Government spokesman Cyrus Oguna. [File, Standard]

Narcotics storage has been cited as one of the reasons why operations of Container Freight Stations (CFS) are being wound up in Mombasa through the new port to rail cargo clearance and transportation strategy.

Yesterday, government spokesman Cyrus Oguna said some of the CFS have been storing and handling drugs that find their way into the market.

“There have been incidents of narcotics in the CFSs and also a lot of other issues going in there and we don’t know who handles what in the CFSs, so we are looking to improve the security,” said Col (Rtd) Oguna.

He noted that some CFSs have been evading paying tax to the government. “So as we improve our services at the port, we are sealing loopholes used to evade paying tax so we can benefit all Kenyans and not just a few who steal from government,” said Oguna.

The spokesman said that out of the 55 African countries, the port of Mombasa is the only one that has individual people owning and running CFSs.

In August, Kenya Ports Authority (KPA) directed management to stop cargo nominations to the CFSs.

“Team, please stop any further CFS nominations with immediate effect,” read the email sent by the head of container operations Edward Opiyo to KPA managing director Daniel Manduku.

The spokesman dismissed allegations that the government had shut down the CFSs saying they no longer have any business as cargo is transported straight from the port to the intended destination or to the Inland Container Deport in Embakasi.