can impact pricing and contracts.

Rule of Law

  • Legal Framework: Strong legal system with protection for property rights and intellectual property.
  • Judiciary: Independent, though legal processes can be lengthy.

Business Environment

  • Infrastructure: Developing infrastructure with ongoing improvements in transportation and energy.
  • Workforce: Educated and skilled, with a focus on technology and entrepreneurship.

Key Resources

  • Kenya Investment Authority (KenInvest)
  • Kenya National Bureau of Statistics (KNBS)
  • Central Bank of Kenya (CBK)

Our Members Include Leading Organizations in Albania

Ask our Experts on Doing Business in/with Kenya

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