This archive report was first published on 21 April 2020.
As the COVID-19 pandemic continues to disrupt global supply chains, importers in the region are feeling the pinch at the Mombasa port. With lockdowns and curfews imposed by various countries, clearance and transportation of goods have slowed down significantly.
According to a statement signed by importers and clearing agents, the current free demurrage quota and cargo period are no longer sufficient to cushion their businesses against the increasing demurrages.
They are calling on the Kenya Ports Authority (KPA) and the Kenya Ship Agents Association to increase the free cargo period from four to 11 days for local cargo and from nine days to 21 days for transit cargo.
Additionally, they want shipping agents to increase the demurrage period to at least 15 days for local cargo and 40 days for transit goods to reduce their expenses.
Principal Secretary in Kenya's State Department Of Interior Karanja Kibicho has taken notice of the issue and has ordered that all imported vehicles, duly registered, be released without physical number plates to save importers from incurring more storage charges.
With an average of 9,500 vehicles per month being received at the port of Mombasa for both the Kenyan and regional markets, this relief measure is expected to bring some much-needed respite to importers.
