The port of Mombasa is set to get a Dubai-like vehicles free trade zone popularly known as FTZ.
An FTZ is a re-export gateway where goods in transit are temporarily stored to avoid strict customs regulations and lengthy administrative procedures.
The 1,000-acre Mombasa re-export gateway will initially handle 100,000 vehicles annually.
“We intend to strengthen trade facilitation programme,” National Treasury secretary Henry Rotich estimates in a draft Budget Policy Statement (BPS) released on Friday.
Mr Rotich says 500 motor vehicle inspectors will be trained this year and stationed at the facility to ease clearance. That means the vehicle owners will no longer have to incur demurrage charges faced by home-bound imports that have to undergo lengthy clearance including obtaining number plates.
At the FTZ, vehicle imports destined to other markets in the region will first be received and sorted in Mombasa.
