Effect of Customs Documentation and Procedures on Kenya’s Agricultural and Manufactured Commodity Exports to Uganda

Abstract

Aim: The study sought to examine the effect of customs documentation and procedures on Kenya’s agricultural and manufactured commodity exports to Uganda. Place and duration of Study: The study was conducted at Busia and Malaba borders, on Kenyan side. The study took place between March and July, 2021. Research Design: The study used transversal descriptive research design.          Methodology: From the total population of 1860 Kenyan exporters to Uganda, a sample size of 329 respondents was chosen using Yamane’s sampling formula. Data was collected using questionnaires. Validity and reliability of research instruments was verified through the pilot study. The research adopted descriptive statistics analysis and inferential statistical analysis. For inferential statistics, correlation and multiple regression analysis were used. Descriptive statistics analysis was done using means, standard deviation, percentages and frequencies. Data presentation was done in graphs, tables and diagrams. The study conducted diagnostic tests for normality and multicollinearity. The Statistical Package for the Social Sciences (SPSS) version 23.0 was used for data analysis. Results: 280 questionnaires were completed, giving a response rate of 85.1%. The results indicated that time for customs documentation and procedures was (β2 = -0.352, P = .000<0.05). This meant that a one-unit rise in time for customs documentation and procedures would result in a 0.352-unit decrease in the agricultural and manufactured commodity export. Conclusion: Time for customs documentation and procedures had a negative and significant effect on agricultural and manufactured commodity export. The study recommended on the governments of the two countries to harmonize standards expected on traded commodity and coordinate acquisition of commodity export documents.