Rwanda’s top 10 highly exported products

Rwanda targets to increase exports to reduce the trade imbalance that is usually caused by high imports. That is why the government has put in place several programmes such as export promotion and value addition to improve products sent to the international market. But as the world waits to get the vaccine for the Covid-19 virus, which has hit the entire globe, global supply chains have been disrupted, particularly trade of goods and services. For instance, Rwanda has recently experienced significant delays of more than 2,000 containers at the Dar-es-Salaam port, which has increased demurrage costs, storage charges, warehouse rent, and other penalties due to adverse impacts of the pandemic. That is according to the TradeMark East Africa July report, which analysed the impact of trade on the East African Community region. The same report predicted Rwanda’s exports will decline by 37 per cent. Workers do an inventory of tea for export at Pfunda Tea Company in Rubavu District earlier this year. Tea raked in $86.3 million last year from 30,961 tons exported to the international market. Photo: Sam Ngendahimana. Rwanda will be hit hard partly because it is a landlocked country. Despite that, the country has embarked on a different strategy to keep the flow of trade, part of which is increasing air cargo. Air cargo (imports and exports) increased from $57 million in April to $134 million by May. So, what are the most exported products from Rwanda to the international market? Tea Tea is one of the most popular beverages in the world just behind plain water, and Rwanda has built a name for the best tea in the region. Tea is the most exported product. Tea raked in $86.3 million last year from 30,961 tons exported to the international market, according to the National Bank of Rwanda’s data released in February this year. Rwanda tea is known for its high quality and is among the best in the world. Some of the best quality teas produced in Rwanda include; black tea, orthodox tea, white tea, green tea, organic tea and spicy tea. Today, Rwanda tea has become highly valued in the weekly East African Tea Trade Association auctions in Mombasa, fetching record prices over the past couple of years. Its major markets are in the Middle East, Pakistan, United Kingdom, and Kazakhstan among others. Coffee Coffee is the second most exported product from Rwanda, reaching as far as Switzerland, United Kingdom, Belgium, and Singapore. Rwanda’s coffee exports amounted to $69.8 million last year from $68.7 million from the previous year supported by high exports volume, which increased by 9.8 per cent despite international falling prices. Rwanda’s coffee has been one of the best brewed in the world, attracting global acclaim such as “Best of the Best” and “Coffee Lover’s Choice.” In 2018, Rwandan coffee started trading on the world’s largest e-commerce platform, Alibaba after the Government entered partnership with the e-commerce giant to trade Rwandan products on the online market. So far, available statistics show sales volumes of Rwandan coffee have grown by 700 per cent on Tmall Global, Alibaba’s cross-border B2C platform. Cereals Cereals, regarded as non-traditional commodities, is another type of export that dominate Rwanda’s export market. Cereals such as wheat, rice, and maize brought in $ 70.4 million between July 2019 and April this year, mainly to the Democratic Republic of Congo (DRC) and other destinations like Vietnam. Non-traditional export commodities are commodities that were previously produced solely for domestic consumption and have recently debuted in the export market. They include other products such as fruits, vegetables, roots and tubers, meat, eggs and dairy products as well as live animals. The year before cereals had generated $ 78.3 million. Coltan Coltan, industrially known as tantalite, is a valuable mineral ore. When refined, coltan becomes metallic tantalum, a heat-resistant powder that can hold a high electrical charge. That makes it a vital element in creating capacitors, the electronic elements that control current flow inside miniature circuit boards. Tantalum capacitors are used in almost all cell phones, laptops, pagers and many other electronics. The recent technology boom has increased the demand of this mineral and Rwanda has been one of the key players in the international market with 13,000 tons exported last year. Rwanda was the world’s single largest exporter of the tantalum mineral between 2013 and 2014. Last year, it generated $44.7 million. Cassiterite Cassiterite is a tin ore, an economically important mineral used in several applications including acting as a coating element for other metals to prevent corrosion, such as in tin cans. Cassiterite is one of the most exported minerals. Last year, the country earned some $36.1 million from cassiterite exports. The mineral’s dominancy is because of its abundant existence in Rwanda. Most areas of the country have the mineral in abundance and this is proven by its discovery way back during the colonial period. Rwanda is now home to a tin refinery, thanks to the increasing investment in the sector and government decision to revive the sector that has been occupied by players who have not been adding value to the minerals. The refinery, Karuruma Tin smelter, is able to process more than 300 tonnes of cassiterite per month, or around 12 tonnes a day, According to Krzysztof Zamasz, the chief executive of LuNa Smelter. Wolfram Wolfram (tungsten ore) is another mineral that the country is known for at the international market. Exports value from this mineral stood at $16.8 million in 2019. Tungsten possesses the highest melting temperature among metals. The properties make tungsten valuable for many applications, including electrical, manufacturing, construction and chemical. Light bulb filaments are one of the most well-known applications of tungsten. Domestic lamps, vehicle lamps and reflector lamps used in projectors and floodlights are some examples of applications where tungsten filaments are used. Vegetables Rwanda’s vegetables are among the top products exported to international and regional markets. Vegetables, classified under horticulture, generated $14.7 million last year, according to NAEB. Rwanda predominantly exports fresh beans, pepper, garlic, ginger, onions, egg-plant, and tomatoes to the DRC, UK, United Arab Emirates (UAE), China, and Netherlands. Fruits The country also exports a lot of fruits. Some fruits worth $6.7 million last year to countries such as Belgium. Rwanda exports avocado, lemons, pineapples, passion fruits, and grapes. Pyrethrum Rwanda grows and exports pyrethrum to the US, Europe and Asia. It’s grown in Nyabihu, Musanze, Burera and Rubavu districts, and over 10,000 homes in Rwanda depend on pyrethrum for their living, according to the National Agriculture Export Board (NAEB). This product is one of the few known products that generates some good share of export receipts to the country. It brought in some $6.2 million last year. Rwanda is the second world’s largest producer of pyrethrum and has approximately 15 per cent of the world market share, according to NAEB. Hides and skins Rwanda’s culture and traditions makes it a source of hides and skins. That is because these products come from cattle, goats and sheep which the country is known to rear. The country’s hides and skin products find its way to regional markets, especially the Democratic Republic of Congo. Last year, some $4 million were fetched from export of hides and skins but trends show that export of these products has been on a downward trend since 2013, according to the Central Bank. That is perhaps because the country has been exporting these products in raw form. Hides and skins are raw materials for leather products such as shoes, bags and belts. There is a need for value addition to boost production of leather products that could also reduce importation of leather products. Rwanda has also become a source of re-exports for the region, especially for petroleum products, foodstuffs, machinery and electronics. “The increased value in re-exports could be that the country is growing as a base to serve other markets in the region,” Ivan Murenzi, the deputy director general at NISR says. The value of re-exports was at $397.6 million last year, from $324.9 million in the previous year.

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Rwanda’s top 10 highly exported products