Why importers face losses on impasse on insurance processing fees

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Inland Container Depot in Nairobi. 

Photo credit: File | Nation Media Group

Importers risk increased storage costs on delayed clearance of thousands of shipments after an intermediary firm imposed new fees on the processing of customs bond insurance.

The customs bond insurance is a guarantee to the KRA that insurers will be held liable for all duties, taxes, fees and penalties associated with the goods if importing firms default on payment. KRA only clears the goods after evidence of the insurance-backed bonds.

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