The Kenya Trade Network Agency (KenTrade) has made export and import transactions seamless by automating 94 percent of the document processing procedures.
Speaking in Mombasa during a stakeholders forum, KenTrade CEO David Ngarama said the automation of the process has made the movement of goods easier and reduced approval time.
Ngarama said 4,000 permits are processed daily through the Single Window System which allows exporters and importers to access various government services in one platform.
“We have 41 government agencies operating on the online platform which means, for exporters and importers, if you want to access services from these 41 government agencies then all you need to do is log into the system. Equally, these government agencies are also able to access the various applications that are done on the single window system and grant the various approvals or comments needed for the import/export transaction,” said CEO Ngarama.
He added that almost 10,000 data elements are shared with the Kenya Revenue Authority (KRA) integrated customs management system.
“We are also integrated other systems and solutions such as the customs system, which means that if customs want to confirm that a certain regulatory body has probably granted you an authority to import or export, then our Single Window system will be sending a message to the customs systems confirming that and in so doing, customs can grant you the authority to have your consignment released,” said Ngarama.
Apart from reducing approval time, the Single Window System has also cut down the hustle of going around in different government offices.
“Going around offices was costly and time-consuming opening chances for poor governance and corruption. With this system, we can eliminate the aspect of delayed processing and governance issues. So it has brought down the cost of doing business as you don’t have to print papers,” said Ngarama.
According to Elijah Mbaru, CEO Designate, Kenya Ships Agents Association (KSAA), automation has cut business costs by 15 percent.
Mbaru said the automation has reduced demurrage costs that shipping lines were forced to pay due to a ship idling at the port.
“If you look back at where we were, as shipping lines we were getting a lot of delays regarding manifests getting approved and other documentation. so it is important to have a seamless flow of the logistics chain and supplies,” said Mbaru.
“We appreciate what KenTrade is doing, we are working with them to see how we can enhance it further,” he added.
Salim Mbarak is a stakeholder at the port, in logistics services. He said the automation has brought down dwell time from around 14 days to 4-5 days.
“Before KenTrade, we were doing manual processes of clearing cargo at the port, it was time-consuming and practically impossible to clear in the free periods we are given by both the Kenya Ports Authority and Shipping Lines. KPA grants us a four-day free period, so during the manual systems, to clear cargo within four days would have been hectic and time-consuming, and therefore, increase the cost of doing business,” said Mbarak.
