This archive report was first published on 7 August 2019.
On August 7, 2019, the Kenya Revenue Authority (KRA) and Kenya Ports Authority (KPA) were set to implement a new government directive requiring all cargo to be ferried from Mombasa to Nairobi through the Standard Gauge Railway.
However, the directive was put on hold on Tuesday evening to allow for stakeholder consultation, following opposition from industry stakeholders.
The directive aimed to boost SGR revenues and enhance efficiency at the port of Mombasa and the Inland Container Depot in Nairobi.
According to the government, all imported cargo for delivery to Nairobi and the hinterland was to be conveyed by Standard Gauge Railway (SGR) and cleared at the Inland Container Depot, Nairobi.
Transport Cabinet Secretary James Macharia has been summoned to appear before the National Assembly on Thursday over the directive.
Stakeholders in the industry had opposed the directive, citing concerns that it was against World Trade Organization (WTO) agreement rules on trade facilitation, which allow for free cargo by the most effective means.
They also feared that the directive would lead to a loss of work for the workforce at Container Freight Stations (CFS) and clearing and forwarding agents.
