, KAMPALA, Uganda, Jul 12 – Security solutions firm G4S Courier Services Kenya has said it will invest Sh40 million in a new courier route aimed at serving its growing clientele in the East African region.
While announcing the launch of a new route into Uganda, G4S Kenya Deputy Managing Director Jack Muchira said the renewed push was in keeping with the company’s aim to achieve a 50 percent revenue growth over the next three years.
“With this investment we anticipate earnings of over Sh25 million over the next six months and are already in the process of opening additional drop and collection locations across Uganda,” said Mr Muchira.
The company will also offer bonded warehousing services at G4S facilities in Uganda for faster clearance and security of cargo, in a move aimed at taking advantage of the East African Community (EAC) Common Market protocol.
The protocol that took effect on July 1 is expected to enhance the free movement of goods and persons as the labour force seeks to engage freely across the five EAC member states.
Officiating at the event held on Monday was Uganda’s First Secretary in charge of the East African Integration, Kalyango Andrew who welcomed the move as a measure of the trust and anticipation of the implementation of EAC protocol.
“We are very optimistic about the common market protocol and the opportunities for the region. The new route is a welcome move since Kenya generates close to 75 percent of all trade volumes into Uganda,” said Mr Kalyango.
The EAC Secretariat, he pointed out, would be able to review the progress of the protocol over the next six months and especially measure the impact on business on all the five EAC member states.
G4S Courier Services realised a Sh1.1 billion turnover in 2009 and has invested Sh82 million in route expansion in and out of the country over the last one year. The firm offers secure logistics solutions through a fleet of over 280 custom-made vehicles and more than 130 pick and drop locations countrywide.
The firm has also cast its sights on other EAC countries and embarked on an expansion strategy for Tanzania in response to growing customer demands.
The courier is also in talks with key wholesalers and distributors geared towards embracing e-commerce. This will see the firm facilitate warehousing and distribution services that is also part of G4S’ outsourced service offerings.