By
Maximilla Wafula, Sub- Editor The County Diary News
Consolidated
cargo traders and consolidators have warmly welcomed President William Ruto’s
direct intervention in the ongoing dispute over cargo taxation and clearance,
citing the new agreements as a vital lifeline for Kenya’s import and trade
sectors. Speaking through the Kenya Association of International Cargo
Consolidators, industry leaders expressed deep gratitude for the President’s
personal involvement in resolving operational bottlenecks. Chairman Mohamed
Sheikh Abdirahman praised the administration's willingness to re-evaluate
policies that had previously placed severe pressure on small and medium-sized
enterprises, noting that the community appreciates the government listening to
their operational concerns.
Among the
key relief measures agreed upon during the high-level consultations is the
reduction of the benchmark rate for consolidated sea freight from Sh3.2 million
down to Sh2 million. The government has also retained the previous benchmark
rates applicable to ready-made garments, shoes, and consolidated air cargo,
while rescinding the contentious Advance Cargo Declaration requirement.
Additionally, transport rates for cargo moving from the Inland Container Depot
in Nairobi to the Bomaline De-consolidation Centre have been reduced, and the
government has committed to introducing additional de-consolidation hubs to
improve overall distribution efficiency.
The
breakthrough follows collaborative engagements involving key public officials,
including National Assembly Majority Leader Kimani Ichung’wah, Kenya Revenue
Authority Commissioner-General Adan Mohamed, and Trade Principal Secretary Dr.
Juma Mukhwana. To maintain progress, a multi-sector committee will oversee the
execution of these policies, while the revenue authority works to publish a
clear list of items excluded from consolidated cargo classifications. In turn,
all consolidators will undergo vetting and re-registration to promote
accountability, with association leadership urging all operators to comply
fully with the new disclosure standards to build a lasting framework built on
transparency and mutual trust.
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