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Ugandan importers reluctant to use Naivasha ICD
In 2019, Kenya offered Uganda land to build a dry port in Naivasha. However, importers continue to use Mombasa due to logistical challenges related to Naivasha dry port. Photo / File
What you need to know:
- The private sector says logistical challenges continue to prevent full utilisation of Naivasha port
The private sector has said the underutilisation of Naivasha port results from logistics challenges and limited support from Kenyan transporters.
Mr Kenneth Ayebare, chairman of the Cargo Consolidated Transporters Association of Uganda, told Daily Monitor at the weekend that the Naivasha port continues to struggle to attract significant cargo volumes due to ease of access to logistical services such as transport and clearing and forwarding in Mombasa.
“Majority of our cargo is still being transported directly from Mombasa because of the efficiency of logistics services there,” he said, noting that there was need to address challenges at Naivasha port to make it a viable option for regional trade.
The government of Kenya has been working to improve regional trade and transport efficiency along the Northern Corridor, which spans approximately 12,707 kilometres across Uganda, Burundi, DR Congo, Kenya, Rwanda, and South Sudan.
Economic Monitoring state minister in the Office of the President Beatrice Akello Akori, during a tour of the ICD at the end of last year, commended the operationalisation of the Nairobi and Naivasha Inland Container Depots (ICDs), which she said will boost transit trade along the Northern Corridor.
However, the private sector has been reluctant to use the ICD, urging government to address logistical challenges, with many choosing Mombasa, amid concerns of overcrowding at one of East Africa’s busiest ports.
“We need to work together to find solutions to these challenges and make Naivasha port a hub for regional trade,” Mr Ayebare said.
Government has previously promised to address the challenges but not much has been done since.
The Kenyan Ports Authority is relying on Naivasha port to ease movement of transit cargo to Uganda, Rwanda, DR Congo, northern Tanzania and South Sudan by cutting the cost of transport for hinterland customers.
The depot boosts a yard capacity of 3,588 ground slots and is connected to the Port of Mombasa via the Standard Gauge Railway.
