First transshipment cargo load at Naivasha Inland Container Depot. Kenya wants all goods destined to neighbouring countries picked up in Naivasha. PHOTO | FILE | NATION MEDIA GROUP A directive, which is supposed to take effect on June 1, was agreed at a virtual meeting attended by presidents of Kenya, Uganda, Rwanda and South Sudan.
The truck drivers have complained that more than $5 billion worth of their investments in the Northern Corridor could go down the drain if the directive is implemented without adequate transition time.
Both Kenyan and Ugandan transporters have built warehouses and depots in various towns in Kenya to support their logistics businesses.
Uganda has backed out of a deal that requires all goods imported through Kenya with final destinations being neighbouring land-locked countries be transported on the standard gauge railway.
The directive to ferry goods directly from Mombasa to the Naivasha Inland Container Depot (ICD), supposed to take effect on June 1, was agreed at a virtual meeting attended by presidents of Kenya, Uganda, Rwanda and South Sudan.
It was intended to cut the time taken from Mombasa to the Uganda border in a bid to reduce transmission of Covid-19 by truck drivers along the transport corridor. But Uganda appears to have reconsidered its positions, saying use of SGR should be optional.
“The option of using Naivasha ICD for transit cargo would not reduce human movements as truck drivers will still be required to pick the containers from Naivasha to the destinations,” says Ugandan Minister of Works and Transport Katumba Wamala in a letter sent to his Kenyan counterpart James Macharia.
“It is our considered opinion that the use of Naivasha ICD, which is part of our long-term regional infrastructure development, should remain optional, added the letter.
Uganda accounts for more than a quarter of the Mombasa port business.
TRUCK DRIVERS
Separately, truck drivers have also resisted the Naivasha ICD order, citing massive investment and job losses and sought to meet Mr Macharia over the matter.“The decision was reached by four Heads of State early this month and I have communicated to Mr Wamala regarding his request to make it ”optional" and we hope he is satisfied with the explanation since before they had no objection. To other stakeholders who feel robbed their business, we are engaging them in various platforms to explain to them on reasons behind that decision and the advantages of using the service,” […]