Mombasa port records decline in transit cargo

Nairobi (Somaliland.com) – The Kenya main Seaport, Mombasa, has recorded a sharp decline in transit cargo destined to Ethiopia, Somalia, Tanzania and Burundi in the first seven months of this year. This decline is not averted by the increased usage of Uganda, Rwanda and the Democratic Republic of Congo has raised their usage of the port, as revealed by official data recently released.

The Kenya Ports Authority, (KPA), data also shows that Ethiopia, expected to be a key player in the Lamu Port Lapsset Corridor project, did not use the Kenyan port of Mombasa in the first seven months of this year, even as next month’s unveiling of the Lamu ports’ first berth draws closer.

KPA data showed transit goods to Ethiopia and Somalia both dropped to zero from 1,000 tonnes.

Kenya’s diplomatic tiff with Somalia has negatively impacted the two countries’ trade, with the latest data showing that Mogadishu is no longer importing any cargo through Mombasa.

The sharp drop could also be attributed to the entry of Danish shipping line services Maersk, which began operating in Somalia’s Mogadishu port in early January.

Kenya and Somalia have since the start of the year been locked in a maritime boundary row, which has since escalated in to a full diplomatic conflict.

Ethiopia agreed to jointly invest in four seaports with the Mogadishu administration as they both seek to attract foreign investment to their two countries, Ethiopia’s latest move in its fight for access to ports.

In March last year, Ethiopia signed an agreement with Somaliland over the management of Berbera port, with Addis acquiring a 19 per cent stake in the port, joining DP World of the United Arab Emirates under a 30-year management concession.

Ethiopia has also recently been on a roll, acquiring stakes in Djibouti port of Doraleh, Port of Djibouti, Khartoum’s largest seaport of Port Sudan, its $80 million investment for a 19 per cent stake in Somaliland’s Port of Berbera and its recent announcement that it is also taking a stake in the Eritrean Port of Assab.