A new cargo declaration requirement introduced by the Kenya Revenue Authority (KRA) has drawn strong opposition from traders, who say the measure could slow the movement of goods into the country, increase the cost of importing and create fresh challenges for businesses that rely on timely deliveries.
The mandatory Advance Cargo Declaration (ACD) system took effect on August 3 after KRA pushed back its implementation by one month to allow importers and other stakeholders to prepare for the new process. The requirement applies to all containerised cargo destined for Kenyan ports.
Under the new rules, importers are required to secure a unique 15-digit Advance Cargo Declaration Reference Code before their cargo is loaded at the port of origin.
KRA said in a notice issued on July 14 that the platform is designed to provide customs officers with cargo details before shipments arrive in Kenya. According to the authority, the system is expected to improve cargo tracking, strengthen border security and support better customs management.
But the Shippers Council of Eastern Africa (SCEA) says the process creates another layer of reporting even though traders already submit the same information through the Import Declaration Form, shipping manifests, the KenTrade National Electronic Single Window System and KRA customs platforms.
The council has asked KRA to suspend enforcement of the system until the concerns raised by the private sector are fully addressed.
SCEA chief executive Agayo Ogambi said the new requirement goes against efforts to simplify trade.
"The ACD introduces an additional declaration while traders already submit similar information through existing government systems. Instead of simplifying trade,it increases paperwork and compliance costs," he said.
The council warned that delays in obtaining the required reference code could prevent containers from being loaded onto scheduled vessels, affecting the smooth flow of goods and increasing transport expenses.
It further cautioned that manufacturers could struggle to receive raw materials on time, while importers of consumer products may experience delays before goods reach the market.
Shipping company Maersk has already notified customers that the ACD reference code must be included on the Bill of Lading before cargo is shipped. The company also warned that failure to comply with the requirement could lead to customs penalties.
The standoff comes as the government continues to introduce digital customs systems aimed at improving service delivery. However, traders argue that reforms should make cargo clearance easier rather than introduce processes that repeat information already available in existing government platforms.