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Each day TFO Canada publishes a sample of trade news on the Canadian import market along with any new, updated or changed regulations and legislations regarding international trade; countries in which TFO Canada offers services and on the export sectors which it promotes.

 

Kenya: Cost of goods to rise as shipping charges jump by 25%

Friday, April 23, 2021 > 11:46:22
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The Shippers Council of Eastern Africa (SCEA) has stated that the East Africa region is currently experiencing a shortage of vessels and containers which has contributed to the jump on the cost of shipment. As international freight charges have gone up by between 20–25 per cent, a rise in the cost of goods in Kenya is imminent. The price hike is one of the impacts of last month's week-long blockage of the Suez Canal.



The Shippers Council says that before Covid-19, it cost an average of $1,400 to ship a 40ft container from most ports to Mombasa. This has gone up to between $3,600 and $3,700. Increased trade between Europe and Asia after a slow down at the height of the pandemic last year, has also affected the movement of vessels to the East Africa including Kenya.



The trend has impacted Kenya’s, marked with reduced operations on the Standard Gauge Railway (SGR) freight services, where the number of trains moving cargo from the Port of Mombasa has reduced to between three and five per day.



Read more here 


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