NAIROBI, Kenya — Kenyan exporters are warning of mounting losses and looming job cuts as the ongoing Middle East conflict disrupts key trade routes, choking access to one of the country’s most lucrative export markets.
The Kenya National Chamber of Commerce and Industry (KNCCI) says thousands of workers are at risk as exporters struggle to move goods—particularly fresh produce—into Gulf markets.
Speaking during an interview on NTV, KNCCI President Eric Ruto said export volumes have dropped sharply, especially among the 1,500 frequent exporters who rely on consistent weekly or monthly shipments.
“We are seeing a lot of reduction in terms of export… exporters are now losing up to Sh1.2 billion,” Ruto said, estimating weekly losses of between Sh800 million and Sh1.2 billion.
The crisis has severely affected air freight, a critical channel for perishable exports.
KNCCI noted that cargo capacity utilisation has plunged from near full capacity to just 5–10 per cent, leaving produce stranded and businesses struggling to stay afloat.
Ruto criticised the government for what he termed a lack of structured engagement with the private sector since the conflict began, warning that limited information flow has compounded uncertainty.
“It is surprising that for these last weeks of the war, we have not had structured engagement with the government. What is extremely important… is information,” he said.
Exporters are now calling for urgent intervention measures, including subsidised logistics, aggregated cargo handling, and negotiated freight rates to maintain access to international markets.
The disruption comes as fresh concerns emerge in the energy sector. The Petroleum Outlets Association of Kenya (POAK) warned that fuel reserves could fall to just three weeks—well below the legally required three-month threshold—raising fears of further economic strain.
POAK chairperson Martin Chomba said supply disruptions linked to the conflict could expose the country to shocks affecting transport, manufacturing, and overall trade.
Meanwhile, some exporters have halted operations entirely, with shipments to the Middle East reportedly stalled for nearly three weeks, cutting off vital revenue streams.
In response, Industry Principal Secretary Juma Mukhwana said the government is exploring alternative markets, including China, where Kenya has recently secured duty-free access for avocado exports.
The developments highlight Kenya’s vulnerability to global geopolitical shocks, particularly in sectors reliant on external markets and logistics networks.
