logo
ADVERTISEMENT

Return of cargo clearance to port boosts business in Mombasa

The directive was part of President Ruto’s pre-election campaign promise

image
by VICTOR AMADALA

Business06 August 2023 - 15:00
ADVERTISEMENT

In Summary


  • The abrupt 2018 notice disturbed a logistics industry that had grown organically for over a decade.
  • The directive was part of President Ruto’s pre-election campaign promise
Containers being offloaded from a ship at the Port of Mombasa/FILE

A directive by President William Ruto that all cargo clearance be reverted to Mombasa Port from Nairobi and Naivasha was received warmly by stakeholders and has proved productive.

The directive was part of President Ruto’s pre-election campaign promise to reverse an order by former president Uhuru Kenyatta during his reign in power.

Stakeholders in the transport industry and leaders from the coastal region supported the move, which they said would offer employment opportunities and steer socio-economic growth and development.

Mombasa has been reeling in economic pain for the last five years after the government issued an order directing that clearance of all Nairobi-bound cargo be undertaken at the Athi River Inland Container Depot (ICD).

In merchant haulage of containerised cargo, the responsibility of the shipping line ceases upon discharge of the container at the port.

This is the point where the consignee takes delivery of the goods and is given a time frame within which to return the empty container.

However, the abrupt 2018 notice disturbed a logistics industry that had grown organically for over a decade.

During campaigns ahead of the last general election, coastal leaders and residents prevailed upon Ruto, to consider reverting back port operations to Mombasa from Naivasha and Nairobi if he took over the leadership of the country.

Roads and Transport cabinet secretary Kipchumba Murkomen said the directive of the President is in line with the Kenya Kwanza manifesto on promoting freedom of commerce and freedom of transport.

“In the past, it was mandatory that goods from outside the country be cleared in Nairobi and Naivasha.Upon taking over the leadership of the country, Ruto directed the clearance be done in an area of the customer’s choice. Goods are now cleared where the customer wants,” said CS Murkomen.

The Kenya Ports Authority (KPA) has since implemented the directive issued by President Ruto in September last year that will not make it mandatory to move cargo via the Standard Gauge Railway (SGR).

A spot by the Presidential Communication Service crew in Mombasa Port and along the Mombasa-Voi-Nairobi Highway showed that business had come back to normal following the reverse of the order on cargo clearance.

KPA senior operations officer Patrick Makau said the directive was a major boost on the operations of the government agency. 

The sentiments were echoed by traders and residents in Mombasa, Voi, Mtito Andei and Emali towns who thanked the Head of State for honouring his campaign promise noting that it will boost businesses in the region.

Container Freight Stations (CFS) Association CEO Daniel Nzeki said they have witnessed booming businesses along the Mombasa-Nairobi highway because it was not to be mandatory to move cargo via the Standard Gauge Railway (SGR).

 “We want to confirm that the Executive Order by President Ruto on return of port services from Nairobi and Naivasha to Mombasa has been fully implemented,” Nzeki said.

Razul Ramadhan, a long distance driver operating to Uganda, Tanzania and Congo said as drivers they have witnessed booming business because it is no longer mandatory to move cargo via the SGR service.

"We want to commend the move by President Ruto which has been implemented and the region is now witnesses attractive business,” said Ramadhan.

He regretted that thousands of jobs had been lost after retired president Kenyatta made it mandatory to ferry goods to Nairobi and Naivasha through SGR.“What President Ruto has done is to allow cargo owners to decide on where it is convenient for them to pick their goods.

This is the best decision ever by the government. This is the kind of leadership we want in this country, “said Debra Chiku, a food vendor, outside the Mombasa Port.

 “We are happy that President Ruto has directed that importers are given freedom to choose where to clear their cargo and the mode of transport to use from the port of Mombasa.

This is now leadership. We now have drivers and other port operators to sell them food and water,” said Chiku.

ADVERTISEMENT

logo© The Star 2024. All rights reserved