JUBA – South Sudan National Chamber of Commerce on Thursday demanded a reduction of import duty fees levied by Kenya on goods imported into the African youngest nation.
Kenyan authorities recently moved all imports from Mombasa port to Nairobi, with an additional cost of 1,600 dollars for each container.
With the new fees, it now costs more than 7,000 dollars to bring in a container from Nairobi to Juba.
Ladu Lukak, Deputy Chairperson of the Chamber said the new fees are the major factors contributing to rising commodity prices.
“The train between Mombasa and Nairobi cost 1400 U.S dollars and we want to transit from Mombasa port to Juba and that is what we request but it has not materialized,” Lukak told reporters after the business community in Juba on Thursday.
“Transport cost 6,000 U.S dollars and also 1500 costs on container and 200 parking fees that add to over 9000 dollars.”
Lukak also blamed soaring prices in the market on the introduction of a $70 digital security tag fee on all vehicles coming into the country by the ministry of interior.
“The truck is charged to pay 250 U.S dollar, we do not know for what, we have also had dipping in Nimule that cost over 500 U.S dollar, dipping including Revenue authority, custom services, and others.”
“We are requesting our government to negotiate with Kenya on the issue of goods destined for South Sudan going to Nairobi instead of moving directly from Mombasa to Juba.”
Emmanuel Kachoul, Chairperson of South Sudan Business Community in Mombasa said the port of Mombasa through Nairobi has caused an increase in rates, charges, and delays in delivery of cargo and clearance.
“We are faced with all challenges, this is what has risen the prices if you calculate the transfer of 40 feet container by railway then again the lorry that takes goods to Juba instead of goods moving directly from Mombasa to Juba, it makes a very different,” said Kachuol.
What Kenya has done is a reaction to our unco-ordinated levying of fees and taxes.
Unless we change our mindset of using taxes as the only tool for generating revenue, the consequential increase in prices of goods and services will persist
unabated and borne by the low income
strata in the county.