South Sudan asks Kenya to end Joho port monopoly

The South Sudan government has asked President William Ruto to end the monopoly of a firm associated with the family of former Mombasa governor Ali Hassan Joho for handling cargo destined for the neighbouring country.

South Sudan’s President Salva Kiir instead wants Dr Ruto to allow goods to and from his country to be cleared at the port of Mombasa and not at the Nairobi Freight Terminal (NFT).

Joho’s family, through the Autoport Freight Terminals Limited, has been handling almost all of South Sudan imports at the NFT. The goods have been leaving the port of Mombasa through the railway line. 

But Mr Kiir now wants more firms like Compact, Consolbase, MCT and MitchellCotts to handle the cargo to help reduce what he says has been the delays in clearing goods destined for his country. 

“The purpose of this letter is to kindly draw your Excellency’s attention to our discussions on why we in South Sudan have opted to use the port of Mombasa rather than the Nairobi Freight Terminal for all cargo from and to South Sudan,” said Kiir in a diplomatic note to Ruto.

Mr Kiir argues that the shift will ensure a smooth flow of goods and stabilise the cost of consumer products in South Sudan.

“It is, therefore, my conviction that your Excellency’s good offices will impress our decision upon the Kenya Ports Authority, Nairobi Freight Terminal and indeed any other concerned institutions that are tasked with the movement of goods from and to the Republic of South Sudan,” added Kiir in a note sent to State House through the foreign affairs ministry.

The port of Mombasa – which is considered the biggest in East Africa and the region’s trade gateway – currently handles imports for landlocked countries such as Uganda and South Sudan. 

Autoport has, however, enjoyed a near monopoly over the business of handling imports such as fuel and consumer goods as well as exports of tea and coffee, and was at one time a target of the government over alleged tax evasion.

The firm is said to be under the leadership of Mr Joho’s elder brother, Abu Joho. The firm had won the South Sudan contract after it signed a deal with the Kenya Railways. 

“Clearing and forwarding transit cargo for South Sudan should be allowed to operate so that no firm has a monopoly over the process,” said Mr Kiir in the note known in diplomatic lingo as a “note verbale”.