Members of the Rwanda business community have expressed confidence in Kenya’s port facilities in Mombasa, days after Ugandan authorities announced intentions to shift to Tanzania for importation of oil.
According to a statement by the Kenya Ports Authority, a team comprising businesspeople from the East African nation pledged to increase the use of the northern transport corridor and the affiliate facilities for the movement of Rwanda bound cargo.
In particular, the team pledged to increase the use of Mombasa Port for their transit cargo.
KPA reported that the businessmen and women toured the Port of Mombasa and the Inland Container Depots of Nairobi and Naivasha where they appreciated the intermodal transport system.
According to them, the current system incorporating the Standard Gauge Railway (SGR) and other infrastructure ensures efficient and timely transfer of transit cargo from the port to the hinterlands.
On its part, KPA promised to further step up in efforts to ensure convenience and ease in transporting cargo to the hinterlands.
“Other than the intermodal transport system in place, KPA is collaborating with partners to provide last mile connectivity for cargo destined to the transit market,” KPA noted.
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“This will significantly lower the cost of doing business & ensure customers receive their cargo in a timely manner.”
Uganda plans to ditch Mombasa Port
The announcement could be good to Kenya coming on the back of the adoption of new policies by Ugandan government.
In the move approved by Uganda’s cabinet, the neighboring nation will henceforth import oil through state-owned Uganda National Oil Business (Unoc).
Further, the country declared its intentions to use the Port of Dar es Salaam as its entry point for oil imports citing recent changes in Kenya’s oil import policies.
The announcement elicited reactions with some Kenyans pointing accusing fingers to the government for adopting the government-to-government oil importation arrangement.
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In a statement on Thursday, November 16, for instance, opposition chief Raila Odinga criticized the policies adopted in the Kenya Kwanza administration regime citing the Uganda withdrawal case.
“Uganda has announced it would no longer purchase petroleum products from Kenya because middlemen have inflated prices by up to 59 per cent, imposing too high a cost on consumers. The exact same scenario is prevailing here,” Raila Odinga stated.
KPA to revamp ports
The Port of Mombasa has traditionally served as a crucial entry point not only for cargo destined for Kenya but also neighboring countries including Uganda, South Sudan, Burundi, and Rwanda.
However, the Port has faced recent competition from the Dar es Salaam Port which has also been upgraded.
In an announcement on Friday, November 7, KPA said the commencement of a concession bidding process in a move aimed at selecting a private development partner.
Through the concession, KPA is looking to achieve tremendous development as far as infrastructure and capacity in the port is concerned.
