KRA establishes key trade facilitation centres along Northern Corridor

In a bid to revolutionize trade between Kenya and South Sudan, the Kenya Revenue Authority (KRA) has established trade facilitation centers in Kainuk, Lodwar, and Kakuma areas. These centers are set to simplify and streamline international trade procedures, allowing for a smoother flow of goods across borders at reduced costs. The Deputy Commissioner for Scanner and Cargo Monitoring at KRA, Josephine Manyasi, highlighted the significance of these centers in a recent interview with CNBC Africa. One of the key objectives of the newly established hubs is to provide direct access for cargo entering South Sudan without having to navigate through partner states. Previously, traders had to cover long distances to access KRA services, but with the new facilities in place, transport costs for exporting goods to South Sudan are expected to decrease significantly. The Kainuk, Lodwar, and Kakuma centers are poised to streamline trade between Kenya and South Sudan, ultimately benefiting regional trade in East Africa. The trade facilitation centers are also anticipated to alleviate traffic congestion at border stations and reduce transit time for cargo traveling from Mombasa to South Sudan. By cutting down operational costs, the KRA will see enhanced efficiency along the corridor. Furthermore, the hubs will help in combating illicit trade along the route, deterring smugglers from exploiting porous borders to transport contraband goods. With improved verification processes for goods entering or leaving the Kenyan market, revenue collection and trade facilitation are expected to receive a significant boost. Security remains a top priority for the KRA, especially in addressing issues such as robberies, smuggling, and cargo dumping. To enhance security along the northern corridor, the KRA has implemented measures such as enhanced surveillance and scanning technologies at entry and exit points. Additionally, an electronic cargo tracking system has been established to monitor consignments moving along the corridor. Collaboration with government agencies and technical teams from neighboring partner states further strengthens border security efforts. The impact of the trade facilitation hubs extends beyond economic gains to the local communities where they are located. Trukana County, strategically positioned as a gateway to South Sudan from Kenya, stands to benefit significantly from the presence of the centers. The communities in Trukana can look forward to improved access to services, sparking economic growth and creating job opportunities. Moreover, by sharing resources like water with the neighboring communities, the trade facilitation centers are contributing to addressing local challenges. Looking ahead, KRA has plans to establish additional trade facilitation centers and border stations along the northern border, including areas bordering South Sudan and Ethiopia. These expansions aim to promote smoother trade flows, enhance revenue collection, and create more economic opportunities for Kenya and the region, aligning with the country's broader goals of maintaining its status as a key regional and international trade hub.