12 °c
London
Tuesday, March 28, 2023
No Result
View All Result
FurtherAfrica
  • Countries
    • Angola
    • Botswana
    • Cape Verde
    • DRC
    • Eswatini
    • Ethiopia
    • Kenya
    • Malawi
    • Mauritius
    • Mozambique
    • Namibia
    • Nigeria
    • Rwanda
    • South Africa
    • Tanzania
    • Uganda
    • Zambia
    • Zimbabwe
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About
FurtherAfrica
  • Countries
    • Angola
    • Botswana
    • Cape Verde
    • DRC
    • Eswatini
    • Ethiopia
    • Kenya
    • Malawi
    • Mauritius
    • Mozambique
    • Namibia
    • Nigeria
    • Rwanda
    • South Africa
    • Tanzania
    • Uganda
    • Zambia
    • Zimbabwe
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About
No Result
View All Result
FurtherAfrica
No Result
View All Result
Home Coronavirus

Rwanda could lose about 2,500 cargo containers at Mombasa, Dar Es Salaam ports

Staff by Staff
July 3, 2020
in Coronavirus, Debt, East African Community, Economy, Kenya, Logistics, Port, Rwanda, Tanzania
Reading Time: 3 mins read
857 36
0
Share via QRWhatsappShare on FacebookShare on TwitterLinkedInPinteresteMail

Rwanda is about to lose over 2500 containers of goods trapped at ports in Kenya and Tanzania because of failing to clear a list of accumulated bills and the deadline of 90 days ended on June 30, Taarifa reliably reports.

It is not known what exactly is loaded in these containers, but contents are valued in millions of dollars.

These containers have been languishing at the congested ports since December 2019 and their stay has since been prolonged by the #Covid-19 measures, while the bills accrued to million.

The exact figure is yet to be established, according to parties involved.

The only chance to save the containers from a regrettable public auction could be a conversation between the presidents.

In a letter written by Stephen Ruzibiza, Chief Executive Officer of Private Sector Federation, Rwandan businesses have more than 37 containers at Mombasa port, while there are more than 2,000 containers currently at port Dar-es-Salaam.

“Rwandan containers are facing demurrage costs, storage charges, warehouse rent and other penalties due to multitudes of adverse impacts of COVID-19,” Ruzibiza says in letters addressed to Tanzania and Kenya Ports.

On June 22, Ruzibiza wrote a letter to the Tanzania Port Authority (TPA) requesting for a waiver of the charges and fines imposed on the containers due to the lockdown as a result of #COVID-19 pandemic.

“We are humbled to request your institutions to give 100% waiver for customs warehouse rent, demurrage and port storage charges incurred as a result of #COVID-19 mitigation policies adopted by EAC member states,” reads part of the letter seen by Taarifa.

Also read: Rwandan bankers predict Economy may recover after 5 years

The February sudden attack of the East African regional bloc by #Covid-19 pandemic, member states intervened swiftly with closing their borders, airports and transport systems.

Later in April, EAC states issued extra directives, guidelines and administrative measures aimed at containing the spread of #Covid-19.

However, this action significantly slowed movement and clearance of cargo in and out of the member countries.

In some cases, movement and clearance of certain kinds of cargo were suspended causing significant cost implications to importers, exporters and logistics service providers.

Measures adopted resulted into new freight logistics challenges especially at borders and other cargo clearance points.

This has since caused a heavy stockpile of Rwandan containers at Mombasa and Dar Es Salaam ports.

Traders therefore have accumulated arrears and fines for their overstayed containers and this phenomenon will likely result in an increase in the cost of goods for the final consumer or a complete damage for some goods.

Both Kenyan and Tanzanian opportunists are preparing to savage on these containers by purchasing them cheaply at a public auction in case the Rwandan importers fail to clear an assortment of bills.

The Rwanda Private Sector Federation was prompted to initiate discussions with port authorities and container freight stations.

The organization requested for an extension of transit duration of the fuel products from 30 days to 90 days.

The federation also requested for waiving the customs warehousing rent and any other penalties incurred by the business community.

Among these discussions, there was a request to extend the free storage period, warehouse operations to waiver all demurrages charges, shipping lines to extend the container return period allowing freight forwarders from landlocked countries at least up to the end of June 2020 to return the containers.

However, the deadline arrived yesterday yet the Rwandan business community has not secured the containers, providing the good ground for invoking public auction procedures.

A container may be sold off at only US$5k irrespective of what is contained inside.

The Chairman of the Rwanda chamber of Commerce told Taarifa that all possible avenues have been tried, including engaging Ambassadors of the respective countries, but the efforts have yielded no positive results.

Meanwhile, in solidarity with the Rwandan counterparts, the Federation of East African Freight Forwarders Associations has written to respective National COVID-19 Taskforces seeking government’s intervention.

Their efforts have also fallen on deaf ears.

Source: Taarifa Rwanda

Related

Tags: CargoCorona VirusCovid-19Federation of East African Freight Forwarders AssociationsInfrastructureKenyalogisticsPortRwandaRwanda chamber of CommerceRwanda could lose about 2500 cargo containers at Mombasa Dar Es Salaam portsSea freightSeaportTanzaniaTanzania Port AuthorityTPAкенияруандатанзанияتنزانياروانداكينياケニアタンザニアルワンダ卢旺达坦桑尼亚肯尼亚
ScanSendShare357Tweet223Share63Pin80Send
Staff

Staff

Related Posts

Nigeria needs currency reform for US$1.5B World Bank loan, country director says
Economy

World Bank VP reaffirms support for Ethiopia’s economic reform

by FurtherAfrica
March 27, 2023
Africa

Rwanda horticulture industry leaders project over 600% increase in avocado export

by Farmers Review Africa
March 27, 2023
Finance

AfDB approves US$30M trade & SME finance facility for Kenya’s Family Bank

by Fabio Scala
March 27, 2023
Fintech

Tigo, Selcom and Mastercard partner to launch online digital payment solution in Tanzania

by The Exchange
March 27, 2023
Economy

Fitch upgrades Ghana’s long-term local-currency issuer to ‘CCC’

by FurtherAfrica
March 26, 2023
Platform Africa 2023
 
Mozambique eVisa
 
MozParks
 

Translate this page

Read the Latest

Agriculture

McKinsey backs new agriculture initiative in Africa

by Farmers Review Africa
March 28, 2023
0

A new project, the African Agricultural Transformation Initiative (AATI), has been launched and it aims to promote inclusive agricultural development...

Read more
BP production in Angola is in decline since 2017

Top 5 oil and gas projects in Angola

March 28, 2023

African Impact Challenge applications now open

March 28, 2023

Angola and Argentina business worth US$200M

March 27, 2023
Egypt: AfDB approves loan for 200 MW Solar Plant

The Gambia receives €32M in renewable grant funding

March 27, 2023

FurtherAfrica Partners Network

The Exchange Club of Mozambique Taarifa Rwanda
TechGist Africa Africa Oil & Power Farmers Review Africa
Tanzania Invest Zambia Invest See Africa Today
Africa Global Funds Novafrica CrudeMix Africa
Harambee Africa Botswana unplugged Financial Insights Zambia
O Económico Digilogic Africa Web3Africa

Subscribe to FurtherAfrica

Enter your email address to receive new articles on your email.

Join 100,032 other subscribers.
FurtherAfrica

© 2021 FurtherMarkets

FurtherAfrica is a FurtherMarkets Limited platform

  • Countries
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About

Follow Us

No Result
View All Result
  • Countries
    • Angola
    • Botswana
    • Cape Verde
    • DRC
    • Eswatini
    • Ethiopia
    • Kenya
    • Malawi
    • Mauritius
    • Mozambique
    • Namibia
    • Nigeria
    • Rwanda
    • South Africa
    • Tanzania
    • Uganda
    • Zambia
    • Zimbabwe
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About

© 2021 FurtherMarkets

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?
 

Loading Comments...