- With handling capacity improvements and support by KRC, the NCDC is now delivering cargo imported through Mombasa’s port in approximately 15 hours.
- Since its launch, the facility has so far served more than 200 traders. In the last three months, KRA has cleared 11 containers with an approximate Ksh 23 Million revenue.
- The establishment of the NCDC-Nairobi is part of the government initiatives to bring services closer to taxpayers and facilitate them to conduct their business effectively and efficiently.
Scores of small scale traders in Nairobi and beyond have begun to enjoy the services of the Kenya Revenue Authority (KRA) National Cargo Deconsolidation Centre (NCDC) located at the Nairobi Railway Station.
The traders drawn from Nyamakima and Gikomba commercial zones are enjoying fast, convenient customs clearance of their imported wares following the handling capacity tripling of the Kenya Railways Corporation (KRC) Transit shed launched last November 2020.
With handling capacity improvements and support by KRC, the NCDC is now delivering cargo imported through Mombasa’s port in approximately 15 hours.
Operating on a 24-hour basis, the new facility has enhanced de-consolidated cargo handling capacity from the initial five (5) 40-foot containers to (15) 40-foot containers. A 40ft container can have up to 25 small traders importing various goods as consolidated cargo, thus serving approximately 400 small traders daily.
Since its launch, the facility has so far served more than 200 traders. In the last three months, KRA has cleared 11 containers with an approximate Ksh 23 Million revenue.
The number of containers clearing at the facility is expected to increase to approximately 300 containers per month during the post COVID period. This will enable the country to collect extra revenue of approximately Ksh1 Billion through KRA.
Speaking during an inspection visit of the NCDC on Wednesday evening, President Uhuru Kenyatta, accompanied by KRA Commissioner General Mburu Githii, said the Government is committed to creating a conducive environment for small-scale traders to prosper. The President said he desires to see micro, small and medium enterprises growing and creating employment for the many unemployed Kenyan youths.
The President noted the expansion of the warehouse was due to the discussions he had with the small scale importers saying, a country can only be developed when citizens learn to discuss issues and come up with solutions for the benefit of all.
“I am grateful today we are here seeing the progress made. I want to thank Kenya Railways and Kenya Revenue Authority for working hard to ensure this facility was completed,” the President said.
As part of Government’s commitment to supporting small businesses in the country, the President said the cost of local inspection of imported goods was lowered from 5 to 0.6 per cent of customs value.
“During my visit on 10th November 2020, you requested me to have the cost of local inspection reduced from 5 per cent of customs value to 0.6 per cent. This was to reduce the cost of importation and promote the growth of your businesses,” President Kenyatta said.
“As you can see, my Administration is ready to facilitate the growth of your businesses. Through this new facility, we have the required capacity to continue supporting the growth of your businesses, which I know will also create opportunities for other Kenyans to earn their livelihoods,” he added.
The President said NCDC-Nairobi would make it easier for the importers to grow their businesses given its strategic location at the heart of the capital city.
“This facility will simplify and facilitate your businesses, considering it is at the heart of the city. All traders from Nyamakima, Gikomba and other environs will now be able to access their goods without problems,” he said.
At the same time, the President challenged the traders to be faithful in paying their taxes to enable the Government to continue providing essential services.
He thanked cargo consolidators for supporting the Government to achieve its purpose of helping small scale traders and urged them to continue partnering with the state in ensuring businesses thrive.
“To the consolidators who are here, we thank you. If it is not your hard work, there was no way goods would be brought here. We thank you for supporting small traders in this country,” the President said.
The Head of State cautioned those intending to circumvent laid down procedures saying all consolidators are required to process their cargo containers at the new facility.
The establishment of the NCDC-Nairobi is part of the government initiatives to bring services closer to taxpayers and facilitate them to conduct their business effectively and efficiently.
Recently, KRA gazetted the NCDC facility as one of its national deconsolidation and cargo clearance centres. Container rent charges will also be borne by Kenya Railways. At the same time, traders will incur minimal or no demurrage costs due to the speedy clearance process minimizing the overall cost of doing business.
To improve efficiency at the facility, the Government has established a One-Stop Centre through an enhanced automated system and developed a cargo tracking code integrated with the KPA system to monitor end-to-end cargo movement.
