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Reprieve for small-scale traders as State orders release of goods at Mombasa port

The Port of Mombasa. The Kenya Ports Authority has issued a 14-day ultimatum to owners of privately owned idle equipment and long-stay empty containers at the port. (Photo: Seacrest)

By Bashir Mohammed | 29 Mar 2024

One significant development is the directive for the immediate release of goods held at the Port of Mombasa upon confirmation of meeting the required standards.

The government of Kenya has granted reprieve to small-scale traders and importers by ordering the release of their goods held at the Port of Mombasa. This decision comes after Deputy President Rigathi Gachagua announced a series of interventions following a meeting with representatives from the small-scale business community.

One significant development is the directive for the immediate release of goods held at the Port of Mombasa upon confirmation of meeting the required standards.

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"The government has ordered the release of goods held at the Port of Mombasa over standard verification within two weeks," stated Deputy President Gachagua.

Further, the government has reversed the decision to increase import duty from Sh2.5 million to Sh3 million on each container. This decision follows complaints from traders who argued that the additional Sh500,000 levy was unjustified and implemented without their involvement.

The Deputy President further announced the issuance of a single certificate of conformity and compliance from the Anti-Counterfeit Authority and Kenya Bureau of Standards, streamlining the inspection process for import goods.

"We are committed to supporting small-scale traders and ensuring a conducive business environment," Deputy President Gachagua stated.

Over 300 traders and importers from various business sectors attended the meeting at the Official Residence in Karen, Nairobi. Among the attendees were representatives from the Nairobi Business Community group.

Concerns about alleged harassment by law enforcement agencies and unfair competition from foreign traders surfaced during the meeting. Deputy President Gachagua assured the traders of the government's commitment to addressing these issues.

"We will work hand in hand and help each other."We cannot abandon you. We will create a framework to continue engaging," reassured Gachagua.

The government has also pledged to revive an amendment bill to the Public Procurement and Asset Disposal Act, 2015, aimed at protecting local businesses from unfair competition by foreigners.

The meeting concluded with the formation of a multi-agency team comprising stakeholders from relevant state agencies and the private sector. This team will meet monthly to address issues affecting small-scale businesses, with the first meeting scheduled for April 10, 2024.