A firm linked with Mombasa Governor Ali Joho has bagged a lucrative deal to manage the Nairobi SGR cargo terminal. Autoports Freight Terminal, which is associated with Joho and his family will now take over the operations of the Nairobi Inland cargo terminal.
Autoports Freight Terminal, which is based in Mombasa, has received Kenya Railways Corporation (KRC) exclusive right to use of the Nairobi Freight Terminals (NFT). This terminal is located near the Standard Gauge Railway (SGR) terminal in Syokimau.
According to a notice by the Kenya Ports Authority, Joho’s firm will start handling all containerized and conventional cargo from the terminal starting October this year.
“Kenya Ports Authority has received a request from KRC to issue you with official communication to allow cargo consignees/importers for both container and conventional cargo to nominate their consignments from the load port to KR Nairobi Freight Terminal (NFT). The facility is a bonded warehouse and will be operated by M/S Autoports Freight Terminal (AFT) and is connected to the SGR line. This allow more importers to use SGR,” the notice by KPA acting managing director John Mwangemi to Kenya Shipping Agent Association chief executive officer Juma Tellah said.
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According to the notice, importers will now be required to endorse in the Bill of Lading ‘Cargo in transit to NFT c/o. Autoports Freight Terminal-Nairobi to have their cargo ferried to Nairobi by Joho’s firm. “Arising from the above, the Authority has no objection to the KR request to have importers do direct nomination as well as change point of delivery to NFT c/o. Autoports Freight Terminal- Nairobi for cargo currently not nominated by importers,” the notice said.
According to a report on the deal that appeared in the Daily Nation on Monday, Joho’s firm, had also “secured a preferential deal to transport cargo from Mombasa to Nairobi over a 10-year period at up to 80 per cent discount. This is against the maximum volume discount of 10 per cent allowed in the corporation’s tariff book.”
