(a) (i)Name two major commodities that Kenya imports.
-Tea
-Coffee.
-Horticultural products/flowers/fruits/vegetables.
(ii)State three ways in which the Kenyan governments is promoting export trade.
-It has established export processing zones.
-It has set up trade attaches in all the diplomatic missions abroad.
-Encouraging foreign investors to establish industries in the country to produce export goods.
-It has set up an export promotion council.
-It encourages jua kali industries to produce export products.
-It is exploring new markets in the far East countries.
(b) Explain three measures which Kenya government may take to correct unfavourable balance of trade.
-Establishing and protecting import substitution industries in order to reduce importation of some commodities.
-Encourage production of high quality manufactured and agricultural goods for export in order to fetch higher prices and earn higher income.
-Diversifying the agricultural export base to enable the country have a variety of export.
-Encourage the development of jua kali industries which do not require importation of heavy machinery.
-Restricting importation of luxury items through high taxation in order to reduce their consumption.
-Developing alternative sources of energy in order to reduce importation of fuel or petroleum.
-Encourage local assembling of machinery since importation of parts is cheaper.
-Opening new markets to avoid dependence on traditional trading partners
lydiajane74 answered the question on December 4, 2017 at 22:41
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