This archive report was first published on 7 August 2019.
The Kenya Revenue Authority (KRA) and Kenya Ports Authority (KPA) have delayed the implementation of a new government directive aimed at boosting Standard Gauge Railway (SGR) revenues and enhancing efficiency at the port of Mombasa and the Inland Container Depot in Nairobi.
According to the government, the directive was to take effect from August 7, 2019, but was put on hold on Tuesday evening to allow for stakeholder consultation.
The directive, which was issued on August 6, 2019, states that all imported cargo for delivery to Nairobi and the hinterland shall be conveyed by Standard Gauge Railway (SGR) and cleared at the Inland Container Depot, Nairobi.
However, stakeholders in the industry had opposed the directive, citing concerns that it was against the World Trade Organization (WTO) agreement on trade facilitation, which allows for free cargo by the most effective means. They also feared that the directive would lead to job losses among Container Freight Stations (CFS) and clearing and forwarding agents.
Transport Cabinet Secretary James Macharia has been summoned to appear before the National Assembly on Thursday to shed more light on the order.