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KPA will overstep its mandate by engaging in last-mile delivery business

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Containers being offloaded from a ship at the Port of Mombasa. [Kelvin Karani, Standard]

The Kenya Ports Authority's (KPA) announcement that it plans to become a full-fledged logistics player, offering end-to-end transport and last-mile deliveries through a partnership with COSCO Holdings has sent shockwaves throughout the industry.

At the heart of the concerns lies the contract itself, which is skewed heavily in favour of the Chinese company. KPA's arguments regarding improved port efficiency, lower freight costs, and reduced demurrage lack evidence and contradict stakeholder concerns, raising doubts about the true motives behind this venture.

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