Rwandan export to northwest Europe and a trade analysis of Rwandan businesses

This research was conducted by:
Saskia Hoebée, 
Isabella Kropholler, 
Jesse Siegers, 
Julia Westerveld-Soldatiuk

It is strictly forbidden to use and/or copy (parts of) this research without written approval of the both the IRSP and the Embassy of Rwanda. 

What was the research about?
In Rwanda’s Vision 2020 report, the government of President Paul Kagame expressed its economic goals for the coming years, whereby the Rwandese exports play a key role in overcoming the country’s negative trade balance and dependence on foreign aid. It states that ‘Productivity increases in the coffee, tea and mineral sector alone will not be sufficient to strengthen the Rwandese economy further. Therefore efforts need to be made to expand the economic base and especially exports’.

For this reason, the Embassy of Rwanda in the Netherlands asked the IRSP for a report which could help increase Rwandese export to the Netherlands. In this regard, this research aims to make a modest contribution to this particular goal of the Vision 2020. The objectives of this research are to identify products that have potential on the Dutch market, and to investigate the most important obstructions to export and designate possible solutions to increase future exports.

Several products have been identified that could increase export to the Dutch market, such as coffee, tea, macadamia nuts, passion fruit, macadamia oil, chili sauce, handicrafts and tourism. Currently, however, with the exception of coffee and tea, export of these products to this market is virtually non-existent. Internal and external obstructions to exports, such as the lack of certification and packaging material, high transport costs, limited knowledge of the Dutch market and the low quality and quantity supplied, apply to many of these products. In order to overcome these challenges, certain improvements on the production, distribution and marketing side have to be made. Some examples are the increase of quality of the product and securing certification, so as to increase the price per volume. Moreover, the stimulation of cooperatives could increase knowledge, spillover and capacity building, and facilitate storage and transport of the product. Lastly, better promotion of Rwanda and its products in the Netherlands could stimulate the consumption of Rwandese products among the Dutch.