The Kenya Revenue Authority (KRA) has caught the regional freight industry somewhat off guard with the sudden introduction of a mandatory new digital pre-arrival cargo system.
The Road Freight Association (RFA) has warned that the tight implementation timeline could create port bottlenecks and disrupt regional supply chains, and has already engaged South African authorities on the matter.
The Kenya Revenue Authority (KRA) announced on Tuesday that all containerised cargo destined for Kenyan ports must be declared before loading through a new Advance Cargo Declaration (ACD) platform. The system becomes mandatory on August 3.
Under the new requirements, exporters must upload a draft bill of lading, commercial invoice, freight invoice and export declaration to obtain a unique ACD reference code. The code must be endorsed on the bill of lading before cargo can be loaded.
RFA CEO Gavin Kelly told Freight News that the association supported customs digitalisation and the World Customs Organization's SAFE Framework but said implementation was needed to facilitate trade rather than create a new non-tariff barrier.
"Even though the new process targets sea cargo, it hits inland hauliers directly. Containers moving from City Deep to South African ports for export to Kenya will need the Advance Cargo Declaration code endorsed on the bill of lading before loading, meaning documentation must be finalised before the truck even leaves the depot," Kelly said.
He warned that delays in obtaining the ACD code could disrupt the logistics chain, increasing turnaround times for transporters and adding costs.
"Any delays or overlapping and additional data requirements in that process risk delays at the port and disrupted turnaround for hauliers, which leads to additional costs."
The RFA has written to the Kenya Revenue Authority and the South African High Commission in Kenya, and has also engaged the Department of Trade, Industry and Competition and the International Trade Administration Commission of South Africa.
Kelly said the association would lobby for wider consultation with industry and a phased implementation.
"Three weeks is a very tight window for a mandatory new digital system."
Without a transition period, containers shipped without a valid ACD code could be delayed before loading or on arrival in Kenya, resulting in demurrage, storage costs and trucks waiting longer for return loads, he said.
Kelly noted that Kenya's roll-out followed similar digital customs initiatives in Zambia and Botswana, raising concerns about multiple national systems being introduced without regional coordination.
"With Zambia, Botswana and now Kenya all introducing similar systems with little consultation, this pattern risks acting as a non-tariff barrier, regardless of intent. The association urges that a coordinated regional standard be agreed to, rather than each country building its own platform."
He said transporters were already contending with congestion at Beitbridge, Kazungula and Chirundu, as well as delays accessing the Port of Durban.
"Layering another mandatory digital pre-clearance step on top of existing constraints, with a new platform, new registration requirements and a narrow compliance window, risks adding friction rather than the faster clearance KRA is promising, at least while the industry adjusts."
