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Kenya

KPA leases five storage facilities to ease congestion at Nairobi ICD

KPA’s daily average delivery to the ICD is between 700 and 800 containers through SGR, which translate to over 5,000 TEUs per week.

MOMBASA, Kenya, Sept 12 – The Kenya Ports Authority has leased five periphery storage facilities within Nairobi to ease the congestion at the Inland Container Depot (ICD) in Embakasi.

Kenya Ports Authority acting Managing Director Dr Daniel Manduku said they are in the process of finalizing the lease agreement with the owners of those facilities.

He said the Kenya Revenue Authority will then be required to gazette those storage facilities as bonded custom warehouses.

The Nairobi ICD has a yard capacity of about 4,000 Total Equivalent Units (TEU is a standard for a 20-foot container), but currently there are over 10,000 TEUs at the facility.

Speaking in Mombasa on Wednesday, Manduku admitted there was a challenge at the ICD, but it will be resolved once the excess containers are taken to the new storage facilities.

“We are moving a total of 3,300 TEUs to the periphery storages from next week. We are just finalizing the lease agreement and gazettement by the Kenya Revenue Authority,” said Manduku.

Speaking to the press on the sidelines of the 26th International Association of Maritime Economists (IAME) at Pride Inn Hotel in Shanzu, Manduku said the 3,300 TEUs that will be relocated to the new facilities.

“The 3,300 are the long-stay containers. This is cargo that has stayed at the ICD for more than 21 days, and which by the law belongs to customs warehouses. Additionally, 854 TEUs of cargo destined for destruction will also be taken to the new storage facilities,” said Manduku.

He said this means that over 40 per cent of the cargo at the ICD is either long stay or meant for destruction, which means once they are moved out in the next seven days, ICD yard capacity, will come below 50 per cent.

However, Manduku also pointed a finger to importers, who he said were not collecting cargo on weekends.

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He said KPA operates on 24-hour basis while KPA’s daily average delivery to the ICD is between 700 and 800 containers through SGR, which translate to over 5,000 TEUs per week.

“Last Sunday, I was very disappointed by importers, they only collected 16 containers and yet my staff, KRA staff are all stationed at the ICD,” he said.

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