There is tremendous potential for trade to play a key role in driving and sustaining growth and poverty reduction in Kenya. There is significant potential for greater participation in international markets to support growth and poverty reduction. Kenya has had some notable achievements: in cut flowers and fresh vegetables. This report assesses Kenya's trade performance, and identifies key domestic constraints to its further integration into the global economy. Furthermore, the report advances a set of recommendations to tackle these constraints, with a focus on how trade can contribute to growth and poverty reduction in the country. Specifically, the report aims to support the Government o f Kenya (GOK) to: realize its Investment Program for the Economic Recovery Strategy for Wealth and Employment Creation 2003-2007 (IP-ERS), to implement its National Export Strategy (NES); to implement its Private Sector Development strategy and formulate a trade-policy strategy.