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KPA adds 3 months for free storage

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Containers at the Inland Container Depot in Embakasi, Nairobi. FILE PHOTO | NMG

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Summary

  • The Kenya Ports Authority (KPA) has extended free storage period for containers by three more months, a relief to shippers who are yet to recover from the effects of Covid-19.
  • The free period for domestic import containers, which has a free storage period of four days, has been extended to five days with a waiver period for domestic export cargo having gone up from nine days at the moment to 15 days.
  • The storage terms first came into effect on May last year were extended to November 13, as KPA moved to cushion importers, exporters and transporters from the impact the pandemic has had on the transport and logistics sector.

The Kenya Ports Authority (KPA) has extended free storage period for containers by three more months coming as a relief to shippers who are yet to recover from the effects of Covid-19.

The free period for domestic import containers, which has a free storage period of four days, has been extended to five days with a waiver period for domestic export cargo having gone up from nine days at the moment to 15 days.

The transit import containers at the internal container depot in Embakasi will enjoy a free storage of nine days from the current 14 days while those destined for export will enjoy five more days of free storage from the current 20 days.

“Kenya Ports Authority wishes to announce to our customers and stakeholders that the extension of free storage period that we had granted earlier and which expired on July 2021 has further been extended…” said KPA acting managing director John Mwangemi.

The extension that had earlier been granted to shippers expired last week with the current waiver expected to run up to October.

The storage terms first came into effect on May last year, and ran for three months to August 18. They were extended to November 13, as KPA moved to cushion importers, exporters and transporters from the impact the pandemic has had on the transport and logistics sector.

Mr Mwangemi said the extension period is subject to review after the validity period depending on the business dynamics.

Importers and exporters incur charges of between Sh3,000 and Sh9,000 per day for cargo that has stayed beyond the free storage period and more than 24 days, depending on the size of the container.

Containers released by the Kenya Revenue Authority and not collected after 24 hours are charged Sh10,000 and Sh20,000 per day for 20ft and 40ft respectively.

Traders at the port had last year requested KPA to give them free storage following the devastating effects of the Covid-19, which increased the cost of doing business.