Kenya Revenue Authority and Kenya Port Authority issued a joint directive on Saturday ordering all imported cargo to Nairobi and beyond be transported on the SGR. The directive will take effect from 7th August 2019.
The directive stated, “all containerized local imports for delivery in Nairobi and the hinterland shall he conveyed by Standard Gauge Railway and cleared at the Inland Container Depot – Nairobi.”
In addition, all imported cargo intended for Mombasa and its environs shall the cleared at the port of Mombasa.
However, importers will have 21 days to declare/collect their cargo from the port of Mombasa or Inland Container Depot in Nairobi failure to which it will be transferred to a designated customs controlled area for disposal.
KRA defended the move saying that it aims at improving cargo logistics at the port of Mombasa and inland container depot.
However, the directive creates uncertainty for employees of Container Freight Stations (CFS) and clearing and forwarding agents based in Mombasa. Furthermore, long-distance transporters had earlier opposed attempts to use the new railway claiming it was expensive than trucks.
Taxman is attempting to increase revenue collections as the directive will allow for easy tracking of cargo as it moves along the railway for clearing at the ICD in Nairobi.