Through the Ministry of Trade and the Kenya Transporters Association (KTA), Kenya said the fee will increase the cost of transport and hamper the free movement of goods along the Northern Corridor.
The new fees will be applicable at Nimule-Elegu One-Stop Border Post (OSBP) which is the main border post between South Sudan and Uganda.
KTA chairperson Newton Wang'oo said through different stakeholders, they have initiated talks to ensure the new directive is not implemented starting March this year as it was stated.
Kenya has protested a move by the South Sudan government requiring all the vehicles entering the country to pay $100 annual fee and further $30 for every entry and exit per vehicle.
Through the Ministry of Trade and the Kenya Transporters Association (KTA), Kenya said the fee will increase the cost of transport and hamper the free movement of goods along the Northern Corridor.
According to a letter by the Kenyan government to South Sudan, the introduction of the new entry digital border security control tag meant to enhance data collection of traffic movement in and out of its territory will make logistics business in Juba unviable.
“In reference to a letter Ref No. MFA/Com/ 32 dated 20th January 2022, the letter informs that all vehicles entering South Sudan to pay $100 annual fee and further $30 for every entry and exit per vehicle effective from 1st march 2022. It is informed that government of South Sudan is taking this measure to enhance data collection of vehicles entering and leaving the country, and their occupations. Unfortunately for Kenya, this will further make Sudan an expensive destination,” read part of the protest letter from Dr Bruno Linyiru, secretary Ministry of Trade.
The new fees will be applicable at Nimule-Elegu One-Stop Border Post (OSBP) which is the main border post between South Sudan and Uganda. It is the busiest land border in South Sudan where most goods imported from Kenya through Uganda are processed. The OSBP has been recording an average of 160 trucks crossing the border daily.
KTA chairperson Newton Wang'oo said through different stakeholders, they have initiated talks to ensure the new directive is not implemented starting March this year as it was stated. KTA said it would mobilse its more than 5000 truckers to protest if the new plan is implemented.
“We are talking with Kenya Private Sector Alliance, Kenya Association of Manufacturers in trying to ensure the new fee is not charged as it will increase the cost of operation. We are happy that Kenyan government has also raised the concern,” said Mr Wang’oo.
Increasing non-tariff barriers along Northern Corridor has negatively affected the free movement of goods with the latest Covid-19 testing fee by the Ugandan government causing heavy traffic congestion and delay in delivery of cargo.
This is not the first time South Sudan is introducing fees against East Africa Community trade agreements considering it was the first country in late 2020 to start charging visa entry fees on residents of the other East African Partner States.
This came in the wake of the industry players seeking to have the Democratic Republic of Congo (DRC) and South Sudan join the Single Customs Territory (SCT) in a bid to enhance seamless flow of the cargo along the corridor and border crossing points.
Northern Corridor Transit and Transport Coordination Authority (NCTTCA) in its recent report suggested that to ease clearance of the cargo, there was need to synchronise all Single Window Systems.
Kenya, Uganda, South Sudan and Rwanda have already established functional single window systems. These systems provide a platform on which Partner Government Agencies (PGA) can clear cargo online. The process of automating customs processes in South Sudan is currently ongoing.
