Piracy threat drives away cruise ship tourists from Kenya

“Timing is dependent on the construction of by pass to Ndongo Kundu and the development of the cruise market liner,” said officials.

The East and South Africa Indian Ocean countries have formed the Cruise Indian Ocean Association (CIOA), which will host a forum in Durban in May, this year, to present cruise lines and operators with an overview of the varied facilities and attractions the South and East African Indian Ocean states offer.

The two- day conference will provide a meeting point for top cruise line executives, with delegates from tourism, hospitality and marine sectors in East and Southern Africa, according to the public relations manager at the Kenya Ports Authority, Mr Benard Osero

CIOA last year signed a Memorandum of Understanding with Sea trade Communication Ltd during the Seatrade Europe convention at Hamburg, Germany.

The peak season for cruise ship visits is between November and March, during the European winter season.

A Value Added Tax on all marine and port services introduced this year by the government at the port of Mombasa may have also contributed to the poor performance of the industry due to its effect on the cost. According to Kanji, the tax was not well thought out and it would be desirable to struck it out. In letters sent to the KPA, the shipping lines said their decision to give Mombasa a wider berth was due to the VAT which would increase the operational costs for vessels calling at the port.  

“The new requirements will push the cost of calling at the port of Mombasa up by 16 per cent. For instance, pilotage fees, which per operation are subjected to a minimum charge of $150, would rise to $174. Pilotage is but one of the services offered by KPA,” a letter from Mediterranean Shipping Company dated September 17 this year read, adding that it was the first time the line was dealing with such a charge.

The marine services expected to be subjected to the punitive VAT provisions include pilotage fees, tug services, mooring services, port and harbour dues, supply of fresh water, dock, buoyage and anchorage, among a long list.

In response to the threats, Kenya Ports Authority chief operations manager Joseph Atonga said they had taken up the matter with relevant authorities and he expected a solution soon.