Clearing agents protest over increased taxes on cargo containers by KRA

Clearing agents protest over increased taxes on cargo containers by KRA

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Containers at Mombasa port. PHOTO: COURTESY.

Mombasa, KENYA: More than 1500 clearing and forwarding agents at the Mombasa port have gone on a go slow over the increased taxes on the cargo containers by the Kenya Revenue Authority.

Addressing the media on Monday at their offices Mombasa branch Secretary of Kenya International Freight and Warehousing Association (KIFWA) Mr. Bernard Simiyu, blamed KRA for imposing high taxes without consulting them.

According to KIFWA, KRA increased taxes on single container from 200 USD to 600 USD leading to stalling of more than 1,200 un-cleared cargo containers at the Kenya Ports Authority.

“We have had a few meetings with them but on behalf of my members we will term them as cosmetic because whatever we have discussed has literally been taken the opposite way. They should consult they should not act in panic and put the taxes they way they want, that one we are not going to accept”. He said.

“We are agents for KRA licensed by them, how they look down upon us we don’t understand. What we need is KRA to involve us in every decision they are making”. He finally said.

Some of the goods which still remain uncleared at the Mombasa port include: food stuffs such as rice, powdered milk, batteries, hawking goods and clothes.

Mvita Member of Parliament Abdulswamad Nassir who awas also present at the briefing, said he will present memorandum from KIFWA to the national assembly over the matter,

“ KIFWA is presenting to us a memorandum and we will present it to the national assembly which include amendments to various acts of law.” Said Abdulswamad.

“There’s cargo lying at the port of Mombasa for more than a month because KRA have undergone some form of evaluation standards and they do not wish to take responsibility for the damages, this causes a lot of clogging at the port of Mombasa, this has lead a lot of CFS’s firing their people because of the costs of doing businesses has become very expensive.” He added.

Mr. Rajab Hamis  who is the director of Polo Auto Freight Forwarders Limited said that he has lost almost sh. 20 million due to delayed cargoes at the port.