This archive report was first published on 4 December 2019.
Kenyan importers have been at the forefront of weekly demonstrations in Mombasa against a policy forcing them to use the Standard Gauge Railway (SGR) to transport their goods.
The protests, which have been ongoing for months, are centered around the higher costs associated with using the SGR compared to trucks.
According to Reuters, the Kenya Ports Authority (KPA) has an obligation to feed the railway by providing a minimum amount of cargo, with the goal of supplying 1 million tonnes of cargo per year, rising to 6 million by 2024.
As a result, businesses that depend on imported cargo have been forced to use the SGR, with some importers being charged up to Ksh. 40,000 more for truck transportation and depot fees.
SGR charges for a 40-foot container have been set at Ksh. 80,000, which is almost the same as trucks, but importers are being forced to pay more.
The KPA has cited the need to recover a Ksh. 66o billion debt owed to China's Exim Bank as the reason for the higher charges.
On August 2019, the port confirmed the policy, and by October last year, Kenyan importers in and around Nairobi had been forced to use the line.
