State to auction uncollected cargo to decongest Nairobi depot

Containers at the Nairobi Inland Container Deport that is said to be Full. Standard Gauge Railway has been bringing containers from Mombasa to the Depot using the new SGR. 8-9-2018 [Phillip Orwa, Standard]

The Kenya Ports Authority and the Kenya Revenue Authority plan to dispose of cargo that has stayed for more than three weeks at Nairobi’s Inland Container Depot (ICD) in a bid to decongest the facility.

The ICD has been grappling with congestion for months following a surge in the use of the Standard Gauge Railway (SGR) cargo service by importers while they have been slow to pick up their goods.

This hit a high last week when trains bringing cargo from the Port of Mombasa were kept waiting for hours before offloading at the depot due to lack of space. Off-take of cargo has been slow compared to the rate of delivery of containers from Mombasa.

The State agencies are now threatening to auction or destroy cargo that has stayed at the ICD for more than three weeks. They will however waive storage fees on goods collected within two weeks.

“KPA and KRA wish to inform all port customers… of waiver of storage charges and custom warehouse rent for long stay cargo (21 days and above) for a period of 14 days effective September 28,” said the agencies in a joint statement yesterday.

“KPA will waive all storage charges accrued on long stay cargo that will have been cleared with effect from today. Similarly, KRA will waive customs warehouse rent on all long stay cargo that will have been cleared within this period both at the port and the ICDN.”

“Any long stay cargo that will remain uncollected within this waiver period will be auctioned or destroyed by the Commissioner of Customs in accordance with the East African Community Customs Management Act,” the statement added.