A competitive economy starts with seamless trade logistics. Recognizing this, the Kenya National Chamber of Commerce and Industry (KNCCI), the Kenya Association of Manufacturers (KAM), the Shippers Council of Eastern Africa (SCEA), and the Export Processing Zone (EPZ) recently engaged the Kenya Ports Authority (KPA) at the Port of Mombasa to address logistics and trade facilitation challenges affecting local industries.

This high-level engagement focused on identifying operational inefficiencies, proposing strategic solutions, and fostering collaboration to enhance Kenya’s global trade standing.

 

Key Issues Discussed

During the discussions, stakeholders highlighted several critical logistics challenges that impact trade flow and business operations, including:

✅ Delays in Rail Transport – Bottlenecks in moving containerized cargo to Inland Container Depots (ICDN & Naivasha).
✅ Overnight Trucking Costs – High fees incurred by transporters while loading cargo.
✅ Container Handling & Tracking – Gaps in cargo traceability at port yards.
✅ System Downtimes – Frequent technical outages disrupting port operations.
✅ New KRA Guidelines – Recent regulatory changes affecting the export process and bond cancellations.
✅ Port Congestion & Tariff Reviews – Concerns over space constraints and the impact of new tariffs on businesses.

 

Proposed Solutions & KPA’s Commitment

To address these challenges, the delegation recommended:

✔ Enhanced Inter-Agency Coordination – Strengthening collaboration between KPA, KRA, and stakeholders to reduce delays.
✔ ICT System Modernization – Upgrading tracking systems to improve cargo movement efficiency.
✔ Tariff and Charge Reviews – Reevaluating costs such as overnight truck fees to ease the burden on businesses.
✔ Ongoing Stakeholder Engagement – Establishing continuous dialogue to maintain a transparent and efficient logistics ecosystem.

KPA acknowledged the issues raised and committed to implementing reforms that will improve operational efficiency and maintain the competitiveness of Kenya’s logistics sector.

 

What’s Next?

To formalize these discussions, KNCCI and other Business Membership Organizations (BMOs) will submit a Memorandum to KPA outlining key challenges, proposed solutions, and policy recommendations.

With continued collaboration, Kenya is poised to strengthen its position as a regional trade hub, streamline cargo movement, and foster a more competitive business environment.