More than 66,000 jobs in Kenya’s garment and textile export sector are at risk as the African Growth and Opportunity Act (AGOA) nears its expiration in September 2025, raising concerns over the future of one of the country’s most vital export industries.
According to the 2025 Economic Survey by the Kenya National Bureau of Statistics (KNBS), employment in AGOA-accredited companies surged to 66,804 in 2024—up 15.18% from 58,002 in 2023. This growth followed increased demand for Kenyan apparel as global buyers sought to maximise duty- and quota-free access to the U.S. market ahead of AGOA’s potential expiry.
The recovery was especially significant after a challenging 2023, when over 8,200 jobs were lost in the sector due to declining global demand and inflationary pressures. Employment had dropped 12.46% from 66,260 in 2022.
Meanwhile, the 40 companies operating within Kenya’s Export Processing Zones (EPZs) under AGOA expanded their capital investments by 21.1% to KSh38.27 billion in 2024. This helped drive export earnings to KSh60.57 billion—marking a 19.20% increase and the highest export growth since 2018.
Despite the strong performance, the looming uncertainty over AGOA’s future is generating unease. First signed into law in 2000 under U.S. President Bill Clinton, AGOA was intended to integrate sub-Saharan Africa into the global market through duty- and quota-free access to the U.S. The agreement was extended in 2015 for another decade, but a further extension now depends on approval by the U.S. Congress, currently influenced by former President Donald Trump’s Republican Party, which favours bilateral trade deals over multilateral ones.
President William Ruto sought to reassure Kenyan exporters during a December 2024 speech. “I know many of you are wondering whether AGOA is going to be renewed. Let me confirm with you that it will. I have it on the authority of many of my friends in that country,” he said.
Kenya remains one of AGOA’s top beneficiaries, with access to the U.S. market for around 1,800 product lines. As the September deadline approaches, the nation’s apparel industry faces a critical test of resilience and diplomacy.
