Home Business KPA leases storage facilities to ease congestion at ICD

KPA leases storage facilities to ease congestion at ICD

by kenya-tribune

Five periphery storage facilities leased by Kenya Ports Authority (KPA) to boost Nairobi ICD capacity are expected to start receiving containers after gazettement by the Kenya Revenue Authority.

KPA acting managing director Daniel Manduku said in an interview in Mombasa that the first haulage will be 4,145 twenty foot equivalents units (TEUs), 3,300 being long stay containers and 845 containers destined for destruction.

Dr Manduku said 40 per cent of the cargo at ICD is either long stay or goods destined for destruction by the multi-government agency.

“Congestion usually happens when you are operating a near 100 per cent, like what we are currently experiencing at the port of Mombasa,” said Dr Manduku.

The MD said there are about 10,000 twenty-foot equivalent units (teus) containers at ICD in Nairobi but was quick to add that the congestion will end soon.

“What we have done as KPA is that we have leased five periphery storage facilities. We are finalizing the lease agreements and waiting for the gazettement of the facilities by the Kenya Revenue Authority (KRA) this week,” he said.

He said the moving of containers to the extra facilities will end the importer’s agony. The importers have been forced to ward through piles of containers at the congested ICD thus endangering their lives and increasing costs.

“The long stay containers at ICD are those that have stayed for over 21 days in which by law, belongs to customs warehousing. Then we shall also move out the 845 containers destined for destruction which had also clogged the ICD yard population,” said Dr Manduku.

Last week, Kenya International Freight and Warehousing Association (Kifwa) said ICD was overstretched, posing danger to users. A statement signed by Kifwa national chairman William Ojonyo said the current ICDN yard population stands at 9,200 TEUs against a yard capacity of 3000 Twenty Foot Equivalent Units (TEUs).

According to Dr Manduku, the average daily deliveries from the port of Mombasa to ICD by Standard Gauge Railway (SGR) cargo trains is between 700 and 800 twenty-foot equivalent units (TEUS), translating to about 5,000 containers every week.

He said the port of Mombasa is doing direct loading of cargo from the ships, more so targeting goods to be ferried by the SGR trains to ICD.

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