This archive report was first published on 28 June 2021.
Are you planning to import a car from the UK to Kenya? Understanding the costs involved is crucial to ensure a smooth and stress-free process. In this article, we will break down the costs associated with importing a car from the UK to Kenya, including the car's price, transportation, inspection, shipping, and insurance.
The Cost of the Car ¶
The first thing to consider is the cost of the car. What many people don't realize is that many dealers will discount their cars by a fraction, while others won't discount at all. Some dealers will even add a buyer's fee, which can range from KES. 14,973 to KES. 44,918, on top of the advertised price.
Independent dealerships are more likely to give discounts, but this can be instead of the preparation work that the car needs. So, you might think that you are getting a discount, but then you notice that the car is due for a service, and they won't perform it because they have given you a discount.
VAT Qualifying Cars ¶
Cars that are less than 3 or 4 years old might be VAT qualifying if they have been owned by a business. This means that a 20% reduction in the advertised price can be achieved. However, not all dealers are prepared to claim the VAT back for you as they are not set up to process the paperwork.
UK Transportation ¶
On top of the cost of the car, you have the cost of UK transportation. This can range from KES. 7,486 to KES. 74,863, depending on where the car is in the UK. If it's in Northern Ireland, it could cost KES. 82,349 to collect the car.
QISJ Inspection ¶
Once the car has been collected, it will need to have a QISJ inspection for Kenya. This is approximately KES. 21,710 + VAT.
Shipping to Mombasa ¶
You can ship your car from the UK to Mombasa using the cheaper 'roll on roll off' service or in a container. The roll on roll off service is the most popular for cars under KES. 9 million. You should expect to pay from KES. 146,730 for an SUV and container shipping costs from KES. 179,670 to KES. 224,588 for a 20ft container.
Marine Insurance ¶
This is a necessity for Kenyan car imports. They have to be insured while on the water. This has to be arranged with a Kenyan insurance company. The cost is typically 0.4% of the value of your car.
Importing Agent Fees ¶
Finally, you may want to choose an agent in the UK to help you buy and export your car. Many UK dealers are not interested in helping overseas buyers purchase a car as it is too complex for them. Engage an agent who will select the best cars to suit your budget, assess the car for quality, negotiate on your behalf to get the best price, and manage the shipping booking.
Costs to have a car cleared into Kenya ¶
Port charges ¶
As your car arrives, you will have port charges, which are between KES. 60,000 and KES. 80,000, depending on the size of your vehicle. This includes IDF fees, radiation fees, and 14 to 27 days free storage within the CFS.
Clearing agent ¶
You will need a clearing agent to complete the IDF entry for your car, which normally costs KES. 10,000 to KES. 30,000. Agents provide a clearing and registration service for many clients, which is 8% of your vehicle cost.
Excise, Import Duty, VAT & Levies ¶
Duties in Kenya for used cars are calculated using the CRSP table supplied by the KRA. Calculating duty correctly is not always straightforward, and we often see conflicting advice. There are two websites that help you to accurately calculate the duty, taxes, and levies for your car.
https://www.kra.go.ke/en/individual/calculate-tax/calculating-tax/car-import-duty
Other websites are available, but in our experience, they aren't always up to date with the latest CRSP.
Registration Fees ¶
Registration will cost between KES. 15,000 and KES. 23,000 to register your car. This is done by your clearing agent. If you have a special number plate, the cost to have this transferred is KES. 30,000.
