This archive report was first published on 6 August 2019.
The Kenya Revenue Authority and Kenya Port Authority have taken a significant step in improving cargo logistics in the country. On Saturday, they issued a joint directive that will see all imported cargo to Nairobi and beyond being transported via the Standard Gauge Railway (SGR), starting from 7th August 2019.
According to the directive, all containerized local imports for delivery in Nairobi and the surrounding areas will be conveyed by the SGR and cleared at the Inland Container Depot in Nairobi. Additionally, all imported cargo intended for Mombasa and its environs will be cleared at the port of Mombasa.
However, importers will have 21 days to declare and collect their cargo from the port of Mombasa or the Inland Container Depot in Nairobi. Failure to do so will result in the cargo being transferred to a designated customs-controlled area for disposal.
The Kenya Revenue Authority defended the move, stating that it aims to improve cargo logistics at the port of Mombasa and the inland container depot. However, the directive has created uncertainty for employees of Container Freight Stations (CFS) and clearing and forwarding agents based in Mombasa.
Long-distance transporters had earlier opposed attempts to use the new railway, claiming it was expensive compared to trucks. Nevertheless, the taxman is attempting to increase revenue collections by allowing for easy tracking of cargo as it moves along the railway for clearing at the ICD in Nairobi.
